Magnetic is now assessing how best to unlock the riches across its gold projects in Western Australia’s Laverton region following a string of drill successes and clamouring outside interest.

The company has initiated a strategic review to assess various pathways – including alternative ownership options – that will best achieve this objective.

Significantly near-surface

More than 100,000m of predominantly shallow drilling carried out by Magnetic Resources (ASX:MAU) has already resulted in three near-surface and significant discoveries – Hawks Nest 9, Lady Julie and Homeward Bound South.

Current drilling – a 41-hole program totalling 4,120m – is aimed at testing numerous thick high-grade targets over a 1km long zone at the Lady Julie 1 discovery with recent results demonstrating the potential for deeper underlying intrusions with similar structure and geology to adjacent world class gold deposits located 10- 35km away.

Managing director George Sakalidis said the strategic location of its mineralisation in the heart of the Laverton region – near other large-scale gold operations – represented a unique opportunity to create value for shareholders.

He added that potential options include integrating its projects as new sources of ore feed for existing mines or integrating them into a new standalone project.

Jeffries is on it

The company has appointed Jefferies (Australia) Pty Ltd, a leading international investment bank, as its financial adviser in relation to the strategic review.

“Jefferies has both local and international reach which we are looking forward to leveraging with its team, given the expected interest from a range of parties,” Sakalidis added.

“The review will explore a range of M&A and consolidation options with the ultimate focus on maximising shareholder value.”




This article was developed in collaboration with Magnetic Resources, 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.