Yandal Raises $13.5M at $0.29 Per Share to Fund Key Gold Projects

Capital Raising to Boost Exploration Ambitions

Yandal Resources Limited (ASX – YRL) has successfully secured $13.5 million through a placement of 46.4 million fully paid ordinary shares priced at $0.29 each. This capital raise, completed at a modest discount to recent trading prices, reflects strong investor confidence in Yandal’s exploration strategy and growth prospects.

The funds will primarily support an expansion and acceleration of exploration activities across several of Yandal’s key gold projects in Western Australia’s prolific Yandal Greenstone Belt. Notably, the company plans to intensify work at the Caladan target area and the Arrakis Prospect, both of which have shown promising potential in recent exploration campaigns.

Strengthening Financial Position

Following the placement, Yandal expects to hold approximately $16.1 million in cash, excluding an anticipated $2.81 million from the imminent sale of its Gordons Project to Horizon Minerals Limited. Additionally, the company holds nearly 24 million unlisted options exercisable at 11 cents, which could inject a further $2.6 million if exercised before their November expiry.

This robust cash position provides Yandal with the financial flexibility to pursue aggressive exploration programs without immediate capital constraints, a critical advantage in the competitive gold exploration sector.

Investor Confidence and Market Implications

The placement attracted strong demand, exceeding the targeted raise amount, with participation from major shareholders as well as domestic and international institutional, sophisticated, and professional investors. This broad support underscores market belief in Yandal’s exploration potential and management’s ability to deliver value through discovery.

Managing Director Chris Oorschot highlighted the company’s recent exploration successes and the strategic timing of the capital raise to ensure sufficient funding for upcoming programs. The focus remains firmly on driving shareholder value through advancing promising targets like the New England Granite area and the Flushing Meadows deposit within the Ironstone Well-Barwidgee Gold Project.

Looking Ahead

With the placement shares expected to be settled and quoted by early October, Yandal is poised to accelerate its exploration momentum. The company’s ability to convert its extensive portfolio of gold prospects into tangible discoveries will be closely watched by investors and analysts alike, as it could significantly reshape Yandal’s growth trajectory.