Great Southern fully funded for drilling onslaught at +20g/t Cox’s Find gold project
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Special Report: Explorer Great Southern Mining (ASX:GSN) says a $3.15m placement will fund aggressive exploration programs across three of its ‘company making’ projects during 2020 – Cox’s Find, Mon Amie and Edinburgh Park.
The primary target is Cox’ Find near Laverton in WA, which produced 77,000 ounces of gold at more than 21 grams per tonne (g/t) between 1935 and 1942. The mine closed due to the lack of men available with the call to arms for WW2.
In late 2019, Great Southern’s maiden drilling campaign hit exceptional grades like 1m at 143g/t inside a larger 5m section grading 31.23g/t, 135m from surface. In all over 5 intersections of greater than 1 ounce gold were recorded during the initial drilling.
Several new, near-mine targets – geological ‘look-alikes’ of the Cox’s Find orebody – have since been defined by Great Southern and its consultants as well as the unmined and unexplored mine extensions.
These initial targets, which have never been drilled, could host an additional 480,000oz at grades of between 15 and 25g/t gold. Drilling is set to kick off “in the coming weeks”.
Great Southern executive chairman John Terpu says the maiden drilling program at Cox’s Find delivered a wonderful platform for this capital raising.
The placement price of 4.5c represents a minor discount of 6.25 per cent to the last closing price, and a 1.69 per cent discount to the 15- day volume-weighted average price.
“The success of this capital raising is a testament to the hard work of the executive team in putting together the company’s portfolio of quality gold projects over the last two years,” Terpu says.
“I also want to thank our advisers, Shaw and Partners for their support and efforts with this capital raising, particularly given the current economic climate.”
A portion of the funds raised will also be used to kick off extensional drilling programs at the Mon Ami gold project in WA, and continue targeting programs at Edinburgh Park in North Queensland following the highly encouraging hyperspectral survey co-funded with major miner Evolution Mining (ASX:EVN).
The company is now in a strong position to unlock value for shareholders with two brownfields drill out opportunities in highly endowed gold districts in WA as well as additional greenfields discovery potential in North Queensland, Terpu says.
“The placement means the company is well funded to undertake aggressive exploration programs across all three projects during 2020,” he says.
“We are truly excited about the future of our company and look forward to strong news flow as the drilling program kicks off in the coming weeks.”