Kuniko Limited (ASX: KNI) has officially launched its Phase 2 diamond drilling program at the Commonwealth-Silica Hill gold-silver project, located in the Lachlan Fold Belt of New South Wales. This second campaign follows a successful initial round of exploration, which achieved a 100% success rate across all six holes drilled. The company is now focusing on testing both resource growth opportunities and high-priority exploration targets within the project area.

The current program consists of an initial six diamond drill holes covering approximately 1,350 metres. Depending on initial geological results and operational outcomes, the team may expand this effort to as many as 14 holes, totalling roughly 3,340 metres. Primary drilling targets include the Commonwealth Main Shaft, Commonwealth South, and the new Silica Hill discovery, where previous work identified high-grade mineralisation.

"The commencement of Phase 2 drilling represents the next step in advancing the Commonwealth-Silica Hill Project following the successful Phase 1 campaign which delivered bonanza-grade results."

"Beyond the current resource footprint, the Company has identified significant exploration upside across the broader Commonwealth-Silica Hill-Welcome Jack trend."

— Maja McGuire, MD

Beyond the immediate project footprint, technical teams have identified a conductive corridor and historic shaft areas at Walls and Stringers that may provide additional near-resource targets. This regional assessment integrates geological, geochemical, and geophysical datasets to better define the potential for a larger, interconnected mineralised system across the trend.

Investors can expect the next round of news regarding this campaign in the coming months. Assay results from the current diamond drilling are anticipated in early September 2026. Following these results, the company expects to release an updated Mineral Resource Estimate for the project during the second half of 2026.

Read the full announcement: Phase 2 Drilling Commences