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News.com.au
28-05-2025
- Business
- News.com.au
Counter Cycle: These takeover targets are glaringly obvious (but no one's talking about 'em)
Welcome to Counter Cycle with Nero Resource Fund founder and co-portfolio manager Rusty Delroy, a Cottesloe-based fund manager who has developed a reputation for taking the path less travelled in his investments. Today, Delroy muses on three miners who could fetch a takeover bid in the next 12 months. Mergers and acquisitions have been the name of the game on the ASX of late, with a confluence of coalescing factors coinciding to create new combinations across the resources space. Dealmaking partly comes from inefficiencies in the market. Aspects like access to capital, permitting and investor sentiment can undervalue companies against the fundamental cash generating potential of their key projects. Nero's contrarian portfolio manager Rusty Delroy looks for these inefficiencies, and identifying companies that could be subject to takeovers is one of the fund's key strategies. Big wins for Delroy's firm in recent years have come from the $385m sale of Lithium Power International to Chile's Codelco in 2023, and, in just the past fortnight, international copper juniors Xanadu Mines (ASX:XAM) and New World Resources (ASX:NWC), who have accepted respective $160m and $185m cash bids from overseas players. Add to that MAC Copper's (ASX:MAC) revelation of a $1.6bn cash offer from South Africa's Harmony Gold, snaring the mining giant the 50,000tpa CSA copper mine in Cobar, and it's clear strategics are ascribing value to projects well beyond that attributed by Aussie investors. M&A is often pro-cyclical (a synonym for bad) and the biggest takeover news in recent months has come in the hot, consensus pick, gold space. But bearish sentiment around other commodities means counter-cyclical M&A is on like Donkey Kong as well. While companies in the producing space are making strong cash flows, explorers, developers and single asset producers aren't getting credit for their potential earnings. "I think there's a robust enough forward outlook in the broader demand for commodities. At the same time, there are arguably quite distressed valuations down the curve," Delroy said. "Up the curve, the balance sheets are strong. In gold they're not just strong, they're extreme. "Anytime you've got a situation where up the curve has strong balance sheets and high margins, and down the curve has modest to low valuations, then that will precipitate M&A. And I think that's what we're seeing." The aforementioned deals have, barring any interlopers, come and gone. But Delroy thinks these other stocks are primed for corporate action in the next 12-18 months. Jupiter Mines (ASX:JMS) Jupiter Mines has been on the radar since Exxaro paid ~A$1bn to acquire the majority 50.1% stake in the Tshipi Borwa manganese mine in South Africa through the acquisition of shares held by Ntsimbintle Holdings and OM Holdings (ASX:OMH). At the same time it paid the equivalent of 31.7c a share to take a 19.99% stake in Jupiter, the owner of the other 49.9% of the mine, a regular dividend payer that has the cost base to survive down swings in the manganese cycle. Even with a 43% bump on the day the deal was announced, Jupiter's shares are still trading at just 19c today for a market cap of $363m. "It's so glaringly obvious," Delroy said. "(Exxaro have) just paid the same sort of value for the other part of the joint venture. " In order to operate that asset with full discretion, they need to take control of Jupiter. It's a glaringly obvious fact. "It's such an off-the-radar commodity in an off-the-radar jurisdiction at an off-the-radar company. That to me would be the absolute standout in this market." Delroy says JMS is trading "substantially below what the clear natural owner has indicated they are willing to pay". But even if he is "completely wrong", Delroy noted shareholders get to receive a dividend in the mean time if Exxaro takes its time. St Barbara (ASX:SBM) Don't be surprised if St Barbara sees some corporate interest, Delroy says. The gold company is the ugly, unloved orphan of a deal in 2024 that saw now $5bn capped Genesis Minerals (ASX:GMD) emerge with the prized Gwalia gold mine in WA's Leonora region and $330m-capped SBM walk away with the spoils of past M&A deals gone wrong at Simberi in Papua New Guinea and Atlantic Gold in Canada's Nova Scotia. It's looking to hive off the Canadian stuff into a separate vehicle and become purely focused on PNG, where regulatory squabbles have created noise around its proposed 200,000ozpa Simberi sulphide expansion project. The project would deliver 2.2Moz of gold between FY26 and FY38, with FID expected in Q2 or Q3 2026, pending the outcome of a tax assessment which is under