Wedoany.com Report-Dec.1, Southern Cross Gold Consolidated has received formal approval for its work plan to construct an exploration tunnel at the Sunday Creek gold-antimony project, located in Victoria, Australia. The approval enables the company to move from surface-based exploration toward detailed underground evaluation and potential future mine planning.

The approved exploration tunnel will provide underground access to high-grade mineralisation at Sunday Creek.

The Sunday Creek project has delivered consistent high-grade gold and antimony results over the past three years, establishing it as one of the notable discoveries in the region. The approved exploration decline will provide direct underground access to multiple zones of mineralisation, allowing closer-spaced drilling and more accurate resource modelling both along strike and at greater depth.

The tunnel will also supply essential geotechnical, hydrogeological, and metallurgical information required for subsequent mine-design studies. It will support testing of different mining methods and equipment suitability under actual site conditions.

Southern Cross Gold emphasized that the decline design was refined through comprehensive community and stakeholder consultation to reduce environmental disturbance, protect cultural heritage sites, and limit impact on local residents. Compared with continued large-scale surface drilling, the underground approach will decrease noise, dust, and visual effects while requiring fewer surface drill locations and preserving native vegetation.

Michael Hudson, president and CEO of Southern Cross Gold, commented: "This work plan approval is a pivotal milestone in Sunday Creek's evolution from exploration discovery to future potential mine development. We are assembling the pieces needed for a commercially viable operation: an exceptional high-grade discovery with demonstrated depth continuity, strategic freehold land ownership, proven metallurgy, and now approval for underground access.

"The exploration tunnel will allow us access to drill and better understand the high-grade mineralisation, significantly enhancing our ability to define and expand the resource and advance technical studies.

"With ten surface drill rigs operating today, the company plans to add an additional 12 drill rigs underground after the decline completion for 22 rigs in total, making it the largest pre-development drill programme in Australia."

Site preparation activities are scheduled to start next month. The company is simultaneously progressing remaining secondary consents under the Water Act and Environment Protection Act in cooperation with the Department of Energy, Environment and Climate Action, Resources Victoria, and other regulatory bodies before underground development begins.

Earlier this year, in April, Southern Cross Gold announced a private placement aiming to raise approximately C$120 million through the issuance of around 26.6 million common shares and/or CHESS Depositary Interests to fund ongoing exploration and development work at Sunday Creek.

The approved exploration decline marks a significant step forward for the project, providing the platform for accelerated resource growth and detailed technical evaluation in the coming years.