Murchison Projects

Danakali have developed five separate projects across the Murchison region. The Murchison Project contains a range of Archaean greenstone hosted mines and mineralisation styles, including orogenic gold, VMS-hosted Cu-Zn-Au (Golden Grove), layered-intrusive hosted V-Ti-Fe (Windimurra) and magnetite-hosted iron (Koolyanobing, Karara). The Danakali projects in this region cover a range of greenstone lithologies and settings, many of which are underexplored.

Danakali projects in the Murchison District

Jonas Project
(High Grade Gold Rock-chip Sample Over Discrete Auger Gold-Copper + Magnetic Target)

The Jonas Project is located on the Tallering Greenstone Belt near the western margin of the Yilgarn Craton (tenement application E59/3023). The greenstones are variably exposed, often as lateritic regolith, and the area remains very under-explored relative to the adjacent Santy-Carlinga mineralised trend to the immediate south. The region hosts numerous sites of Au, Cu, Zn and Ag mineralisation associated with shear-hosted Archaean orogenic mineralisation.

Geological setting of Jonas Project in the Tallering Greenstone Belt
on the western margin of the Yilgarn Craton.

CRA completed detailed auger sampling over multiple targets in 1994, and defined two distinct multi-element targets. The Meg target is a coincident Au-Cu-Ni auger anomaly coincident with a discrete magnetic anomaly. The strike of the magnetic anomaly is at a high angle to the regional trend, and may represent an intrusive in a fold closure/flexure. The nickel anomalism suggests that the magnetic anomaly may be attributable to a mafic/ultramafic intrusive, and may be a new mineralisation style in the region. Magnetic modelling of the anomaly (Meg target) has revealed a steeply dipping target from shallow depth.

Auger drilling further by CRA in 1994 defined another coincident Au-Cu-Zn-As anomaly (Meg2).

Reconnaissance field work by Danakali in late 2025 collected two rock chip samples over the Meg target (quartz vein) which returned 24.5 g/t Au. Another rock chip sample in the eastern end of E59/3023 returned 0.38 g/t Au. This represents a compelling result from the collection of 6 widely separated rock chip samples.

The Meg and Meg2 prospects are high priority Au-Cu targets with possible intrusive or VMS association. Further rock chip sampling and assessment for drilling will be completed in the current field season, together with exploration across the remainder of this poorly explored project area.

The Meg and Meg2 auger anomalies on regional magnetics and geology

The Meg target is a coincident auger, magnetic and high-grade gold rock chip anomaly

Magnetic modelling of the Meg target relative to surface geochemistry and
high-grade gold rock chip sample

Gascoyne Projects

The Gascoyne region is an under-explored region that has emerged in recent years as a highly prospective zone with a wide array of mineralisation styles. The Yangibana/Gifford Creek carbonatite complexes host significant REE/Nb resources (Hastings, Dreadnought). Dreadnought have steadily been advancing the Star of Mangaroon (Au) and Money Intrusion (Ni-Cu-PGE) projects.

Further south, Benz Mining are progressing the Glenburgh and Hibernian (Mt Egerton) gold projects with growing success. Benz Mining recently determined a <10Moz Au Exploration target for the Glenburgh Project

The Turkish, Chelios and Orson projects cover a range of geological setting across the Gascoyne province, with each project having exposure to crustal scale structures with demonstrated mineralisation potential.

Danakali projects in the Gascoyne region

Orson Project
(Orogenic Gold and REE/Nb Targets on an Under-Explored Cratonic Margin)

The Orson project is peripheral to the Errabiddy Shear Zone, a region which defines the margin between the Archaean Yilgarn Craton and the Proterozoic Glenburgh Terrane. Benz Mining have recently defined a >10Moz Au exploration target at Glenburgh. Craton margins with associated high grade metamorphic gneisses are now considered highly prospective for the creation of large gold deposits, with the large Tropicana gold resource (>4.5Moz Au) occurring on the eastern margin of the Yilgarn Craton.  The Karlawinda gold resource (>2Moz Au) occurs on the southern margin of the Archaean Pilbara Craton in a similar margin context.

The Orson project occurs in a region with known alkaline and ultramafic intrusives in a cratonic margin setting, and is prospective for carbonatite intrusives with associated REE mineralisation. The region hosts numerous sites of ionic-clay hosted REE mineralisation, related to weathering of monazite bearing gneiss, including the nearby Tower REE resource (100Mt @ 840ppm TREO, Krakatoa Resources).  