dispute between SBM and the PNG Government. "I think St Barbara is a standout target with a 6 to 12-month view, I really do," Delroy said. "And I know that's a hard one, because it was the ugly stepsister after the Genesis process and it was spat out with such disgust. "But we're in a completely different landscape gold price-wise, there's a clear path there on both assets if you've got any degree of patience over a two or three year view to be meaningfully producing from them. "That is a corporate target and/or they've announced they're looking to spin out their Canadian asset. Does that precipitate and corporate piece? Who knows, it's possible." Delroy says Winsome, which owns the Adina lithium project in Canada's James Bay region, is a leftfield possibility. The battery metal is trading miles into the cost curve, which means prices are way too low to incentivise new production right now. But we've seen plenty of counter-cyclical M&A in the lithium space, notably Pilbara Minerals' (ASX:PLS) scrip takeover of Latin Resources last year and Rio Tinto's (ASX:RIO) $10bn cash splash on Allkem. Winsome's Adina in Quebec hosts 78Mt of spodumene ore at 1.15% Li2O, with a potentially lower cost pathway to production thanks to an option over the mothballed processing plant at the nearby Renard diamond operation. "If you're a lithium company that's got any ability to think outside the cycle you've got to be having a look at something like that and thinking maybe you tuck it away cheaply," Delroy said. "Now I think that's a real leftfield, off-the-radar, place to do some work. Whether or not (it happens), let's see. "Unfortunately, most mining executives are not counter-cyclical, they're pro-cyclical." Stockhead does not provide, endorse or otherwise assume responsibility for any financial product advice contained in this article.
Globe and Mail
19-05-2025
- Business
- Globe and Mail
Recommended A$0.08 Per Share Cash Offer
TORONTO, May 19, 2025 (GLOBE NEWSWIRE) -- Xanadu Mines Ltd (ASX:XAM, TSX:XAM) (Xanadu or the Company) and Bastion Mining Pte Ltd (Bastion) are pleased to announce that they have entered into a Bid Implementation Agreement on 19 May 2025 under which Bastion will make an off-market takeover offer to acquire all the fully paid, ordinary shares issued in Xanadu (Xanadu Shares) which Bastion does not already own, at a price of A$0.08 cash per Xanadu Share (Offer). A copy of the Bid Implementation Agreement is attached as Annexure A to this announcement. The Offer is made by Bastion, which represents a consortium of Boroo Pte Ltd (Boroo) and Xanadu Director Ganbayar Lkhagvasuren (together, the Bid Sponsors). Boroo is a private Singapore-incorporated entity which invests in major gold projects internationally. Boroo key assets include Lagunas Norte, a producing gold mine in Peru and a portfolio of development-stage projects in South America. Boroo has guaranteed Bastion's obligations as bidder under the Bid Implementation Agreement. Xanadu's Takeover Board Committee 1, together with Xanadu's legal and financial advisers, have carefully considered the Offer. The Takeover Board Committee Directors unanimously recommend that Xanadu shareholders ACCEPT the Offer in the absence of a superior proposal and subject to the Independent Expert concluding (and continuing to conclude) that the Offer is fair and reasonable. Xanadu Executive Chairman and Managing Director, Mr Colin Moorhead, said: "The proposed acquisition of Xanadu by Bastion is aligned with the Company's strategy of generating returns for shareholders and also providing a liquidity event. Bastion's Offer provides Xanadu shareholders with an attractive premium, which recognizes the Company's inherent value and considerable achievements in progressing the Kharmagtai Copper-Gold Project. The Takeover Board Committee Directors consider the Offer to be in the best interest of shareholders and unanimously recommend that shareholders accept the Offer in the absence of a superior proposal and subject to the Independent Expert concluding (and continuing to conclude) that the Offer is fair and reasonable." Mr. Ganbayar Lkhagvasuren, on behalf of Bastion, said: 'Together with my partners at Boroo, I am pleased to be making this supported Offer to Xanadu shareholders. The Bastion Offer provides Xanadu shareholders with the certainty of cash at a significant premium to Xanadu's share price, against a market backdrop of considerable uncertainty. Bastion is ideally positioned to advance Kharmagtai to the next stage of development with the benefit of Boroo's experience in acquiring, financing and developing mining operations in Mongolia." Highlights Bastion Mining Pte. Ltd. (Bastion) to make an agreed cash offer of A$0.08 per share for all the shares of Xanadu Mines Limited (Xanadu or the Company) it does not currently