Saturn Metals has significantly upsized its Share Purchase Plan to $9.25 million, raising total capital of $32.25 million to accelerate development of its Apollo Hill Gold Project and expand exploration in Western Australia.
- SPP oversubscribed with $9.25 million raised from 491 applications
- Total capital raised reaches $32.25 million including recent $23 million placement
- Funds to advance Apollo Hill Gold Project with Pre-Feasibility Study and maiden Ore Reserve
- Additional capital supports accelerated exploration across Leonora district and West Wyalong Project
- Company opts to accept all valid SPP applications rather than scale back
Strong Shareholder Backing Drives Capital Raise
Saturn Metals Limited (ASX: STN) has announced a remarkable upsizing of its Share Purchase Plan (SPP), raising $9.25 million, over four times the initial $2 million target. This surge in shareholder support reflects strong confidence in the company’s strategy and prospects. Combined with a recent $23 million placement, Saturn has now secured a total of $32.25 million in fresh capital, positioning it well to advance its flagship Apollo Hill Gold Project.
Advancing Apollo Hill Towards Development
The capital injection is timely as Saturn prepares to deliver a Pre-Feasibility Study (PFS) and maiden Ore Reserve for Apollo Hill later this year. Located in Western Australia’s prolific Leonora gold district, Apollo Hill boasts a substantial mineral resource of 118.7 million tonnes at 0.53 g/t gold for over 2 million ounces. The project’s scale and simple metallurgy underpin its potential as a large-tonnage, low-strip open pit operation.
Exploration and Growth Strategy Accelerated
Beyond project development, the additional funds will enable Saturn to ramp up exploration efforts across its extensive tenement holdings in the Leonora district. This includes targeting resource growth at Apollo Hill and pursuing belt-scale opportunities. The company also holds an option to earn an 85% interest in the West Wyalong Project in New South Wales, a high-grade vein system within a renowned gold province, which stands to benefit from increased exploration activity.
Strategic Decision to Accept All Applications
Faced with overwhelming demand from 491 applications, Saturn’s board opted to accept all valid SPP applications rather than scale back. This decision underscores management’s commitment to maximizing shareholder participation and strengthening the company’s financial position. Managing Director Ian Bamborough highlighted the flexibility the capital raise provides to accelerate both development and exploration initiatives.
Looking Ahead
With a fortified balance sheet and a clear development pathway, Saturn Metals is poised to make significant strides in 2025. The upcoming PFS and maiden Ore Reserve will be critical milestones, while exploration results from Leonora and West Wyalong will be closely watched for signs of resource expansion and value creation.
Bottom Line?
Saturn’s capital raise not only fuels Apollo Hill’s development but also sets the stage for a broader exploration push that could reshape its growth trajectory.
Questions in the middle?
- How will the increased capital impact the timeline and scope of the Apollo Hill Pre-Feasibility Study?
- What are the potential dilution effects on existing shareholders following the upsized SPP and placement?
- How aggressively will Saturn pursue exploration at West Wyalong alongside Apollo Hill development?