Orson Project exploration context relative to alkaline intrusive complexes and REE mineralisation

Orson Project exploration context relative to Errabiddy Shear Zone,
Glenburgh and Hibernian Gold Projects

The GSWA has recently released new detailed aeromagnetic and radiometric survey data which covers all Orson Projects. The detailed 100m flight line spacing (f.l.s.) data has permitted the discrimination of multiple discrete intrusive magnetic anomalies, which was not possible with the existing 500m f.l.s. data. The majority of these magnetic anomalies have no apparent historical exploration. Several post-metamorphic ultramafic intrusives have been defined in the area, however they have not been assessed for REE content. GSWA mapping has identified multiple lenses of pre-metamorphic ultramafic within application E52/4593. The pre- and post-metamorphic intrusives define a co-linear trend, which possibly represents a long-lived mantle-tapping structure prospective for hosting carbonatite intrusives.  Magnetic modelling of selected anomalies supports the interpretation as post-metamorphic, vertically continuous intrusive plugs, particularly targets OR1 and OR2.

New detailed magnetic survey data reveals numerous discrete anomalies in Danakali tenure
interpreted to be post-metamorphic intrusives, possibly with alkaline/carbonatite affinity.

Modelling of selected magnetic anomalies has reinforced interpretation as
post-metamorphiclate stage intrusives.

Stream sampling in the Errida Creek region by BHP in 1990 identified widespread sites of highly anomalous monazite heavy mineral concentrations in stream sampling. Monazite is a thorium + REE phosphate mineral that commonly occurs in granite/gneiss, pegmatites, carbonatites and ionic clay REE  deposits. The density of monazite means that it is commonly concentrated by erosional processes to form placers/mineral sands (i.e. Iluka/Eneabba Mineral Sands).

The recently flown thorium channel radiometric data clearly identifies the extent and consistency of thorium anomalism in the Errida Creek alluvium. The source of the monazite within the Errida Creek catchment is likely attributable to erosion of monazite bearing country rock gneiss, or alternatively undiscovered carbonatites or pegmatites. Further east within application E52/4593, elevated thorium in laterite and saprolite is likely attributable to weathering and concentration of thorium during residual weathering of monazite bearing gneiss.

The current field program is planning field mapping and soil sampling to investigate the Th/REE distribution in the gneissic bedrock, laterite and saprolite regolith and alkaline (?) intrusives across the project area. The recent GSWA detailed magnetic/radiometric survey data has provided detailed new insights into the exploration potential and geological setting of this emerging project.

Thorium radiometric image, showing strong monazite heavy mineral accumulation
in Errida Ck, together with Th-rich saprolite further east in the Deadmans Creek catchment.
The thorium source is attributed to monazite bearing gneissic bedrock in the region

Chelios Project
(Under-explored Gravity Anomaly in Broken Hill Type Proterozoic Basin Setting)

Geological Setting of the Chelios Project, highlighting the Proterozoic basin associated
with interpreted Broken Hill Type (BHT) mineralisation potential

The Chelios Project area was identified as prospective for Broken Hill Type (BHT) Zn-Pb-Ag-Cu mineralisation in 2003 by BHP. Gahnite (zinc-spinel) were recognised in multiple heavy mineral stream sampling in the region, and the source correlated to a discrete Proterozoic basin associated with the Lockier Anticline. Gahnite bearing horizons are closely correlated with mineralisation at Broken Hill.

Academic research by Geoscience Australia showed that 85% of the world’s sediment hosted base metal deposits occur within 200km of the edges of thick lithosphere. The Australian model shows striking correlation between major sediment hosted deposits and edge of thick lithosphere, defined by 170km LAB (lithosphere-asthenosphere boundary) contour. The Chelios Project occurs 156km away from the 170km LAB contour, and well within the 200km fertility zone.

Geological mapping, soil sampling, geophysical survey and drilling have since identified multiple zones of sphalerite, galena and chalcopyrite mineralisation across multiple prospects at Chelios, including Four Corners, Browns and McCarthys prospects, confirming the prospectivity of the basin to host BHT mineralisation.