hold, via an off-market takeover (Offer). Offer price of A$0.08 cash per share, representing a 57% premium to Xanadu's closing price of A$0.051 per share on 16 May 2025. The Offer implies a total equity value for Xanadu of A$160 million, excluding the proposed share issue to Bastion. Bastion to subscribe for 286,829,633 shares in Xanadu at A$0.06 per share, representing an initial investment of A$17.2 million to fund the Company's share of joint venture cash calls, working capital and associated corporate costs during the Offer period. The Offer is subject to Bastion acquiring a minimum relevant interest in Xanadu of at least 50.1%, together with limited other conditions as contained in the attached Bid Implementation Agreement. Bastion has agreed that once it acquires a relevant interest in at least 50.1% of the shares in Xanadu that it will declare the Offer unconditional. Xanadu's Board has formed a sub-committee of independent directors (Takeover Board Committee) to consider the Offer. The Takeover Board Committee UNANIMOUSLY RECOMMENDS that SHAREHOLDERS ACCEPT THE OFFER, in the absence of a superior proposal and subject to the Independent Expert concluding (and continuing to conclude) that the Offer is fair and reasonable and, subject to those same qualifications, each member of the Takeover Board Committee, who together at the date of this announcement hold a relevant interest in the Company of 1.86%, intend to accept, or procure the acceptance of, the Offer in respect of all of the shares they respectively hold or control (including any shares that may be issued upon the vesting and exercise of any options during the period of the Offer). CAAF Ltd, Xanadu's largest independent shareholder who holds a relevant interest in the Company of 11.85%, has stated its intention to accept the Offer subject to the Bid Implementation Agreement not being terminated, in the absence of a superior proposal (as determined in their sole and absolute discretion) and subject to the Independent Expert concluding that the Offer is fair and reasonable (and such expert not changing or withdrawing that opinion). Xanadu will host a conference call at 12:00pm AEST on Wednesday, 21 May. To listen live, please click on the link below and register your details: Details of the Offer The Offer will be made by Bastion on behalf of the Bid Sponsors. The Offer price will be A$0.08 cash per Xanadu Share, which represents a premium of: 57% to Xanadu's last closing price of A$0.051 per share on 16 May 2025; 62% to Xanadu's 10-day volume weighted average price of A$0.049 per share up to and including 16 May 2025; 46% to Xanadu's 30-day volume weighted average price of A$0.055 per share up to and including 16 May 2025; and 52% to Xanadu's 90-day volume weighted average price of A$0.053 per share up to and including 16 May 2025. Support from Takeover Board Committee and Major Shareholder Xanadu is pleased to advise that its largest independent shareholder, CAAF Ltd, has confirmed its intention to accept the Offer in the absence of a superior proposal and subject to the Independent Expert concluding that the Offer is fair and reasonable. CAAF Ltd holds a relevant interest in 11.85% of Xanadu's undiluted shares. Xanadu's Takeover Board Committee Directors: Unanimously recommend that Xanadu shareholders ACCEPT the Offer; and Have each confirmed their intention to accept, or procure the acceptance of, the Offer in respect of all Xanadu Shares which they own or control (including any Xanadu Shares that may be issued upon the vesting and exercise of any options during the period of the Offer) 2, in each case in the absence of a superior proposal and subject to the Independent Expert concluding (and continuing to conclude) that the Offer is fair and reasonable. Bid Implementation Agreement Under a Bid Implementation Agreement dated 19 May 2025 (BIA), Xanadu and Bastion have given undertakings to each other to facilitate the Offer. The Offer is subject to a limited number of conditions as noted below. Bastion obtaining a relevant interest in Xanadu of at least 50.1%. Until the end of the Offer period, Xanadu must not exercise either of the put options granted under the terms of the Joint Venture Shareholders' Agreement 3 which, if exercised, would require Jinping (Singapore) Mining Pte. Ltd (Jinping) to acquire either 25% or 50% of Xanadu's shareholding in Khuiten Metals Pte Ltd (Khuiten Metals). No prescribed occurrence in relation to Xanadu. No material adverse change in relation to Xanadu. No government or regulatory action in consequence of, or in connection with, the Offer which adversely impacts the Offer (subject to certain carve outs). None of the warranties given by Xanadu become incorrect or untrue during the Offer period. Bastion has committed to declare the Offer unconditional upon achieving a