Australian shares fell to a two-month low at 12.10pm with the S&P/ASX 200 down 74 points, or 0.9 per cent, to 8,675.6. Six of the 11 sectors traded lower, led by materials and financials. Brent crude rose 1 per cent to around US$106.68 a barrel as the Middle East war continued.
Higher oil prices added to inflation and interest rate concerns, pushing bond yields higher. Australian 10-year yields reached a fresh 15-year high of 5.398 per cent, while materials were the weakest sector as iron ore and copper prices fell to three-week lows, with BHP and Rio Tinto both down more than 2 per cent.
In small cap company news:
Breakthrough extends copper-gold mineralisation at Turpentine
Breakthrough Minerals (ASX:BTM) has reported further high-grade copper-gold results from drilling at its Turpentine deposit in North Queensland. Results included 14 metres at 1.57 per cent copper equivalent from 251 metres, including 5 metres at 3.75 per cent. The northernmost hole drilled to date extended mineralisation beyond the existing resource, with further drilling set to begin next week.
Element 25 begins early works at Butcherbird expansion
Element 25 (ASX:E25) has commenced early site works at its Butcherbird Expansion Project in Western Australia, marking the first construction phase of the project. Work includes site clearing, earthworks and infrastructure preparation ahead of construction of the expanded processing plant, which is planned to support a 1.1 million tonne-a-year manganese concentrate operation.
Falcon Metals starts maiden drilling at Errabiddy
Falcon Metals (ASX:FAL) has commenced maiden drilling at the Olsen Well gold target within its Errabiddy Gold Project in Western Australia. The expanded program will comprise around 50 reverse circulation holes for 6,000 metres, targeting the central portion of a 5.8-kilometre gold-in-soil anomaly.
Argent intersects visible gold at Trunkey Creek
Argent Minerals (ASX:ARD) has observed visible gold in the second hole of its maiden drilling program at the Trunkey Creek Gold Project in New South Wales. Visible gold was identified in two quartz veins below historic underground workings, with laboratory assays now underway and fast-tracked results expected within 10 days. The company cautioned that visual observations are not a substitute for laboratory analysis.
Jindalee prepares to start drilling at McDermitt
Jindalee Lithium (ASX:JLL) has begun site mobilisation for a major drilling program at its McDermitt Lithium Project in Oregon after US authorities eased fire restrictions. Phase one drilling is expected to start in late September, with first results expected early next year. The company also says its proposed US Elemental transaction remains on track for a Nasdaq listing in the fourth quarter of 2026, subject to remaining conditions.
