Aurum Raises A$35.6M at A$0.356 per Share in Strategic Placement

Strategic Capital Injection

Aurum Resources Limited (ASX: AUE) has announced a significant private placement raising A$35.6 million to advance its 2.5 million ounce gold resource portfolio in Côte d’Ivoire. The placement, priced at A$0.356 per share, attracted high-profile strategic investors including the Lundin Family, Canadian-listed Montage Gold Corp, and Chinese mining giant Zhaojin Mining Industry Company Limited.

This capital raise combines A$23.89 million in cash with approximately A$11.71 million in Montage Gold shares, underscoring a collaborative approach among key players in the African gold sector. The placement price aligns with Aurum’s recent five-day volume-weighted average price, reflecting market confidence in the company’s growth trajectory.

Accelerating Project Development

The funds will be deployed to accelerate resource definition drilling at Aurum’s flagship Boundiali Gold Project and the recently acquired Napié Gold Project, both located in northern Côte d’Ivoire. Aurum plans to expand its diamond drilling fleet from eight to ten rigs, enabling faster and more cost-effective exploration.

Beyond drilling, the capital will support critical milestones including the completion of pre-feasibility and definitive feasibility studies (PFS and DFS) for Boundiali, environmental and social impact assessments (ESIA), and mining exploitation license applications. Aurum aims to secure these approvals by mid-2026, positioning the company for a potential transition from exploration to production.

Backing from Industry Leaders

The involvement of the Lundin Family, known for their extensive mining and energy investments, alongside Montage Gold, which operates the nearby Koné project with a projected 16-year mine life, and Zhaojin Mining, a major Chinese gold producer, lends significant credibility to Aurum’s projects. Post-placement, these investors will hold substantial stakes, collectively owning nearly 28% of Aurum’s shares, signaling strong strategic alignment.

Managing Director Dr. Caigen Wang highlighted the placement as a “true endorsement” of Aurum’s projects and development strategy, emphasizing the company’s robust cash position of over A$45 million post-raise. This financial strength is expected to underpin accelerated growth and resource expansion efforts.

Outlook and Market Position

Aurum’s Boundiali Gold Project, with a maiden JORC resource of 1.59 million ounces, sits within a prolific gold belt alongside major mines operated by Resolute, Perseus, and Barrick. The Napié Gold Project adds another 0.87 million ounces to Aurum’s resource base, enhancing its regional footprint.

The company’s strategy to fast-track feasibility studies and secure mining licenses aims to capitalize on the favourable gold market environment and Côte d’Ivoire’s mining-friendly jurisdiction. The placement’s successful completion and subsequent project milestones will be closely watched by investors seeking exposure to West African gold development.