Gold Fields Increases Stake, New Drilling Plans Unveiled
Hamelin Gold (ASX: HMG) secured $2.8 million in funding to speed up its gold exploration in Western Australia. A major part of this funding comes from Gold Fields (JSE: GFI), which now owns 17.7% of Hamelin. Gold Fields contributed $815,000 to the placement. The shares are priced at $0.07 each, a 13.2% discount from the 10-day volume-weighted average price. These funds will be allocated to experienced investors, including sophisticated and professional investors. Chieftain Securities (WA) and Cygnet Capital manage the placement. Subject to shareholder approval, they will receive 2 million options at $0.15 each, valid for two years. Additionally, Hamelin’s directors have committed $100,000 on the same terms as other investors.
Expansion of Exploration Projects in West Tanami and Yilgarn Regions
Hamelin Gold plans to expand its exploration in the West Tanami and Yilgarn projects. The company will conduct reverse circulation (RC) and diamond drilling at the Jazz and Fremlins prospects. They will also drill at Camel, Far SW, Hutch’s, and Ginger targets. Aircore and RC drilling will take place at these sites, while Ultrafine geochemical sampling will extend across the area. In January, Hamelin discovered granite-hosted gold mineralization at the Jazz Prospect, a first for West Tanami.
The West Tanami project covers 2,277 km² along the Trans-Tanami structural corridor. This corridor is known for hosting Newmont’s 14-million-ounce Callie Gold Deposit in the Northern Territory. Hamelin sees significant potential for new discoveries in this underexplored area. In the Yilgarn region, the company plans diamond drilling at the Anderson gold anomaly. It will also continue RC drilling at Ularring. Additionally, the Venus Project will undergo initial aircore drill testing. Soil samples from Anderson suggest a potential large-scale gold system.
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