relevant interest in the Company of 50.1%. The BIA also contains terms usual for a transaction of this nature, including customary exclusivity arrangements such as 'no shop', 'no talk' and 'no due diligence' restrictions as well as a right for Bastion to match any competing proposal. A break fee or a reverse break fee may also be payable in certain circumstances. Details of the key terms and conditions of the Offer are set out in the attached BIA. Full details of the Offer will be set out in Xanadu's Target's Statement (which will enclose a copy of the Independent Expert's Report). Equity Funding Arrangements To assist Xanadu in meeting its corporate and joint venture funding obligations during the Offer period, Bastion and Xanadu have entered into a share subscription agreement (Subscription Agreement) under which Bastion has agreed to subscribe for 286,829,633 Xanadu Shares at an issue price of A$0.06 per share (Subscription Shares). The issue of the Subscription Shares is expected to occur on 26 May 2025 (Settlement Date), unless the Subscription Agreement is terminated prior to completion. In particular, if a competing proposal is received prior to the Settlement Date and Xanadu either (1) does not confirm that the competing proposal is not a superior proposal in accordance with the BIA, or (2) fails to recommend that shareholders reject the competing proposal, Bastion may elect to terminate the Subscription Agreement in which case the subscription will not occur. If completion of the Subscription Agreement occurs as intended: the Subscription Shares will be issued under Xanadu's available placement capacity pursuant to ASX Listing Rule 7.1; Xanadu will receive a cash injection of A$17.2 million; and Immediately following settlement, Bastion will hold a relevant interest in 13.04% of Xanadu Shares. Withdrawal of the 25% Put Option Resolution Currently, an extraordinary general meeting of members is scheduled to be held on 4 June 2025 at which members will be asked to consider and approve a resolution authorising Xanadu to exercise the put option which requires Jinping to acquire 25% of Xanadu's shareholding in Khuiten Metals (Put Option Resolution). However, in light of the Offer and the funding to be received by Xanadu upon issue of the Subscription Shares, the Takeover Board Committee has committed to withdraw the Put Option Resolution following successful completion of the equity funding arrangements under the Subscription Agreement. Indicative Timetable Further details regarding the Offer and Takeover Board Committee's recommendation will be outlined in Bastion's Bidder's Statement and Xanadu's Target's Statement, which are expected to be despatched to Xanadu Shareholders on or about 28 May 2025, following completion of the equity funding arrangement under the Subscription Agreement. Once the Bidder's Statement has been despatched, the Offer will open for acceptance. The Offer will initially remain open for a minimum period of one month. The Bidder's Statement and the Target's Statement will set out important information, including the Independent Expert's Report (with detail supporting the conclusion of the Independent Expert), how to accept the Offer, and the key reasons why Xanadu shareholders should accept the Offer. An indicative timetable for the Offer is set out below. Advisers Xanadu has appointed Jefferies (Australia) as its financial adviser, HopgoodGanim Lawyers as its Australian legal adviser and Bennett Jones LLP as its Canadian legal adviser. Bastion has appointed CIBC Capital Markets and Cormark Securities Inc. as its financial advisers, Allens as its Australian legal adviser and Stikeman Elliott as its Canadian legal adviser. Further Information The Xanadu Takeover Board Committee will keep shareholders informed of any material developments relating to the Offer in accordance with continuous disclosure requirements. Until then, there is no need for Xanadu shareholders to take any action. About Xanadu Mines Xanadu is an ASX and TSX listed Exploration company operating in Mongolia. We give investors exposure to globally significant, large-scale copper-gold discoveries and low-cost inventory growth. Xanadu maintains a portfolio of exploration projects and remains one of the few junior explorers on the ASX or TSX who jointly control a globally significant copper-gold deposit in our flagship Kharmagtai project together with our 50-50 JV partner Zijin Mining Group. For further information on Xanadu, please visit: or contact: This Announcement was authorised for release by Xanadu's Takeover Board Committee. Forward-Looking Statements Certain statements contained in this Announcement, including information as to the future financial or operating performance of Xanadu and its projects may also include statements which are 'forward‐looking statements' that