Golden Horse Minerals reported a solid cash position of A$14.955 million for the June quarter, supported by a recent capital raising and plans for an additional $8.1 million raise pending shareholder approval.
- Net cash used in operating activities of A$320,000 for the quarter
- Investing activities consumed A$1.894 million, mainly on exploration
- Financing activities generated A$6.326 million, including equity proceeds
- Cash and cash equivalents ended at A$14.955 million
- Upcoming $8.1 million capital raise subject to shareholder approval
Quarterly Cash Flow Overview
Golden Horse Minerals Limited has released its cash flow report for the quarter ending 30 June 2025, revealing a steady financial footing as it advances its exploration agenda. The company recorded a net cash outflow of A$320,000 from operating activities, reflecting ongoing expenditures typical for a mining exploration entity at this stage.
Investing activities accounted for a larger cash outflow of A$1.894 million, predominantly directed towards exploration and evaluation efforts. This level of investment underscores Golden Horse’s commitment to advancing its mineral prospects, a critical phase before any potential development or production.
Financing and Capital Position
On the financing front, Golden Horse generated a robust net inflow of A$6.326 million, primarily through equity securities issuance and borrowings. This infusion has bolstered the company’s cash reserves, which stood at a healthy A$14.955 million at the end of the quarter, up from A$10.843 million in the previous period.
Importantly, the company has secured commitments for the second tranche of a previously announced A$15 million capital raising. This tranche, amounting to A$8.1 million, awaits shareholder approval at a special meeting scheduled for 31 July 2025 in Perth. If successful, this will further strengthen Golden Horse’s financial capacity to fund its exploration programs and operational needs.
Operational and Governance Notes
Payments to related parties and their associates totaled A$102,000 during the quarter, a disclosure that investors will watch closely for transparency and governance standards. The company currently reports no drawn financing facilities, indicating reliance on equity and borrowings rather than credit lines.
With an estimated 6.79 quarters of funding available based on current expenditure levels, Golden Horse appears well-positioned to sustain its operations without immediate liquidity concerns. However, the company has not provided explicit commentary on future operating cash flow expectations or detailed plans for the use of proceeds from the upcoming capital raise.
Looking Ahead
As Golden Horse Minerals moves forward, the outcome of the shareholder vote on the capital raising will be pivotal. The additional funds could accelerate exploration activities and potentially unlock value for shareholders. Meanwhile, market participants will be keen to monitor updates on exploration progress and any further financial disclosures.
Bottom Line?
Golden Horse’s strong cash position and pending capital raise set the stage for a critical growth phase in its exploration journey.
Questions in the middle?
- What are the specific exploration targets and timelines for Golden Horse’s current projects?
- How will the company allocate proceeds from the upcoming $8.1 million capital raise?
- What is the nature and justification of payments made to related parties during the quarter?