Mount Burgess Raises $900K to Acquire Viking and Blair North Gold Projects
Mount Burgess Mining has inked binding agreements to acquire two promising high-grade gold projects in Western Australia, setting the stage for exploration drilling in late 2025 backed by a $900,000 capital raise.
- Acquisition of Viking and Blair North gold projects in WA
- Notable historical drill results with high-grade gold intersections
- Drilling approvals underway for Q4 2025 commencement
- Metal Hawk and Falcon Metals to become major shareholders
- Oversubscribed $900,000 placement at premium share price
Strategic Acquisitions in Western Australia
Mount Burgess Mining NL (ASX – MTB) has taken a significant step forward in its gold exploration ambitions by signing binding agreements to acquire 100% interests in the Viking Gold Project and Blair North Project from Metal Hawk Limited and Falcon Metals Limited. Both projects are located in prolific gold regions of Western Australia, with Viking situated 30km east of Norseman and Blair North just 25km east of Kalgoorlie.
The acquisitions align with Mount Burgess's recently articulated three-pillar strategic plan, specifically targeting project pipeline growth. Executive Chairman Steve Lennon emphasised the value of these underexplored tenements, highlighting their potential to deliver substantial exploration upside and immediate focus on ground activities.
High-Grade Historical Drill Results
Viking boasts impressive historical drill intersections, including standout results such as 6 meters at 64 grams per tonne gold from 50 meters depth and multiple other zones exceeding 5 grams per tonne. These results stem from previous exploration campaigns by AngloGold Ashanti, Genesis Minerals, and Falcon Metals, underscoring the project's potential for a significant mineralised system.
Similarly, Blair North has demonstrated promising gold mineralisation alongside nickel sulphide discoveries, with drilling intercepts like 5.9 meters at 6.7 grams per tonne gold from 244 meters and 2.5 meters at 7.4 grams per tonne from 255 meters. The Commodore and Commodore North prospects within Blair North remain open along strike and at depth, offering multiple drill-ready targets.
Path to Drilling and Capital Raising
Mount Burgess is actively progressing environmental and access approvals, aiming to commence reverse circulation drilling programs at both projects in the fourth quarter of 2025. The initial focus at Viking will be on the high-grade shallow oxide gold zone at the Beaker 2 prospect, while Blair North drilling will follow up on the Commodore trend's gold mineralisation.
To support these activities, the company has secured firm commitments for a $900,000 placement to sophisticated investors at $0.007 per share, representing an 18.5% premium to the 10-day volume weighted average price. This capital raise is oversubscribed and subject to shareholder approval, with no fees associated.
Partnerships and Shareholder Structure
As part of the deal, Metal Hawk and Falcon Metals will become significant shareholders in Mount Burgess, holding approximately 17.5% and 7.8% respectively post-acquisition and placement. Metal Hawk will also appoint a nominee to the Mount Burgess board, strengthening the strategic partnership and aligning interests as exploration advances.
The consideration for the acquisitions includes the issuance of over 216 million shares and more than 108 million unquoted options exercisable at $0.01 and $0.015, expiring in three and four years respectively. These securities will represent about 25.2% of Mount Burgess's issued capital post-transaction.
Outlook and Market Positioning
Mount Burgess's acquisition of these two advanced gold projects positions the company to capitalize on Western Australia's rich mineral endowment. With strong historical data, strategic partnerships, and a clear drilling timetable, the company is poised to unlock value and potentially define new high-grade gold resources. Investors will be watching closely as exploration unfolds and assay results emerge in the coming years.
Bottom Line?
Mount Burgess’s bold acquisitions and capital raise set the stage for a pivotal exploration phase that could reshape its growth trajectory.
Questions in the middle?
- What will initial drilling results at Viking and Blair North reveal about resource potential?
- How will Metal Hawk and Falcon Metals’ board involvement influence Mount Burgess’s strategic direction?
- What are the risks and timelines associated with securing all necessary approvals before drilling?
