Aurumin retains 20% stake as Mt Palmer gold drilling results 2025 advance in Western Australia’s Southern Cross.
Introduction
Kula Gold Limited (ASX: KGD) has announced that joint venture partner Aurumin Limited (ASX: AUN) will retain its 20 per cent equity in the Mt Palmer Gold Project in the Southern Cross Goldfields, Western Australia.
Aurumin’s decision to continue funding exploration on a pro-rata basis underscores its commitment to the project and reflects confidence in Kula’s technical and operational capabilities. The Mt Palmer asset sits within a proven gold-producing region, near the +600,000-ounce Nevoria deposit and the three-million-ounce Marvel Loch mine. 
Figure 1:Track mounted RC drilling in progress at the Mt Palmer Gold Project
Key Findings: Mt Palmer Gold Drilling Results 2025
The Mt Palmer mine historically produced more than 150,000 ounces of gold at an average grade of 15.9 grams per tonne between 1934 and 1944, before closing due to World War II. The site has not been reopened since.
Today, Kula’s drilling campaigns are targeting extensions of these high-grade mineralised zones through structural analysis and core drilling.
Highlights from Mt Palmer gold drilling results 2025:
- Aurumin retains a 20% equity stake in the joint venture.
- Historical output: 150,000oz @ 15.9g/t between 1934–1944.
- Proximity to Nevoria (+600,000oz) and Marvel Loch (~3Moz).
- Ongoing diamond core drilling to define mineralised extensions.
- Gold price exceeding A$5,500/oz strengthens project economics.
Managing Director Ric Dawson stated: “I am encouraged by our joint venture partner retaining its equity interest, demonstrating confidence in Kula’s team maintaining a high standard of technical success as we continue to advance the Mt Palmer Gold Project. With gold exceeding A$5,500 per ounce, our path to cash flow gets shorter with every success, so an exciting time to be a shareholder of Kula.”
Economic and Strategic Benefits
Aurumin’s decision provides financial stability and signals market confidence in the project’s potential. At a time when gold prices are near record highs, the economics of Mt Palmer become more compelling. Rising global demand for gold as a safe-haven asset, combined with central bank stockpiling, supports the strategic timing of exploration.
Joint ventures also spread capital requirements and reduce project risk, making Mt Palmer more attractive to investors seeking leveraged exposure to gold. The Kula Gold Aurumin joint venture at Mt Palmer ensures aligned interests between both companies as they advance toward potential development.
Resource and Exploration Updates
The Mt Palmer drilling program focuses on refining geological models to identify extensions of high-grade zones mined historically. Diamond core drilling is underway to support resource definition. Structural analysis provides insights into the plunge and location of mineralised lodes.
Figure 2: Kula’s Marvel Loch Region Prospects
Kula’s broader portfolio adds to its long-term growth strategy. The Boomerang Kaolin Deposit near Southern Cross hosts a maiden JORC resource of 93.3 million tonnes (15.2Mt indicated and 78.1Mt inferred). This project is progressing through economic studies and funding discussions with private equity and potential joint venture partners.
Kula has also demonstrated exploration success outside Australia, having advanced the Woodlark Island Gold Project in Papua New Guinea to more than one million ounces before its sale to Geopacific Resources Limited (ASX: GPR).
Market and Strategic Context: Mt Palmer Gold Drilling Results 2025
Global industry forecasts highlight continued demand growth for gold and other strategic commodities used in renewable energy, electrification, and defence sectors. While Mt Palmer is a gold-focused project, Kula’s exploration strategy also targets structural settings capable of hosting lithium, aligning with the transition to cleaner energy.
Western Australia remains one of the most favourable mining jurisdictions worldwide, offering stable regulation, supportive infrastructure, and high environmental, social, and governance (ESG) standards. This provides Kula with an advantage over peers operating in less stable regions.
Investor Outlook: Kula Gold Southern Cross Project
Kula Gold Limited’s shares closed at $0.012 on 11 September 2025, up 41.18 per cent on the day. The company recorded trading volume of 10.3 million shares, with a market capitalisation of $8.81 million. Its bid-offer range stood at $0.010–$0.011.
Aurumin Limited shares ended flat at $0.110, with 2.4 million shares traded and a market capitalisation of $55.03 million. Its bid-offer range was $0.110–$0.115.
The positive market response to Kula’s announcement reflects investor optimism over the Mt Palmer drilling program and the strengthened joint venture. The Kula Gold Southern Cross project remains a central focus, with upcoming drill results expected to drive sentiment further.
Also Read: Platina Resources Advances Laverton Footprint with the High-Potential Mt McKenna Project
Closing Outlook
The decision by Aurumin to maintain its 20 per cent stake in the Kula Gold Aurumin joint venture at Mt Palmer reinforces the project’s strategic importance. With strong gold prices, proven regional geology, and active exploration underway, Mt Palmer stands positioned to re-emerge as a contributor to Western Australia’s gold production profile.
For investors, the Mt Palmer gold drilling results 2025 will be a critical milestone in assessing the project’s capacity to deliver long-term value within the global gold supply chain.
