BMG Resources Limited has received firm commitments for a Placement of fully paid ordinary shares, raising $2.5 million before costs, which will be used to fund major drilling and exploration programs at the company’s Western Australian gold projects.
The funds will go towards follow-up drilling campaigns at the high-grade Abercromby Gold Project, located in the north-eastern Goldfields, to further delineate the prospect and to test regional targets.
Recently completed drill programs at the Abercromby gold project delivered multiple thick intercepts of high-grade gold mineralisation, more than doubling the mineralised envelope.
Recent air-core drilling at Abercromby has highlighted significant regional prospectivity with three large gold anomalies with similar structural characteristics to the Capital prospect.
BMG Managing Director Bruce McCracken said:
“Gold exploration continues at pace in Western Australia, and we’re pleased to have received this strong backing from both new and existing shareholders.
“With these funds secured, we look forward to advancing the next phase of exploration across our portfolio of gold assets in WA, in particular the Abercromby Project, which has been the central focus of our efforts over the past 18 months.
The next phase of drilling at Abercromby is underway with 4,000m of diamond drilling focused on resource step-outs, extension holes and infill drilling at the Capital Prospect, while 7,500m of air-core drilling is focused on testing key regional targets.
The aircore rig is operating on site and the diamond rig is scheduled to arrive within the next week. BMG’s drilling at Abercromby has delivered exceptional results that confirm high-grade gold mineralisation across broad zones, with mineralisation in these gold zones interpreted to be open in all directions with potential for further extensions along strike and at depth.
