WA1 Resources Ltd (ASX: WA1) has delivered another busy quarterly update, yet the share price reaction has been relatively modest.
WA1 shares are up 1.51% to $18.14 at the time of writing. Zooming out, the stock is still nearly 10% lower than this time last year, even as activity ramps up at the Luni niobium project.
Here is what the company reported.
Drilling delivers standout niobium grades
The key highlight from the quarter was another strong set of drilling results from the Luni Niobium Project in Western Australia.
WA1 reported further infill and extensional drilling across high grade zones, with results continuing to exceed expectations.
Some of the standout intercepts included 67.3 metres at 5.4% Nb2O5, including a higher grade core of 30 metres at 9.8% Nb2O5. Additional holes returned 28.1 metres at 4.6% Nb2O5 and 36.5 metres at 2.9% Nb2O5.
Importantly, drilling to the east of Luni extended mineralisation beyond the current mineral resource envelope. That included wide intercepts of 73 metres at 1.8% Nb2O5 and 35 metres at 3.2% Nb2O5, pointing to potential future resource growth.
In total, around 35,000 metres of drilling was completed during 2025, with the results expected to feed into an updated mineral resource estimate later this year.
Major Project Status adds momentum
WA1 also confirmed that the Luni Niobium Project has been granted Major Project Status (MPS) by the Australian Federal Government for an initial 3-year period.
This designation recognises Luni as a project of national significance and provides WA1 with coordinated access to federal agencies through the Major Projects Facilitation Agency.
At the same time, pre development works continued on site, including construction of a temporary airstrip and completion of bore installation and pump testing to support hydrogeological studies.
A very strong balance sheet
The company finished the December quarter with roughly $138.5 million in cash and no debt. Based on current spending levels, WA1 estimates it has close to 10 quarters of funding available, giving it significant flexibility to progress studies without near term capital raising risk.
Quarterly exploration and evaluation spend came in at $13.4 million, with most of that directed toward drilling and on-site programs.
What to watch next
While WA1 shares remain below last year's levels, operational momentum at Luni continues to build.
The market will now be watching for an updated resource estimate and further drilling success. Progress on development studies could be key to unlocking the project's longer-term value.
WA1 remains a stock worth watching this year.
