GoldArc Resources (ASX:GA8) is raising $7.2 million through a placement to accelerate drilling across its Leonora North and South gold projects.
The company will issue up to 102.9 million shares at $0.07 per share, representing a 2.78% discount to the last closing price of $0.072 on 12 May 2026 and a 19.3% discount to the 10-day volume-weighted average price.
BML Ventures (BMLV) and its principals have subscribed for $1.5 million, with $1.0 million set off against the principal amount advanced under the existing profit cash advance facility.
Bell Potter Securities and GBA Capital act as joint lead managers, with Leeuwin Wealth as co-manager. Settlement is expected on 21 May 2026, with new shares allotted on 22 May 2026.
Directors have committed to subscribe for $135,000, subject to shareholder approval at a general meeting expected in July 2026.
Managing Director Paul Stephen says the raise reflects investor confidence in the company’s district-scale Leonora position and will fund an immediate escalation in exploration.
“Our focus over the next 12 months is clear — we own 100% of Leonora North, the Ursus Fault has delivered 152,000 ounces in the 3km we’ve tested, and we have 9km of this structure yet to drill,” Stephen says.
Stephen also notes that the Ursus Fault is a “significant exploration corridor” in one of the world’s best gold addresses.
“Importantly, our BMLV partnership means Mt Stirling is already on a production pathway — so every exploration dollar we deploy is building on a company that already has a funded path to cash flow.”
The company holds 100% of the Leonora North Gold Project across approximately 12km of the Ursus Fault Line, with only 3km drill-tested to date. The Ursus Fault currently hosts the Mt Stirling and Stirling Well resources totalling 152,000 ounces at 1.7 grams per tonne gold.
Systematic soil sampling has defined five gold anomalies at Leonora North, with the S3 and S4 anomalies displaying a ‘stronger geochemical signature’ than the Mt Stirling discovery.
Proceeds will fund a 12-month exploration program focused on Leonora North, including reverse circulation (RC) drilling at Mt Stirling S1–S7 prospects. Drilling at Leonora North will begin in July 2026, with RC programs at the Yttria prospect in September and the Chert prospect in November.
Regional soil programs will collect 200 samples from the Leonora North-Chert area and 1,000 samples each from Leonora North and South to identify new drill targets ahead of planned RC campaigns.
GoldArc Resources is a gold explorer company focused on pursuing new discoveries in Western Australia.
Write to Maddison Elliott at Mining.com.au
Images: GoldArc Resources
