A company planning a Tasmanian gold exploration drive will raise $2.18 million from investors.
Melbourne-headquartered Stellar Resources Limited said a key part of the capital raising was expected to fund its planned gold exploration program in the North-East.
That was subject to state authorities granting the 10 exploration licences Stellar applied for on September 10.
- Stellar Resources (SRZ) has entered a trading halt ahead of a capital raise announcement
- Stellar Resources also announced today it has lodged 10 exploration licence applications in northeast Tasmania
- The 10 targets cover a combined 2295 square kilometres and contain around 76 historic gold occurrences
- Stellar plans to conduct exploration activities over the areas once the applications are granted
- Whether or not the capital raise will support exploration is not yet certain
- Company shares last traded for 1.9 cents on Wednesday, September 9
Stellar Resources (SRZ) has entered a trading halt ahead of a capital raise announcement.
The company will remain in a trading halt until the earlier commencement of trading on Monday, September 14.
Stellar Resources also announced today it has lodged 10 exploration licence applications (ELAs) in northeast Tasmania which contains a highly prospective area for Victorian-style orogenic gold and intrusive-related gold systems.
There are around 76 historically-known gold occurrences within the ELA areas. Collectively, the ELAs cover a combined 2295 square kilometres.
“Stellar is excited to be in a position where it soon expects to be able to explore for Victorian-style gold exploration targets in relatively underexplored NE Tasmania within the continuation of the Victorian Western Lachlan Fold Belt,” Chairman Simon O’Loughlin said.
“Our geological team and network of technical consultants in Tasmania will also be a great asset in implementing the proposed gold exploration program going forward,” Simon added.
Stellar expects the application process to take between three and six months. If and once the ELAs have been granted, the company will begin an exploration program early next year.
Exploration will include various geophysical survey work, sampling and other fieldwork as well as drilling.
Whether or not the capital raise will support the planned exploration is not yet certain.
Company shares last traded for 1.9 cents on Wednesday, September 9.
A listed company is hopeful of a gold rush in Tasmania’s northeast. Stellar Resources is in an ASX trading halt until at least Monday,after telling the stock exchange it’s applying for 10 gold exploration licences in Tasmania’s northeast. The 10 applications will cover an area of nearly 2300 square kilometres; historical records show gold was found within these boundaries nearly 80 times. The company believes northeast Tasmania is a continuation of Victoria’s rich Western Lachlan Fold belt, which has produced around 80 million ounces for the Garden State. The company’s chairman says they’re still holding onto their tin mining leases on the state’s west coast as prices for the less precious metal improve. “We remain optimistic that tin prices will continue to strengthen, supporting the advancement of the Heemskirk Tin Project into the future,” said Simon O’Loughlin. Mineral Resources Tasmania could take up to six months to approve the exploration.
A Northern Tasmanian hunt for deposits linked to the famed Ballarat and Bendigo gold belt is being planned.
Stellar Resources Limited – which has been working for years towards potential tin mining at Zeehan – said it had lodged 10 exploration licence applications covering a large area in the North-East with state authorities.