Sunstone Metals (ASX:STM) has raised $10 million through a share placement to accelerate exploration at its Bramaderos and El Palmar gold-copper projects in Ecuador.
Strategic investor DGR Global (ASX:DGR) has committed to subscribe for 50% of the placement, emerging with a 10% stake in the company upon completion.
As part of the deal, DGR will have the right to appoint one representative to the Sunstone board.
The placement comprises 56.8 million new shares priced at $0.175 each, representing a 14.6% discount to the last closing price and a 15.2% discount to the five-day volume-weighted average price of $0.206, both as of 24 June 2026.
Following completion of the equity raising, Sunstone will increase its pro forma cash balance to approximately $13 million before transaction costs.
Managing Director Patrick Duffy says DGR’s strategic investment validates the company’s gold-copper projects and strengthens its ability to expand existing resources.
“DGR is a proven resource company builder with a successful track record in Ecuador,” Duffy says.
“This equity raising provides the capital needed to accelerate our growth plans.”
Sunstone says proceeds will fund exploration drilling at both the Bramaderos and El Palmar projects, metallurgical testwork and other studies at Bramaderos, and increase Sunstone’s ownership of El Palmar from 74.5% to 82.6%.
The company also plans to upgrade the current Bramaderos 3.6 million ounce gold equivalent resource later in 2026, following its ongoing drilling program at the Porotillo and Copete discoveries.
Sunstone Metals is an ASX-listed mineral exploration company focused on making gold and copper discoveries in Ecuador.
Write to Paula Fabe at Mining.com.au
Images: Sunstone Metals
