Australia’s Strickland Metals is advancing plans for an initial mine at its Rogozna gold and base-metals project in southern Serbia, with a conceptual operation designed to process about 2.5 million tonnes of ore a year and produce up to 150,000 ounces of gold annually. That production scenario represents approximately 4.7 tonnes of gold per year. Its development remains subject to further technical studies, permitting and financing.
The company has identified the Gradina deposit as the focus of the first development phase. Gradina is estimated at 20 million tonnes grading 2.8 grams of gold per tonne, containing about 1.8 million ounces, or 56 tonnes, of gold. The resource is currently classified as Inferred, requiring additional drilling and engineering work before it can underpin a final investment decision. Strickland estimates that about 50,000 metres of further drilling will be required to test extensions and convert portions of the resource into higher-confidence categories.
Gradina becomes focus of initial mine planning
The development approach represents a move from Rogozna’s earlier exploration focus toward staged mine development, with Gradina being evaluated as the first operation. Chairman Anthony McClure said at the Mining Forum Americas in Colorado that the company was assessing a mine with annual processing capacity of around 2.5 million tonnes and potential gold production of up to 150,000 ounces.
Strickland is progressing technical work and has targeted completion of a pre-feasibility study in 2027. Metallurgical testing has recorded average gold recoveries of about 90%, with individual tests reaching almost 98%, using conventional flotation. Management has also said the current processing concept would not require cyanide.
Wider Rogozna resource contains 9.25 million ounces
Gradina forms part of a substantially larger mineral system. Strickland reports a combined Rogozna resource of approximately 217 million tonnes grading 1.33 grams per tonne gold-equivalent, containing about 9.25 million ounces of gold-equivalent metal. The total includes around 6.07 million ounces of gold, together with copper, silver, lead and zinc.
The resource is spread across four main deposits: Shanac, Gradina, Medenovac and Copper Canyon. Gradina is predominantly gold-focused, while the other deposits have greater base-metal components. Strickland is evaluating Copper Canyon as a potential later addition to a Gradina development and is increasingly examining underground mining options for the deposit. Shanac represents the largest longer-term component, with more than 5 million ounces of gold-equivalent resources. Its potential development would be substantially larger than the operation Strickland currently intends to pursue independently. Management has indicated that a future large-scale Shanac project could attract interest from a major mining company.
Zijin holds 7.4% Strickland stake
The development outlook also includes the presence of Zijin Mining, which has accumulated approximately 7.4% of Strickland Metals. Zijin already operates Serbia’s Bor copper complex and the Čukaru Peki copper-gold mine in the eastern part of the country, making it the dominant metallic-minerals producer in Serbia. Strickland regards the investment as strategic validation of Rogozna, although no agreement has been announced granting Zijin development rights or operational control over the project. The Gradina concept would give Strickland a potential development route within the financial and operational scope of a mid-sized mining company, while retaining exposure to the larger Rogozna deposits.
Drilling timetable affected by election period
The company’s work programme has also been affected by Serbia’s election calendar. McClure said during the Colorado presentation that Serbian authorities had encouraged mining companies to maintain a lower public profile during the current election period. According to his account, this contributed to reduced field activity. Strickland expects drilling activity to accelerate after parliamentary election and, under a favourable scenario, could resume in November.
The account reflects Strickland management’s description of discussions with Serbian authorities. No corresponding public government statement confirming such an instruction has been identified. The slowdown follows plans for one of Strickland’s largest drilling campaigns at Rogozna, including work intended to upgrade resources and support development studies.
Company reports about A$80 million in liquidity
Strickland has reported sufficient liquidity to continue funding exploration and technical work in the near term. The company held approximately A$81 million in cash and liquid investments at the end of March. Management told investors this week that available liquidity remained around A$80 million. This provides funding capacity for additional drilling and technical studies without an immediate return to equity markets.
The larger financing requirement would arise at mine-development stage. An operation processing 2.5 million tonnes annually would require capital for underground development, processing infrastructure, tailings and waste facilities, electricity connections, roads and other infrastructure. The capital requirements have not yet been publicly established and are expected to form part of the forthcoming engineering studies.
Development work remains ahead of production target
Rogozna is located within Serbia’s Tethyan metallogenic belt, where major copper and gold developments are already operating. Advancing Gradina would require Strickland to convert sufficient portions of its Inferred resource into higher-confidence categories, establish capital and operating costs, complete environmental and social studies, and obtain the required Serbian permits and financing.
The 150,000-ounce annual production scenario remains a development target rather than a committed mine plan. Strickland is therefore evaluating Gradina as the potential first mine within the broader Rogozna mineral system, while the larger deposits remain potential later-stage development opportunities.
