Golden State Mining has raised $1.5 million for lithium-focused drilling at Paynes Find. Pic via Getty Images
Golden State Mining locks in funding for 8,000m lithium drilling blitz
Mining
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- Golden State raises the $1.5 million via an oversubscribed placement to sophisticated and professional investors
- 8,000m of lithium-focused drilling planned for Paynes Find beginning Q1 2024
Special Report: Investors are backing Golden State Mining to prove up its lithium discovery at Paynes Find with the company pulling in $1.5 million for its next phase of exploration.
Golden State Mining (ASX: GSM) raised eyebrows last week with the news field mapping at Paynes Find had identified numerous pegmatite outcrops within elevated to anomalous lithium-caesium-tantalum geochemistry envelopes.
Paynes Find has long been a traditional gold mining hotspot in WA’s Murchison region with Golden Grove, Rothsay and Kirkalocka among the notable deposits close to GSM’s tenure.
GSM believes its +1,300km2 ground package is ripe for potential lithium mineralisation, as evidenced by recent geochemical sampling which highlighted the potential for highly fractionated granites and pegmatites.
Up to 8,000m of lithium-focused AC/RC drilling is planned for Paynes Find, beginning in Q1 2024.
Paynes Find no one-trick pony for GSM
GSM raised the $1.5 million via an oversubscribed placement to sophisticated and professional investors through the issue of 88.2 million new shares at 1.7c per share and one free option (exercisable at 0.5c before 2 June 2025) for each share issued.
A general shareholders meeting will be scheduled for next month to vote on the issue of 40.5 million of the 88.2 million shares to be issued, as well as all free options.
Plutus Capital is acting as lead manager to the placement.
Funds will also be tipped towards follow-up mineralogy and petrology of the high caesium and lithium samples collected from the company’s Yule/Nomad project in the Pilbara’s Mallina Basin.
‘Well positioned to vigorously and diligently advance’
GSM managing director Mike Moore was impressed with the level of investor demand recorded in the capital raising. dd
“We welcome the endorsement of our Paynes Find lithium exploration strategy, demonstrated by the oversubscribed placement to existing shareholders and new investors of the company,” he said.
“The company is well positioned to vigorously and diligently advance its lithium and gold exploration across WA, including our planned maiden drilling campaign at the Paynes Find lithium project, where we have recently identified outcropping pegmatites, as well as furthering our Yule/Nomad project in one of Australia’s premier mineral discovery provinces.”
This article was developed in collaboration with Golden State Mining, a Stockhead advertiser at the time of publishing.
This article does not constitute financial product advice. You should consider obtaining independent advice before making any financial decisions.