may include, amongst other things, statements regarding targets, estimates and assumptions in respect of mineral reserves and mineral resources and anticipated grades and recovery rates, production and prices, recovery costs and results, capital expenditures and are or may be based on assumptions and estimates related to future technical, economic, market, political, social and other conditions. These 'forward-looking statements' are necessarily based upon a number of estimates and assumptions that, while considered reasonable by Xanadu, are inherently subject to significant technical, business, economic, competitive, political and social uncertainties and contingencies and involve known and unknown risks and uncertainties that could cause actual events or results to differ materially from estimated or anticipated events or results reflected in such forward‐looking statements. Xanadu disclaims any intent or obligation to update publicly or release any revisions to any forward‐looking statements, whether as a result of new information, future events, circumstances or results or otherwise after the date of this Announcement or to reflect the occurrence of unanticipated events, other than required by the Corporations Act 2001 (Cth) and the Listing Rules of the Australian Securities Exchange (ASX) and Toronto Stock Exchange (TSX). The words 'believe', 'expect', 'anticipate', 'indicate', 'contemplate', 'target', 'plan', 'intends', 'continue', 'budget', 'estimate', 'may', 'will', 'schedule' and similar expressions identify forward‐looking statements. All 'forward‐looking statements' made in this Announcement are qualified by the foregoing cautionary statements. Investors are cautioned that 'forward‐looking statements' are not guarantee of future performance and accordingly investors are cautioned not to put undue reliance on 'forward‐looking statements' due to the inherent uncertainty therein. For further information please visit the Xanadu Mines' Website at ___________________________ 1 The Takeover Board Committee comprises all Xanadu Directors as at the date of this announcement other than Ganbayar Lkhagvasuren and Zijin's representative, Shaoyang Shen. 2 As at the date of this announcement, Colin Moorhead owns or controls 22,920,000 Xanadu Shares (representing approximately 1.20% of the Xanadu Shares on issue), Michele Muscillo owns or controls 9,059,981 Xanadu Shares (representing approximately 0.47% of the Xanadu Shares on issue), and Tony Pearson owns or controls 3,600,555 Xanadu Shares (representing approximately 0.19% of the Xanadu Shares on issue). 3 The Joint Venture Shareholders' Agreement dated 21 December 2022 between the Target, Jinping (Singapore) Mining Pte. Ltd and Khuiten Metals Pte Ltd establishing an incorporated joint venture in connection with the Kharmagtai Project.
News.com.au
19-05-2025
- Business
- News.com.au
Resources Top 5: Gold diversification puts light at the end of tunnel for Uvre
Uranium and lithium explorer Uvre is diversifying into gold Xanadu Mines has soared after fielding an off-market takeover offer from Bastion Mining Brightstar has upgraded gold resources at key deposits in the Laverton and Menzies hub Your standout resources stocks for Monday, May 19, 2025 Uvre (ASX:UVA) With a shift in focus to gold at a time of strong prices, uranium and lithium explorer Uvre has been a strong mover, rising as much as 22.35% to 11.5c. This comes after the company signed a binding agreement to acquire 100% of Minerals Exploration and its wholly-owned subsidiary Otagold, which holds a portfolio of five exploration and prospecting permits in New Zealand. The acquisition is subject to completion of several conditions, including due diligence on MEL and Otagold and the permits held by Otagold. It is also contingent on Uvre (ASX:UVA) raising at least $4m in a single tranche share placement at 8c per share, managed by Bell Potter Securities. UVA has secured firm commitments for its equity raise following a strongly supported bookbuild, with incoming directors Norman Seckold and Peter Nightingale – both major shareholders of MEL – committing $500,000 and $100,000 respectively, pending shareholder approval. As full consideration, Uvre will issue 75m fully paid ordinary shares at 8c per share, valuing the transaction at $6m. Seckold was previously chairman of New Zealand gold developer Santana Minerals (ASX:SMI) and is currently chairman of Alpha HPA (ASX:A4N), Nickel Industries (ASX:NIC), Fulcrum Lithium (ASX:FUL) and Sky Metals (ASX:SKY). Otagold controls a strategic landholding with 100% ownership of five permits and applications covering 332km2 of highly prospective ground. Its flagship asset is the Waitekauri gold project, roughly 8km west of OceanaGold Corp's 10Moz Waihi gold mine on New Zealand's North Island. UVA executive chairman Brett Mitchell said this transaction was an exceptional opportunity for Uvre on several levels. 