Redstone Raises $600K to Probe Deep Secrets of West Musgrave Copper Project
Redstone Resources has secured $600,000 through a private placement to fund a deep drilling campaign at its West Musgrave Copper Project, aiming to uncover a potentially game-changing copper-nickel deposit beneath the Tollu veins.
- Private placement raises $600,000 at 0.45 cents per share
- Funds to advance deep diamond drilling (TLD005) at Chatsworth Prospect
- Drilling targets Voisey’s Bay style massive sulphide Cu-Ni deposit
- Exploration Incentive Scheme grant co-funds $220,000 of drilling costs
- Placement supported by professional investors and directors
Funding Secured for Ambitious Deep Drilling
Redstone Resources Limited has successfully completed a $600,000 private placement to professional and sophisticated investors, providing a crucial financial boost for its exploration efforts at the West Musgrave Copper Project in Western Australia. The capital raise, priced at 0.45 cents per share, will primarily support the continuation of a deep diamond drilling program designed to test the geological potential beneath the high-grade Tollu copper deposit.
Targeting a Voisey’s Bay Style Mineral System
The centerpiece of Redstone’s current exploration is the TLD005 drill hole at the Chatsworth Prospect, which aims to penetrate up to 1,200 meters beneath the Tollu Cu veins. The objective is to investigate whether the copper mineralisation observed at surface is a remobilised expression of a much larger, high-grade magmatic massive sulphide system akin to the world-renowned Voisey’s Bay deposit. This model, if confirmed, could dramatically elevate the project’s resource potential.
Adding weight to this prospectivity is the proximity of the BHP-owned Nebo-Babel deposit, located just 60 kilometers west of Tollu. Nebo-Babel is a world-class nickel-copper-cobalt resource with geological characteristics similar to those Redstone is targeting, underscoring the strategic significance of the West Musgrave region.
Government Support and Investor Confidence
Redstone’s drilling program benefits from a $220,000 grant awarded under the Western Australian Government’s Exploration Incentive Scheme, which co-funds direct drilling costs and helps reduce financial risk. The company’s chairman, Richard Homsany, expressed satisfaction with the strong investor support and the quality of the project, highlighting the commitment of both new and existing shareholders.
The placement was facilitated by joint lead managers GBA Capital and Barclay Wells, with company directors also committing $30,000 to the raise, subject to shareholder approval. The issuance of free attaching options to placement participants is planned, pending approval at an upcoming extraordinary general meeting.
Looking Ahead
With drilling underway since late April 2025, Redstone is poised to unlock critical insights into the subsurface geology of the West Musgrave Project. The results from TLD005 will be pivotal in validating the company’s exploration model and could set the stage for further resource definition and development activities. The coming months will be closely watched by investors eager to see if Redstone can replicate the success of nearby world-class deposits.
Bottom Line?
Redstone’s deep drilling campaign could redefine the West Musgrave project’s potential, but results remain the ultimate test.
Questions in the middle?
- Will the TLD005 drill hole confirm the presence of a Voisey’s Bay style massive sulphide system?
- How will the market respond to assay results from the deep drilling program?
- What are the next steps if the exploration confirms significant mineralisation at depth?
