Western Mines Group Ltd Reports Significant Upside to Mulga Tank Nickel Resource
Western Mines Group Ltd (ASX: WMG) has announced a dramatic expansion of the mineral resource at its Mulga Tank nickel‑copper‑cobalt‑platinum group element (PGE) project in the Western Australian Eastern Goldfields. The company’s latest drilling program, completed in October 2026, added 32 holes to the existing dataset and produced an updated mineral resource estimate that increases the indicated tonnage by 98 % and the total contained nickel by 35 %.
Updated Mineral Resource Estimate
The revised estimate, prepared in accordance with JORC 2012 and reviewed by independent consultants ERM, employs a 0.20 % nickel cut‑off and is summarised below:
| Resource Category | Tonnes | Nickel Grade | Cobalt (ppm) | Copper (ppm) | Pt + Pd (ppb) | S : Ni (1 : 1) |
|---|---|---|---|---|---|---|
| Total | 2,647 Mt | 0.27 % | 131 ppm | 77 ppm | 19 ppb | 1.0 |
| Indicated | 1,121 Mt | 0.28 % | 133 ppm | 90 ppm | 19 ppb | 1.0 |
| Inferred | 1,526 Mt | 0.27 % | 130 ppm | 68 ppm | 19 ppb | 0.9 |
The contained metal values derived from this estimate are:
- Nickel – 7.2 Mt
- Cobalt – 347 kt
- Copper – 205 kt
- Platinum + Palladium – 1.6 Moz
These figures represent a substantial improvement over the April 2025 estimate, which reported a total resource of approximately 5 Mt contained nickel. The new data suggest that the Mulga Tank deposit is “the largest nickel sulphide deposit in Australia and top 10 in the world,” according to Dr Caedmon Marriott, Managing Director of Western Mines.
Implications for the Project and the Company
The updated resource estimate is a key milestone for the first scoping study currently underway for Mulga Tank. By demonstrating a larger and higher‑grade deposit, the company strengthens its position to secure financing, attract strategic partners, and move toward a definitive feasibility study. The open‑pit nature of the deposit, combined with the presence of economically valuable secondary metals such as cobalt, copper, and PGEs, enhances the attractiveness of the project to a broad range of mining stakeholders.
Market Reaction
Western Mines’ share price has remained relatively flat since the release of the updated estimate, trading at A$0.115 as of 22 October 2026. The company’s market capitalization stands at A$15 million, with cash reserves of A$1.58 million (30 June 2026). Despite the technical upside, investors remain cautious, likely awaiting further commercial data and a definitive feasibility outcome before a significant price movement can be justified.
Outlook
Western Mines Group Ltd will continue to refine the Mulga Tank resource model and progress toward a comprehensive feasibility study. The company’s focus on exploration and mining services across gold and nickel sulphide deposits positions it well to capitalize on rising demand for nickel and associated base metals, particularly in the context of global transition to electric vehicles and renewable energy infrastructure.
For further information, please visit the company’s website at www.westernmines.com.au or review the official ASX release dated 26 October 2026.