'Norm and Peter will bring a wealth of knowledge and experience in the resources business, along with a track record of creating substantial shareholder value through resource asset exploration and project development,' he said. 'The Otagold projects led by Waitekauri have compelling gold exploration upside in a tier-one jurisdiction, as shown by the extensive mineralisation and drilling targets already identified. 'The combination of Norman's well-known record in building successful mining projects combined with the talented Uvre team, the immense exploration upside at these projects and the strong financial position which will follow the placement will leave Uvre very well-placed to create significant value." UVA will be targeting bonanza style gold-silver low sulphidation veins with the objective to identify a multi-million-ounce resource. An eight-hole drill program has been designed with landowner compensation agreement completed and significant potential identified at depth and along strike. UVA shares settled at 10c, up 6.4%, but well above the 8c issue price of the raising and deal. Xanadu Mines (ASX:XAM) ASX and TSX listed Mongolian copper-gold explorer Xanadu Mines has soared 55% to 7.9c on volume of more than 74m after fielding an off-market takeover offer from Bastion Mining Pte Ltd. A Bid Implementation Agreement has been entered by the parties and this comes after the offer was recommended unanimously by an XAM Takeover Board Committee. Bastion represents a consortium of Boroo Pte Ltd, a private Singapore-incorporated entity which invests in major gold projects internationally, and Xanadu director Ganbayar Lkhagvasuren. The offer price of A$0.08 cash per share represents a 57% premium to Xanadu's closing price of 5.1c on May 16, 2025, and 62% to its 10-day volume weighted average price of 4.9c up to and including May 16. This offer implies a total equity value for Xanadu of A$160m, excluding the proposed share issue to Bastion. Bastion will subscribe for 286,829,633 shares in Xanadu at A$0.06 per share, representing an initial investment of A$17.2 million to fund the company's share of joint venture cash calls, working capital and associated corporate costs during the offer period. Boroo's key assets include Lagunas Norte, a producing gold mine in Peru and a portfolio of development-stage projects in South America. Xanadu Mines (ASX:XAM) has a suite of Mongolian exploration plays with the most advanced being the global-scale Kharmagtai copper-gold project held with 50-50 JV partner Zijin Mining Group. The Takeover Board Committee, together with XAM's legal and financial advisers, recommend that shareholders accept the offer in the absence of a superior proposal and subject to the Independent Expert concluding (and continuing to conclude) that the offer is fair and reasonable. 'The proposed acquisition of Xanadu by Bastion is aligned with the company's strategy of generating returns for shareholders and also providing a liquidity event,' Xanadu executive chairman and managing director Colin Moorhead said. 'Bastion's offer provides Xanadu shareholders with an attractive premium, which recognises the company's inherent value and considerable achievements in progressing the Kharmagtai copper-gold project,' he said. 'Together with my partners at Boroo, I am pleased to be making this supported offer to Xanadu shareholders,' said Ganbayar Lkhagvasuren, on behalf of Bastion. 'The Bastion offer provides Xanadu shareholders with the certainty of cash at a significant premium to Xanadu's share price, against a market backdrop of considerable uncertainty. 'Bastion is ideally positioned to advance Kharmagtai to the next stage of development with the benefit of Boroo's experience in acquiring, financing and developing mining operations in Mongolia.' CAAF Ltd, Xanadu's largest independent shareholder which holds a relevant interest in the company of 11.85%, has stated its intention to accept the offer. Bastion has agreed that once it acquires a relevant interest in at least 50.1% of the shares in Xanadu it will declare the offer unconditional. Upgraded resources at key deposits within the Laverton and Menzies hubs of Brightstar Resources in WA's Goldfields have seen shares push 7.98% higher to 74.5c. They later settled up 2.2%. The resource estimates come ahead of a definitive feasibility study and are set to underpin future mining operations. The most noteworthy upgrades are a 34% increase in total measured and indicated resources at the Lord Byron deposit to 251,000oz at 1.5g/t gold along with a 25% increase in resource grade at the Lady Shenton system to 273,000oz at 1.5/t gold. Cork Tree Well has also seen total indicated ounces increase 6% to 292,000oz at 1.4g/t gold while total resources at Fish deposit have increased 22% to 49,000oz at 4g/t gold. Resource grade at the Second Fortune underground mine increased 23% to 40,000oz at 13.4g/t gold while the Link Zone deposit has seen total resources upgraded 38% to 29,000oz at 1g/t gold. Brightstar Resources (ASX:BTR) managing director Alex Rovira said the 2024 drilling was aimed at preparing the deposits for near-term development and dependable, deliverable mining operations. 