Lundin Family and Zijin Invest A$69M in Predictive Discovery Placement

Strategic Capital Injection

Predictive Discovery Limited (ASX:PDI) has successfully secured approximately A$69.2 million through a strategic private placement involving two heavyweight investors: the Lundin Family and Zijin Mining Group. The placement was priced at A$0.265 per share, reflecting a slight premium to recent trading prices, and will see the issuance of around 261.2 million new shares.

The Lundin Family, known for their extensive mining sector expertise and a portfolio valued at C$23.7 billion, will acquire a 6.5% stake in PDI through an investment of A$45.1 million. Zijin Mining, a global mining giant with a market capitalization near US$58 billion, will take a 3.5% shareholding for A$24.1 million. This strategic partnership not only injects capital but also brings significant industry credibility to Predictive Discovery.

Funding the Bankan Gold Project

The proceeds from this capital raise will be directed primarily towards advancing the Bankan Gold Project in Guinea, which is the company’s flagship asset. The funds will support the ongoing Definitive Feasibility Study (DFS), essential environmental and social impact programs, and regional exploration efforts aimed at expanding the current 5.38 million ounce mineral resource estimate.

Additionally, Predictive Discovery plans to initiate selected early development activities, including front-end engineering and design, procurement of long lead items, and initial earthworks. These steps are critical in positioning the Bankan Project for a timely development decision and eventual production ramp-up.

Strengthening Financial Position

Following completion of the placement, Predictive Discovery will hold a pro-forma cash balance of approximately A$98 million, a substantial increase from the A$28.8 million reported at the end of 2024. This robust financial platform ensures the company is fully funded through to a development decision, reducing the need for near-term capital raises and providing flexibility to accelerate project milestones.

Managing Director Andrew Pardey expressed enthusiasm about the new strategic shareholders, highlighting their confidence in the Bankan Gold Project’s potential to become a tier-1 gold mine. He emphasized the collaborative opportunities this partnership presents, alongside the company’s commitment to responsible development and exploration.

Outlook and Market Implications

The Bankan Gold Project stands as the largest gold discovery in West Africa in the last decade, with a strong resource base and promising pre-feasibility study results indicating a 269,000 ounce per annum operation over 12 years. The capital raise and strategic backing from globally recognized investors could accelerate the project’s timeline and enhance Predictive Discovery’s profile in the competitive gold mining sector.

However, the company’s ability to translate this financial momentum into tangible development progress and resource expansion will be closely watched by investors. The involvement of the Lundin Family and Zijin Mining may also open doors to further technical expertise and potential off-take or joint venture opportunities down the line.