RUA Gold's Auld Creek Breakthrough: High-Grade Gold-Antimony Intercepts Signal Major Resource Potential

The discovery of 5.9 g/t gold equivalent (AuEq) over 9 meters and 48.3 g/t AuEq over 1.25 meters at RUA Gold’s Auld Creek project in New Zealand’s Reefton Goldfield marks a pivotal moment for the company. These intercepts, drilled to depths exceeding 150 meters, not only validate the project’s high-grade potential but also highlight its strategic positioning in a world increasingly reliant on critical minerals like antimony. With antimony prices surging over 300% since early 2024, RUA’s dual-metal resource has emerged as a compelling investment opportunity.

Drilling Results: A Deepening Grade Profile

Recent drilling at Auld Creek has revealed a depth-related grade improvement, with the Fraternal ore shoot plunging to the south and remaining open along strike and at depth. Key highlights include:
- ACDDH027: 9m at 5.9 g/t AuEq (5.2 g/t gold and 0.16% antimony) from 159 meters, marking a broader zone of gold mineralization.
- ACDDH028: 1.25m at 48.3 g/t AuEq (13.3 g/t gold and 8.1% antimony) at 210 meters depth, underscoring the project’s capacity to deliver narrow, ultra-high-grade intercepts.

The results align with geological modeling suggesting the mineralization extends vertically to 160 meters and is open beyond. Of particular note, four of eight drill holes intersected visible stibnite (antimony sulfide) mineralization, indicating robust continuity of the gold-antimony system.

Strategic Importance of Antimony

Antimony’s classification as a critical mineral by New Zealand, the U.S., EU, and others has transformed Auld Creek from a gold project into a dual-asset play. The metal’s use in batteries, flame retardants, and defense applications has driven its price to over US$50,000/tonne (from US$11,350 in early 2024), as China’s export restrictions tightened global supply.

RUA’s AuEq calculations (using Au: US$2,065/oz, Sb: US$34,300/tonne) emphasize antimony’s economic weight. For instance, the 1.25m intercept in ACDDH028 contributes ~75% of its AuEq value from antimony alone, making the project resilient to gold price volatility.

Resource Expansion and Exploration Momentum

Auld Creek’s inferred resource stands at 700,000 tonnes grading 3.1 g/t gold and 1.1% antimony, containing 67,000 oz gold and 8,000 tonnes antimony. However, this represents just two of four identified shoots (Bonanza and Fraternal), with exploration targeting a 2.5km strike length.

Surface geochemistry has identified extensions of the Fraternal North and Bonanza Northeast prospects, while arsenic anomalies suggest further mineralization. Drilling is now focused on the southern plunge of the Fraternal shoot, where intercepts like ACDDH028 indicate higher-grade potential at depth.

Technical and Regulatory Strengths

RUA’s drilling adheres to rigorous QA/QC protocols, with assays conducted by SGS and ALS labs. The company’s use of AI-driven targeting tools (VRIFY) has streamlined exploration, reducing costs and de-risking targets. New Zealand’s Fast Track Approval Bill also positions Auld Creek to benefit from streamlined permitting, a critical advantage in a region with complex regulatory environments.

Risks and Considerations

While the results are promising, investors must acknowledge risks:
- Commodity price volatility: Gold and antimony prices remain sensitive to macroeconomic factors.
- Depth challenges: Exploiting deeper, narrow high-grade zones may require cost-intensive underground mining.
- Geopolitical risks: Antimony’s strategic importance could lead to export restrictions or nationalization pressures.

Conclusion: A High-Grade Catalyst for Critical Minerals

RUA Gold’s Auld Creek project is a rare combination of high-grade gold, strategic antimony, and open-pit potential, all within a politically stable jurisdiction. With ~120,000 hectares of tenements in a historic goldfield and a resource that could triple in size across four shoots, the project’s upside is compelling.

The 5.9 g/t and 48.3 g/t intercepts are not just technical successes—they signal a resource with the potential to rival New Zealand’s major goldfields. As antimony demand soars, RUA’s focus on this critical mineral positions it to capitalize on a structural supply deficit.

Investors seeking exposure to high-grade gold and critical minerals in a de-risked jurisdiction should take note: Auld Creek’s results have set a new benchmark for exploration upside in the region. With drilling continuing to test open extensions, RUA is poised to redefine its resource—and its valuation—in the coming quarters.