Resources Top 5: $395m of funding will put Toubani on track to be West Africa’s next gold producer

• Funding of $395m will see TRE become West Africa’s next gold producer
• A proposed merger between Ardiden and Lac Gold will create a leading Canadian gold exploration and development company
• The potential scale of LKY’s Mojave project in California has been increased

Your standout small cap resources stocks for Friday, October 10, 2025.

Toubani Resources (ASX:TRE)

A $395 million funding package will fund construction of the 2.2Moz Kobada gold project in Mali and transform Toubani Resources (ASX:TRE) into West Africa’s next gold producer.

The package includes a $242m (US$160m) component via an 11.1% gold stream with existing major shareholder Eagle Eye Asset Holdings (EEA). This is conditional on shareholder approval and drawdown is subject to satisfaction of conditions precedent.

Another $26m will come from the accelerated exercise of existing options held by EEA and a further $125m via a multi-tranche placement to institutional, sophisticated and professional investors at 40c per share.

The latter includes a $45m commitment from EEA, which is approximately equal to pro-rata and subject to shareholder and FIRB approval.

This package has been described by the company as “transformational” and has been welcomed by investors with shares reaching a record 53.5c, a lift of 27.39% on the previous close.   

With existing cash, the package allows Toubani to commit to a final investment decision (FID) by the end of the year and accelerate development of the Kobada project at which first production is targeted by Q3 2027

“Today’s funding package marks a company-defining milestone for Toubani Resources, enabling us to advance the Kobada Gold Project and move decisively toward becoming the next West African gold producer,” Toubani MD Phil Russo said.

“Successfully de-risking Kobada to this pivotal point is the culmination of several years of disciplined execution against our strategy. 

“This achievement is underpinned by the strength of the Kobada Project and the invaluable support of our partners — in particular, Eagle Eye Asset Holdings.

“They share our conviction in the significant value of Kobada and have played a fundamental role in unlocking this outcome in Mali today.

“We believe Kobada is a project of genuine regional significance – technically simple, oxide-dominant and highly compelling.” 

US$216m from the package, in conjunction with Toubani’s existing $26m cash, will be allocated to Kobada development including:

• US$60m treatment plant, includes earthworks, primary crushing, milling, thickening, leaching, elution, gold room and tails handling;
• US$21m owners’ project cost includes allowance for community consultation and compensation, and community development initiatives;
• US$43m non-process infrastructure includes US$21m for TSF and US$7m for public roads and regional infrastructure; and
• US$18m contingency included in total capital estimate.

US$13m will be allocated to resource expansion and growth initiatives.

Ardiden (ASX:ADV)

A proposed merger between Ardiden (ASX:ADV) and unlisted Lac Gold is set to create a leading Canadian gold exploration and development company with scale, strategic balance and multiple growth pathways.

Ardiden has entered into a binding share sale agreement with Lac Gold and certain key shareholders of Lac Gold in a merger of equals.

This will see the merged entity hold two quality projects, Pickle Lake and Rouyn, in two of Canada’s prolific and stable gold regions.

Lac Gold holds the advanced-stage Rouyn project along the Cadillac–Larder Lake Break within the tier-1 Abitibi gold belt of Québec.

Rouyn lies within the same geological setting as several major nearby gold mines and deposits including LaRonde-Bousquet, Lapa and Westwood.

The project hosts a JORC (2012) resource of 15.8 Mt at 3.28 g/t Au for 1.66 Moz and is just 4km south of Rouyn-Noranda, a key mining centre in the region.

This resource has been defined from drilling at relatively shallow depths of only 400-700m whereas most neighbouring operations along the Cadillac Break are mining at depths approaching 3000 metres.

The project benefits from significant infrastructure advantages, including established surface facilities and strategic land holdings across key areas of the project.

Rouyn offers advanced-stage growth potential while ADV’s Pickle Lake in Ontario, anchored by three known deposits and multiple high-priority drill targets, provides district-scale discovery upside. 

“This merger with Lac Gold marks a pivotal next step in our growth strategy,” Ardiden’s chair Michelle Roth said. “Rouyn adds a high-quality resource in Québec’s world-class Cadillac Break, complementing the scale and potential of Pickle Lake in Ontario. 

“Together, we are creating a well-funded Canadian gold explorer and developer with a strong leadership team, a balanced portfolio, and a clear path to unlocking long-term value for our shareholders.”

To fund the merger, Ardiden has received firm commitments to raise $10 million at 20c per share, a 5.3% premium to the last trading price and 18.6% premium to the 30-day VWAP, subject to shareholder approval.

The proposed merged board and executive team bring a proven track record in exploration success, project management and development, as well as value-accretive transactions consistently delivering strong returns.

Locksley Resources (ASX:LKY)

The potential scale of Locksley Resources’ (ASX:LKY) Mojave project in California has been increased after structural mapping pushed the strike of the Desert Antimony Mine mineralised corridor fourfold to 1.2km.

This work also identified a parallel structural target, enhancing the potential for a larger mineralised system across multiple mineralised zones.

The new target zone sits just 150m west of the main Desert Antimony Mine structure and exhibits similar alteration and structural characteristics.

An updated geological model has defined seven priority targets for surface sampling, which will support a JORC exploration target.

CEO Kerrie Mathers said the mapping program, LKY’s second at Mojave, had markedly improved the company’s geological understanding and confirmed the substantial exploration potential of the tenure.

“The fourfold expansion … has fundamentally changed the scale of the opportunity, demonstrating the potential for a much larger mineralised system.”

Dart Mining (ASX:DTM)

Dart Mining (ASX:DTM) has unearthed some high-grade antimony and gold rock chips at the Connambula gold-antimony project in Central Queensland, a joint venture with Great Divide Mining (ASX:GDM).

Rock chip samples from float and in situ veins across the historic Banshee mine area graded up to 65.3% and 55.5% antimony. 

The rock chips included gold grades of up to 17g/t and 15.05g/t and there were also silver grades up to 97.9g/t and 66.7g/t.

“The Coonambula project continues to gain momentum with the return of high-grade antimony, gold and silver results from float and in situ trench wall sampling,” DTM chairman James Chirnside said.

“These results and other broader exploration activities at Coonambula, including the recent IP survey, serve to highlight the excellent antimony, gold and silver prospectivity of the project.”

The project is about 390km by road north-northwest of Brisbane. It is 70km southeast of the multi-million-ounce Cracow gold mine and 25km southwest of the Eidsvold goldfield.

Kingsland Minerals (ASX:KNG)

Diamond drilling has recommenced at the Leliyn graphite project in the NT for Kingsland Minerals (ASX:KNG) to generate bulk samples for metallurgical testwork.

About 6000kg of material will be generated from a program of four, PQ size (85mm diameter), diamond core holes, which will be completed over the next several weeks.

Testwork will focus on optimising crushing, grinding and flotation parameters.

This follows the recent positive scoping study on the production of graphite concentrate at the project.

Leliyn is one of Australia’s most significant graphite deposits with a resource of 192.5Mt at 7.3% total graphitic carbon containing 14Mt of graphite.

This article does not constitute financial product advice. You should consider obtaining independent financial advice before making any financial decisions. While Locksley Resources and Kingsland Minerals are Stockhead advertisers, they did not sponsor this article.