Southern Cross gets OK for tunnel at Sunday Creek

Executive Summary

• Southern Cross Gold Consolidated Ltd. received approval for its work plan to construct an exploration tunnel (decline) at its Sunday Creek gold-antimony project in Victoria, Australia.
• The approval marks a transition from surface exploration to underground access, enabling detailed geological mapping, precision drilling, and geotechnical data collection for future mine design.
• The company plans to expand its drilling program significantly, adding 12 underground drill rigs to the existing 10 surface rigs, totaling 22 rigs, which will constitute the largest pre-development drill program in Australia.

Key Details

• Approval Status: Work plan for the exploration tunnel at Sunday Creek approved by Victorian government agencies.
• Project Location: Sunday Creek gold-antimony project, Victoria, Australia (60 km north of Melbourne).
• Tunnel Purpose:
  • Provide underground access to high-grade mineralization.
  • Conduct detailed geological mapping and sampling.
  • Execute precision underground drilling to expand/define resources along strike and at depth.
  • Gather geotechnical data for future mine design.
  • Assess mining methods and equipment selection.
• Environmental & Community Benefits:
  • Reduced impact from 24-hour surface drilling.
  • Fewer surface drill pads required, protecting neighbors, native vegetation, and heritage features.
• Drilling Program Expansion:
  • Current: 10 surface drill rigs operating.
  • Planned: Addition of 12 underground drill rigs after decline completion.
  • Total: 22 rigs, described as the largest pre-development drill program in Australia.
• Timeline:
  • In-house engineering/environmental work commenced: Late 2024.
  • Work plan submitted: Late July 2025.
  • Approval received: November 2025.
  • Site establishment: Scheduled to commence within the next month.
  • Underground construction duration: 6 to 9 months.
• Regulatory Next Steps:
  • Progressing secondary approvals under the Water Act and Environment Protection Act.
  • Coordinating with Department of Energy, Environment and Climate Action (DEECA), Resources Victoria, and other agencies.
• Project Fundamentals (from About Section):
  • Dual-metal profile: Gold and Antimony (Antimony contributes ~20% of in situ value).
  • Mineralization structure: "Golden Ladder" over 1.2 km strike length, confirmed continuity from surface to 1,100 m depth.
  • Metallurgy: Non-refractory, suitable for conventional processing; gold recoveries of 93-98% via gravity and flotation.
  • Land Ownership: Over 1,000 hectares of strategic freehold land.
  • Strategic Positioning: Included in US Defense Industrial Base Consortium (DIBC); potential key Western antimony supplier due to China's export restrictions.
  • Future Drilling: 200-kilometer drill program planned through Q1 2027.

Notable Quotes

• Michael Hudson, President and CEO: "This work plan approval is a pivotal milestone in Sunday Creek's evolution from exploration discovery to future potential mine development. We are assembling the pieces needed for a commercially viable operation: an exceptional high-grade discovery with demonstrated depth continuity, strategic freehold land ownership, proven metallurgy and now approval for underground access."
• Michael Hudson, President and CEO: "The exploration tunnel will allow us access to drill and better understand the high-grade mineralization, significantly enhancing our ability to define and expand the resource and advance technical studies. With 10 surface drill rigs operating today, the company plans to add an additional 12 drill rigs underground after the decline completion for 22 rigs in total, making it the largest predevelopment drill program in Australia."
• Michael Hudson, President and CEO: "This timeline demonstrates Victoria is open for business while maintaining rigorous environmental and community standards."