Auravelle hits high-grade gold at Sheoak: Can ASX:AUV unlock a scalable discovery near Tunkillia?

Auravelle Metals Limited (ASX: AUV) has confirmed broad, high-grade gold intercepts from its November 2025 reverse circulation (RC) drill program at the Sheoak Prospect within its Nuckulla Hill Gold Project in South Australia. The standout result of 28 metres at 3.4 grams per tonne gold from 48 metres, including intervals of 4 metres at 12.7 grams per tonne and 4 metres at 5.6 grams per tonne, has renewed market focus on the Yarlbrinda Shear Zone as a potential emerging gold corridor in the Gawler Craton.

The Sheoak mineralisation trend now spans over 200 metres of strike within a broader 600 metre anomalous gold zone, which remains open to the north, south, and at depth. These results mark a strong start to Auravelle’s 2026 exploration campaign, which also includes new programs at the Skye and Crown projects in South Australia and Western Australia respectively.

How does the Sheoak gold trend compare to other Yarlbrinda Shear Zone discoveries?

The Sheoak Prospect is strategically located within the regionally significant Yarlbrinda Shear Zone, the same structural corridor that hosts Barton Gold Holdings Limited’s 1.6 million ounce Tunkillia Gold Project. While Barton Gold Holdings Limited has already progressed to resource delineation, Auravelle Metals Limited is emerging as a high-grade exploration story with encouraging near-surface results.

The November 2025 drill campaign comprised 11 reverse circulation holes totaling 1,638 metres. Highlights from the program include 8 metres at 2.2 grams per tonne gold from 80 metres, 16 metres at 1.3 grams per tonne from 56 metres, and the previously mentioned 28 metres at 3.4 grams per tonne from 48 metres. When no lower cutoff is applied, the broader mineralised zone in the standout hole expands to 60 metres at 1.7 grams per tonne, underlining the scale potential of the Sheoak structure.

Cross-sectional interpretations suggest mineralisation dips steeply to the west and trends broadly north to south, with some sections showing a southeast deflection. Additional mineralisation was confirmed through 1-metre resamples from an earlier August 2025 campaign, including 2 metres at 2.2 grams per tonne and 1 metre at 3.2 grams per tonne, extending continuity of the northern trend and validating follow-up drill targeting.

What makes the geology and structural controls at Sheoak strategically significant?

Sheoak’s geological setting is consistent with other shear-hosted lode-style gold deposits found throughout the southern Gawler Craton. Host rocks include medium- to coarse-grained granitoids and gneisses of the St Peter and St Francis Suite, which have undergone intense shearing and brecciation along the Yarlbrinda Shear Zone. Gold mineralisation is associated with hydrothermal alteration zones featuring sericite, chlorite, epidote and minor disseminated sulphides. Mylonitic textures are present in the mineralised zones, indicating substantial structural strain.

Importantly, the gold is believed to originate from the Hiltaba Suite granites, which are also responsible for mineralisation at Olympic Dam and other major deposits in South Australia. These metal-rich granites have intruded both the St Peter and St Francis Suite and the older Tunkillia Suite granitoids. The regolith at Sheoak is relatively shallow, with saprolite encountered to around 40 metres and fresh rock beginning at approximately 50 metres depth, creating favourable conditions for shallow resource development if mineral continuity is confirmed.

What follow-up programs are planned, and how aggressive is Auravelle’s 2026 gold campaign?

Auravelle Metals Limited has laid out a multi-tiered exploration plan for 2026, reflecting both the scale of its South Australian footprint and its strategic intent to advance multiple assets simultaneously. Immediate next steps include follow-up RC drilling at Sheoak to test both down-dip and along-strike extensions of the recently reported mineralisation. This is expected to commence in late first quarter or early second quarter of 2026.