'The infill drilling, both RC and DD, has provided increased confidence across the deposits and reduced geological risks for future mining, which will be crucial as Brightstar looks to progress the deposits toward production,' he said. 'This update features Brightstar's first resource estimates for several of the recently acquired deposits across the portfolio. 'It is therefore particularly encouraging to see these results, which include increases in head-grade and measured & Iindicated classification, considering the utilisation of Brightstar's robust in-house mining-focused estimation parameters.' The company already has more than 1Moz of gold in high confidence measured and indicated resources with +300,000oz in producing or near-term deposits such as Second Fortune, Fish and Lord Byron at Laverton as well as Lady Shenton and Link Zone at Menzies. A steady mover has been Resource Mining Corporation with an exploration and development update for the Mpanda copper-gold project being the catalyst for another 22% increase to 2.8c. After a positive update from the Tanzanian project on May 13, shares have climbed from 0.6c and this prompted a price and volume query from the ASX. Previous results from the project have returned impressive gold and copper grades from rock samples up to 36.7g/t gold and 11.89g/t copper from Kabungu and 13.58% copper and 3.24g/t gold from Stalike. Analysis of copper-gold auger and soil samples is progressing focused on Stalike and Kabungu prospects. Multiple small-scale mines form a northwest-southeast trend which combined with soil geochemistry and rock and drilling results, extends more than 40km. Ten prospects make up the Mpanda Project and the company believes results to date provide an indicator of the presence of an extensive mineralised system. There have been 16 rock chip samples from small-scale mines gathered within RMC's tenements with five samples exceeding 11g/t gold and two exceeding 10% copper from the Kabungu prospect. As well as ongoing exploration, RMC is assessing near-term production opportunities at Stalike and Kabungu by utilising nearby existing third-party processing infrastructure. 'Renewed investor interest in RMC in the past week has been very encouraging following our recent update of ongoing exploration activities,' executive chairman Asimwe Kabunga said. 'These works are ongoing and will help form the basis for a more structured and targeted low-cost drill program that we can execute in the near-term once we complete the current sampling program. 'As well as our exploration activities, given the extensive small-scale workings located across our Stalike and Kabungu projects where local miners have exploited the near-surface material, RMC is uniquely positioned to accelerate development of its own mineral production operations without extensive capex.' Raiden Resources (ASX:RDN) Investors have shown their approval of initial assay results from ongoing 2025 Phase 2 diamond drilling program on the Vuzel Gold Project of Raiden Resources in south-eastern Bulgaria, with shares 75% higher at 0.7c. All eight Phase 2 holes at Vuzel hit near-surface gold and significant intersections include: 24.8m at 1.96g/t gold from 0m, including 13.3m at 3.40g/t from 0m; 56m at 1.09g/t Au from 0m, including 8m at 1.50g/t from 7m and 8.3m at 4.94g/t from 47.7m; and 47.5m at 0.53g/t Au from 2.5m. Results indicate that Vuzel may host an extensive, near-surface mineralised gold system with a high-grade component. 'I am pleased to report that all assay results received to date from the second phase of the Vuzel drilling campaign have confirmed significant gold mineralisation, extending over a meaningful strike length and width,' managing director Dusko Ljubojevic said. 'These results build on the strong foundation of our maiden drilling program, which also intersected gold mineralisation in every hole. 'Importantly, this phase has delivered high-grade intercepts and has significantly improved our understanding of the controlling structures that acted as conduits for fluid emplacement. 'This growing geological insight is expected to enable more precise targeting of high-grade zones in future drilling. 'We believe that recent transactions in the region support management's view that discoveries in the district hold the potential for significant value generation for shareholders.'