Relationship between sediment hosted and IOCG Cu-Pb-Zn deposits and
the 170km LAB lithosphere thickness contour (after Czarnota et al. 2020)

Review of historical soil sampling by Danakali has revealed that areas of laterite residual regolith do not appear to have been an effective sampling medium, as revealed by Zn levels well below background within laterite regolith zones. A gravity anomaly was defined in a zone of lateritic regolith by BHP during exploration in 2004, and it would appear that the existing soil coverage over the anomaly has been ineffective. The gravity data has been modelled by Danakali, revealing a modest shallow target that is a priority for further investigation, and has been designated the Lock target. South and east of the Lock target the laterite-dominated areas remain largely untested by soil sampling, despite geological context similar to defined prospects along strike to the northwest.

Danakali field staff are planning to inspect the Lock target and general project area this month, and develop a work program to test this under-explored gravity target that is not readily explained based on known geology, and also potential zones for geochemical testing along strike to the southeast. Further work may involve ultra fine fraction (UFF) soils, auger drilling or air-core drilling.

Historical soil sampling across the Chelios Project (Zn), reveals soils have not effectively
sampled areas of residual regolith (laterite), including an historic gravity anomaly (Lock)

 Turkish Project
(Unexplored Cu-Zn-Au magnetic target in potential northern extension of Mangaroon Syncline closure)

The Turkish project is located peripheral to the Minga Bar Fault
within the Mangaroon Structural Zone

The Turkish Project is located on a major crustal-scale structure (Minga Bar Fault) within the Mangaroon Structural Zone, developed during the Proterozoic Capricorn Orogen. The Mangaroon region is emerging as a highly prospective multi-metal zone. Recent years have seen the Yangibana (REE/Nb), Gifford Ck (REE/Nb), Star of Mangaroon (Au) and Money intrusion (Ni-Cu) projects all develop into resources and advanced projects. Proterozoic mobile belts such as the Mangaroon Structural zone are prospective for Au, Cu-Pb-Zn and Ni-Cu_PGE deposits. EIS co-funded drilling at the Wynne Cu-Ag-Pb prospect within E08/3839 has defined a wide range of alteration, mineralogy and metamorphic grades that have been compared to Mt Isa-style mineralisation.

Review of available detailed magnetics reveals a magnetic anomaly within E08/3839 that appears very similar to magnetic features in the core of the Mangaroon Syncline to the south. These magnetic features, (which include the Coria Springs Zn-Pb-Cu-Ag prospect) are interpreted as pre-orogenic dolerites that have intruded the core of the syncline, subsequently deformed and possible focus for base-metal mineralisation Surface geochemistry over the magnetic anomalies to the south of the Danakali tenure (including Coria Springs) by Sandfire Resources in 2008 revealed anomalous Zn, Cu and Pb.

The detailed magnetics suggest that the Snatch magnetic target is very similar in nature and geological context to those explored by Sandfire Resources to the south. It may be that the closure of the Mangaroon syncline is actually further north than mapped, and that the magnetic target is proximal to both the fold closure of the Mangaroon Syncline and the Minga Bar Fault. The Snatch magnetic target has never been tested by surface geochemistry, despite intermittent residual regolith exposure. It represents a priority target for Danakali, and will be explored with reconnaissance transects of UFF soils where appropriate in the 2026 field season.

Magnetic target Snatch may represent a pre-orogenic intrusive
in a northern extension of the Mangaroon Syncline closure

Black Sabbath Project
(Lithium-Gold Project – Interpreted pegmatites adjacent to spodumene bearing pegmatites and gold prospect with no historical lithium prospectivity)

Located ~450 km east of Perth and 120 km west of Norseman, the Black Sabbath Project covers a fold hinge in Youanmi Terrane Greenstones around Yilgarn Craton granites. Previous exploration has focused on gold mineralisation associated with the immediately adjacent Frodo Prospect. Recent work by Charger Metals defined a significant Li soil anomaly and spodumene bearing pegmatites (Sabbath Prospect) which is largely coincident with interpreted pegmatites mapped by GSWA. The GSWA mapped pegmatites extend through E63/2534 around the anti-form fold hinge, yet there has never been any exploration for lithium in this area. Ultra Fine Fraction (UFF) soil sampling is planned for the current 2026 field season.

Black Sabbath Project exploration context, Lake Johnston region