A broader regional program is also in motion. Soil sampling across the Nuckulla Hill and Tunkillia North tenements is already completed, with results due in January. These samples may help refine targeting along the Yarlbrinda corridor. In parallel, maiden drilling is being prepared for the Skye Project, located near Marmota Limited’s Golf Bore gold deposit. This area is part of a cluster of emerging prospects in the northern Gawler Craton.

In Western Australia, the Crown Project near Kalgoorlie will undergo aircore drilling in the first quarter, following the completion of heritage surveys expected in February. Additional geophysical surveys and permitting work are underway across both jurisdictions, ensuring Auravelle maintains momentum throughout the year.

What does this drilling update mean for investor sentiment and capital strategy at ASX:AUV?

The market is likely to view Auravelle’s latest results as a validation of its initial targeting thesis and as a strong signal of exploration upside at Sheoak. The company’s ability to generate both width and grade in the same zone, particularly with intercepts such as 28 metres at 3.4 grams per tonne gold from 48 metres, lends credibility to its geological model. Importantly, the program has expanded the footprint of mineralisation without excessive drilling, a positive indicator of capital efficiency.

In the context of the broader gold market, which has remained resilient into early 2026, Auravelle Metals Limited could benefit from renewed investor appetite for early-stage discoveries in safe jurisdictions. The presence of Barton Gold Holdings Limited and Marmota Limited as neighbours provides a useful reference point for market comparison, especially given the similarities in structure, host rocks, and style of mineralisation.

Auravelle’s disciplined capital strategy, targeting defined high-probability zones rather than broad speculative drilling, may also appeal to institutional backers and long-term retail investors. Execution risk remains, particularly around the need to convert high-grade intercepts into consistent mineralised zones at depth, but the company’s strategic roadmap appears grounded and data-driven.

What are the broader implications for the South Australian gold belt and junior explorers?

The Sheoak drilling results reinforce the narrative that the southern Gawler Craton, and particularly the Yarlbrinda Shear Zone, is still underexplored relative to its metallogenic potential. With Barton Gold Holdings Limited advancing Tunkillia and Marmota Limited progressing its projects to the north, Auravelle Metals Limited’s Sheoak program adds to a growing cluster of junior-led discoveries that could collectively redefine the regional gold landscape.

The growing body of mineralised intercepts, structural continuity, and geochemical anomalies across multiple tenements suggest that a new district-scale gold play may be emerging. If further drilling continues to return results of similar tenor and scale, the area could become a hotspot for joint ventures, strategic acquisitions, or equity financing, particularly among mid-tier producers seeking exposure to near-surface ounces in low-risk jurisdictions.

For junior explorers operating elsewhere in the Gawler Craton or comparable Proterozoic terrains, the Sheoak results serve as a reminder that tightly focused, structurally informed exploration strategies can deliver meaningful results even in areas with previous drilling history. Auravelle’s progress is likely to elevate interest in tenement turnover and exploration farm-in deals across the belt in 2026.

Key takeaways: What the Sheoak gold intercepts mean for Auravelle Metals and the exploration landscape

• Auravelle Metals Limited has reported 28m @ 3.4g/t Au from 48m at the Sheoak Prospect, including high-grade 4m zones up to 12.7g/t Au.

• The November 2025 RC campaign confirms over 200m of mineralisation within a broader 600m anomalous gold zone that remains open in all directions.

• Sheoak is geologically analogous to Barton Gold’s 1.6Moz Tunkillia Project and shares the same Yarlbrinda Shear Zone structural host.

• Multiple gold-focused exploration programs are planned in 2026 across Sheoak, the Skye Project, and the Crown Project in Western Australia.

• The geological setting, grade continuity, and proximity to known gold systems position Auravelle as a serious contender in the South Australian gold belt.

• Investor sentiment is likely to remain cautiously optimistic, contingent on follow-up drilling success and resource delineation progress.

• The Sheoak results may catalyse further exploration activity and capital inflows into the Gawler Craton’s emerging shear-hosted gold corridor.