The Australian sharemarket opened lower on Monday, weighed down by falling commodity prices and a cautious tone ahead of the federal government’s mid-year budget and economic update. By 10.20am AEDT, the S&P/ASX 200 had fallen 49.9 points, or 0.6 per cent, to 8,647.4 with all 11 sectors trading in negative territory.
Materials led the declines after copper prices fell more than 3 per cent on Friday amid a broader risk-off move in global markets. BHP slipped 1.8 per cent, while Fortescue eased 0.09 per cent despite announcing a binding deal to acquire full ownership of Canadian-listed Alta Copper. In financials, the major banks were mixed, while ASX Limited dropped 2.9 per cent after agreeing to governance changes that include holding an additional $150 million in capital and lowering its dividend payout ratio.
In company news,
EOS signs conditional US$80m high-energy laser contract
Electro Optic Systems Holdings
(ASX:EOS) has entered into a binding conditional contract valued at US$80m (about A$120m) to manufacture and supply a 100kW high-energy laser weapon system to a customer in the Republic of Korea. The agreement includes delivery of the laser system, the proposed formation of a joint venture to serve the Korean market, and licensing of relevant intellectual property, subject to regulatory approvals and contract conditions being met. If completed, the contract would represent EOS’s second export order for its 100kW-class laser defence technology, with production planned at its Singapore manufacturing facility and delivery expected by the end of 2027.
Redcastle Resources reports exceptional gold grades in grade control drilling
Redcastle Resources
(ASX:RC1) has reported exceptional gold grades from initial grade control drilling at the Redcastle Reef deposit, including 1m at 3,650g/t gold from 15m, within a broader 7m interval averaging 527g/t gold. The results support the geological interpretation underpinning the existing mineral resource estimate and confirm continuity of high-grade shoots within the reef system. The company said the drilling program is aimed at refining grade definition for mine planning, with further results expected as the program continues.
Green & Gold extends high-grade gold mineralisation at Mt Wandoo
Green & Gold Minerals
(ASX:GG1) has reported multiple high-grade drill intersections at its Mt Wandoo deposit in north Queensland, extending mineralisation beyond the existing inferred resource and identifying new zones outside the current model. Highlights included 6m at 11.1g/t gold from 38m and 12m at 5.9g/t gold from 59m, with drilling also extending high-grade shoots along strike and down plunge. The company said the results support plans to update the mineral resource estimate and progress mining studies, with toll-treatment discussions underway for nearby processing infrastructure.
