Gold explorer Miramar Resources debuts on ASX with $8m IPO

WA exploration company Miramar Resources debuts on ASX with $8m IPO
‘Portfolio of under-explored but highly prospective exploration projects in two world-class gold provinces’
Doray Minerals founder Allan Kelly is chairman of Miramar Resources

Miramar Resources (ASX:M2R) joined the ASX boards Thursday after raising $8m in a heavily oversubscribed IPO to fund development of its gold, copper and base metals projects in Western Australia.

Headed by Allan Kelly, founding managing director of Doray Minerals which merged with Silver Lake Resources (ASX:SLR) last year, Miramar’s board has experience with monetising high quality mineral assets.

“We have compiled a portfolio of under-explored but highly prospective exploration projects in two world-class gold provinces and within close proximity to a number of existing gold mining and processing facilities,” Kelly said.

The company has several mineral projects, including for gold exploration, in WA’s Eastern Goldfields, Gascoyne and Murchison regions.

“It is a great time to be a West Australian focused gold exploration company,” he said.

Miramar Resources has projects in several WA regions — Miramar Resources has exploration projects in several WA regions. Image: company supplied

Three-pronged company strategy: acquire, add value, sell

Miramar Resources has a three-pronged strategy: to acquire projects with unrealised potential, to add value to projects by using best practice exploration techniques, and to realise value through farm-outs or sale of projects.

The share issue for Miramar Resources was priced at 20c per share and managed by Shaw and Partners.

Miramar Resources’ immediate focus will be on its 80 per-cent-owned Gidji joint venture 15km north of Kalgoorlie where drilling will test several targets.

“We aim to hit the ground running,” said Kelly, a 11.8 per cent shareholder in Miramar.

These include the potential for extensions to the Runway gold deposit to the south of Gidji’s southern tenement boundary.

A mineral inventory of 314,000 ounces was outlined at Runway in 2017 by Kalgoorlie’s Super Pit operating company, KCGM.

Previous drilling results for the 8-Mile Dam target within its Gidji project include hits at 28m at 2.19 grams per tonne gold.

Gidji gold project is 15km north of Kalgoorlie: Image: company supplied

Department of Mining approval for Gidji drilling

WA’s DMIRS has approved Miramar Resources’ drilling program for its Gidji project, and for drilling at its other prospects including, Glandore.

Glandore has 2km zones of underexplored gold mineralisation and high-grade gold intercepts within favourable host rocks.

The company’s third Kalgoorlie area project, Randalls, is adjacent to Silver Lake Resources’ 1.5 million ounces Mt Belches gold operations.

Two other company projects – Bangemall and Whaleshark – are located in the Capricorn Orogen in northwest WA, an area host to large gold, copper and nickel and platinum group metals.