Golden Ant Sale Final Phase Looms: Can GNM Sustain Without New Capital?
Great Northern Minerals advances the sale of a majority stake in Golden Ant Mining, securing a $1 million payment upon final phase completion, while maintaining a $1.29 million cash balance and exploring new resource opportunities.
- Cash reserves stand at $1.29 million as of June 30, 2025
- Sale of 90% stake in Golden Ant Mining progressing with $1 million due on final phase
- Great Eastern Gold Ltd to increase ownership to 90% in Golden Ant
- Minimal exploration expenditure of $10,000 for the quarter
- 66 million listed options expired on July 1, 2025
Quarterly Financial Position
Great Northern Minerals Limited (ASX – GNM) reported a cash balance of $1.29 million as at 30 June 2025, reflecting a modest cash outflow from operating activities of $167,000 during the quarter. The company’s financial footing remains stable as it navigates the final stages of a significant asset sale and continues to evaluate new resource projects.
Progress on Golden Ant Mining Sale
The highlight of the quarter is the ongoing sale of a 90% interest in Golden Ant Mining Pty Ltd to Great Eastern Gold Ltd (GEG). Following the completion of the third earn-in phase, GEG now holds a 63% stake, with Great Northern Minerals retaining 37%. The final phase is expected to increase GEG’s ownership to 90%, triggering a further $1 million cash payment to GNM as per the binding Transaction Agreement.
This phased earn-in structure, initiated in November 2023 and adjusted twice since, underscores a strategic divestment approach by GNM, allowing it to monetise its Golden Ant assets while maintaining a minority interest. GEG’s plans to advance the Golden Ant projects in Queensland towards production remain under assessment, which could be a pivotal development for both companies.
Exploration and Corporate Activity
Exploration expenditure was minimal at $10,000 for the quarter, with no mining production or development activities reported. This suggests a period of consolidation and evaluation rather than active fieldwork. Meanwhile, GNM continues to assess multiple resource project opportunities, engaging in preliminary commercial discussions that may shape its future portfolio.
Corporate activity included the expiry of 66.3 million listed options exercisable at $0.06 on 1 July 2025, which may impact future capital raising potential. Payments to related parties, including directors’ fees and salaries, amounted to $101,000 during the quarter, reflecting ongoing governance costs.
Tenement Holdings and Outlook
Great Northern Minerals holds a diversified portfolio of tenements across Queensland, including the Black Mountain and Red Mountain projects, with full ownership, and retains a 37% interest in the Golden Ant tenements under the earn-in agreement. The company’s strategy appears focused on leveraging its existing assets while selectively pursuing new acquisitions to enhance shareholder value.
With the Golden Ant sale nearing completion and cash reserves sufficient for the short term, the company’s next steps will be critical. The timing of production commencement at Golden Ant and the success of ongoing acquisition talks will likely influence GNM’s financial trajectory and market positioning.
Bottom Line?
As Great Northern Minerals approaches the final earn-in phase completion, investors will watch closely for production milestones and new project developments that could redefine its growth path.
Questions in the middle?
- When exactly will the final earn-in phase complete and the $1 million payment be received?
- What are Great Eastern Gold’s detailed plans and timeline for advancing Golden Ant towards production?
- Which new resource projects is Great Northern Minerals targeting for acquisition, and what scale might these have?
