Breakthrough Minerals Raises A$5.15M to Expand North Queensland Drilling

Placement Secures Funding for Major Drilling Expansion

Breakthrough Minerals (ASX:BTM) has locked in A$5.15 million through a placement of over 30 million new shares priced at A$0.17 each, representing discounts of up to 12.8% to recent trading prices. The capital raise, strongly backed by both existing shareholders and new institutional investors, positions the company to aggressively pursue resource growth at its 100% owned North Queensland Copper-Gold Project (NQCG Project).

The funds will bankroll an expanded diamond drilling program of approximately 10,000 metres, targeting the Barbara and Hazel Creek deposits, two key areas within the project that currently underpin a JORC (2012) Mineral Resource of 18.8 million tonnes at 1.07% copper equivalent, equating to around 200,000 tonnes of contained copper equivalent metal. Drilling has already commenced, with market participants anticipating a steady stream of results in the coming months.

Strategic Focus on Resource Growth at Barbara and Hazel Creek

Barbara and Hazel Creek are the cornerstones of Breakthrough’s resource base, with Barbara alone hosting a combined measured and indicated resource of 6.5 million tonnes at 0.97% CuEq. The expanded drilling campaign aims to extend known mineralisation and test high-priority targets for potential resource upgrades. This follows the company’s recent acquisition and initial drilling activities at the NQCG Project, which have laid the groundwork for this accelerated exploration phase.

Managing Director Nigel Broomham highlighted the strong investor support as a clear endorsement of the company’s strategy and asset quality, noting that the expanded program is significantly larger than the initial 4,500m campaign announced earlier in the year. The company’s approach is to systematically test these deposits to unlock their full potential, building on the momentum from the maiden drilling at Barbara and ongoing work at Hazel Creek.

Placement Structure and Use of Proceeds

The placement will be completed in two tranches, with the first tranche issuing approximately 29.4 million shares and 2 million unlisted options to the lead manager Euroz Hartleys, who will receive a 6% cash fee. The second tranche involves the issue of 882,353 shares to directors, subject to shareholder approval. The new shares will rank equally with existing shares, ensuring no dilution in voting rights.

Proceeds from the placement will primarily fund the drilling campaign but will also cover ongoing care and maintenance at the Mt Colin and Barbara mine sites, alongside general working capital and placement costs. The company’s expanded drilling plans represent a clear step up in exploration intensity, reflecting confidence in the project’s upside potential.

Resource Base and Project Scale

The NQCG Project covers nearly 952 square kilometres in the Mt Isa region, a prolific copper-gold province, and includes over 21 square kilometres of granted mining leases. The project’s current resource of 18.8Mt at 1.07% CuEq is a substantial foundation for Breakthrough’s growth ambitions. The company’s recent full acquisition of the project and initiation of drilling at Barbara marked a turning point, now amplified by this significant capital injection.

With drilling already underway and a well-supported capital structure, Breakthrough is poised to deliver meaningful updates on resource growth in the months ahead. The company’s strategy to focus on high-impact targets at Barbara and Hazel Creek aligns with its goal to expand the contained copper equivalent beyond the current 200,000 tonnes, potentially reshaping its valuation profile.

Investors will be watching closely as Breakthrough executes this expanded drilling program, following its earlier full acquisition of the North Queensland Copper-Gold Project and the maiden drilling campaign at Barbara that set the stage for this next phase.