Money raised will be allocated towards drilling program at the Wagyu gold project. Pic: Getty Images
New Age Exploration locks in $1.6m to drive gold drilling efforts at Wagyu
Mining
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- A successful $1.6m share placement paves the way for gold drilling at Wagyu
- New Age Exploration will drill test gold targets as well as the depth and strike continuity of mineralisation
- Additional aircore drilling is also planned for Q2
Special Report: Funds from a strongly supported placement to investors will be used to fast-track drilling plans at New Age Exploration’s Wagyu gold project, within the same mineralised trend as the 11.2Moz Hemi deposit currently being taken over by Northern Star Resources.
The share placement received commitments from sophisticated, professional, and other investors for 400m fully paid shares at an issue price of 0.4c, a 20% discount to the company’s last traded price on February 28.
So far, Phase 1 and 2 aircore drilling programs have confirmed multiple gold intercepts, reinforcing the relationship between intermediate intrusive rocks and gold mineralisation—a key geological feature observed at Hemi, which has turned its owner De Grey Mining into a $5bn takeover target for Australia’s top gold producer.
With additional heritage clearances completed, New Age Exploration (ASX:NAE) is ready to commence the next drilling phase, which includes a 3000m RC drilling program, ongoing geological evaluation and additional aircore drilling in Q2.
Expanding drilling efforts in the Central Pilbara
“We are pleased with the strong level of investor support for this capital raise, which positions NAE to advance exploration at Wagyu – one of the most promising emerging gold projects in the Central Pilbara,” NAE executive director Joshua Wellisch said.
“Our recent drilling results have reinforced the project’s potential, with multiple high-grade gold intercepts confirming similarities to De Grey’s world-class Hemi.
“The funds secured will allow us to expand our drilling efforts, testing gold targets at depth and across newly accessible prospective zones.”
Resampling of drilling results in February highlighted a further 16 significant intercepts at Wagyu, with several drillholes showing multiple zones of gold mineralisation.
One impressive stand-out assay result from Phase 2 drilling was a 7m zone of gold mineralisation in drillhole 24WA225.
It included an enriched area of 2m at 9.3g/t gold with 1m returning a grade of 15.56 g/t gold with mineralisation found within an intermediate intrusive rock, starting at a depth of 49m downhole.
Drilling to provide deeper insights
NAE believes that with each drilling phase, the Wagyu project gets closer to mirroring Hemi’s early-stage development.
The Phase 3 drilling program marks a crucial step in assessing Wagyu as a major gold discovery, with upcoming drilling expected to provide deeper insights into mineralisation continuity and the overall scale of the project.
This article was developed in collaboration with New Age Exploration, 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.
