Asara Resources Secures $2.3m to Accelerate Kada Gold Exploration with New CEO at Helm

Capital Injection to Drive Exploration

Asara Resources Limited (ASX: AS1) has successfully secured $2.3 million through a placement agreement with Barbet L.L.C FZ, reinforcing the latter's commitment to the company’s flagship Kada Gold Project in Guinea. The placement involved issuing over 104 million shares at 2.2 cents each, with Barbet increasing its stake to nearly 20% of the company.

This capital raise is strategically timed to underpin an upcoming drilling campaign and broader exploration activities at Kada, a project that holds significant promise with an existing mineral resource estimate of 923,000 ounces of gold. The funds will also support general working capital needs, enabling Asara to maintain momentum in its exploration efforts.

Leadership Transition Signals New Phase

Coinciding with the capital raise, Asara announced a key leadership change. Matthew Sharples, a seasoned mining professional with over two decades of experience in mine development and investment consulting, has been appointed Chief Executive Officer effective 14 February 2025. Sharples brings a strong track record, notably growing the Kiniero Mine resource base in Guinea from 1.5 million to 3.5 million ounces before its sale for US$160 million.

Outgoing Managing Director Timothy Strong will remain with Asara as Executive Director - Corporate Strategy & Affairs, ensuring continuity in corporate governance and strategic oversight. Strong expressed confidence in Sharples’ expertise and passion for Guinea, highlighting their shared optimism about the resource potential at Kada and surrounding areas.

Strategic Focus on Guinea’s Underexplored Potential

Guinea remains one of West Africa’s least explored gold jurisdictions, and Asara’s Kada project covers a substantial 150 square kilometre area with significant upside for additional oxide gold discoveries. The company’s focus on shallow oxide-transitional mineralisation aligns with current market preferences for lower-cost, near-surface gold deposits.

With Sharples’ appointment, Asara appears poised to leverage his expertise in project development from early stages through to production, potentially accelerating the path to a feasibility study. The upcoming drill program will be closely watched by investors eager to see tangible progress on resource expansion and project de-risking.

Broader Portfolio and Strategic Moves

While Kada remains the centerpiece, Asara also holds interests in other mineral projects, including the Kouri Gold Project in Burkina Faso, which it is divesting, and the Paguanta Copper and Silver-Lead-Zinc Project in Chile. The company’s diversified portfolio underscores its balanced approach to growth and value creation across multiple commodities and geographies.

Asara’s ability to attract and retain committed investors like Barbet, alongside appointing a CEO with a proven track record in Guinea, signals a renewed strategic focus and operational momentum. The market will be watching how these developments translate into exploration success and shareholder value.