Lodestar Raises $4.7 Million to Accelerate Global Exploration Programs

Capital Injection Fuels Multi-Jurisdictional Exploration Push

Lodestar Minerals (ASX:LSR) has secured firm commitments for a $4.4 million private placement, supplemented by a $305,700 director subscription pending shareholder approval, positioning the company to simultaneously advance its copper, rare earth, and gold projects across three continents. The raising, led by Oakley Capital Partners, was upsized due to strong demand from sophisticated investors and existing shareholders alike.

The funds are earmarked for high-impact exploration at the Three Saints IOCG and Los Loros copper-molybdenum-gold projects in Chile, heavy rare earth element (HREE) exploration at the Virgin Mountain project in Arizona, USA, and the Ned’s Creek gold project in Western Australia. This diversified approach aims to maximise discovery potential and shareholder value.

Drilling Progress and Assay Anticipation in Chile

At the Three Saints Project, Lodestar has completed two diamond drill holes reaching depths of 600m and 611m, with visible chalcopyrite observed extensively from 190m to the end of the first hole, indicating copper mineralisation over approximately 410 metres. Encouraging signs of increasing copper mineralisation at depth were noted in the second hole. Assay results for both holes are expected imminently, which will be critical to validating the extent of the IOCG-style system.

Meanwhile, the Los Loros project is gearing up for its maiden drilling campaign following the recent identification of five new induced polarisation (IP) targets. This campaign will target copper-molybdenum porphyry and high-grade epithermal gold mineralisation, building on the project's growing strategic significance in a premier copper jurisdiction. These developments build on previous findings where five new IP targets were defined, highlighting the project's potential to host significant mineralisation five new IP targets .

Advancing Rare Earths and Gold Resources

In the United States, the Virgin Mountain HREE project is set for a high-resolution airborne radiometric and magnetic survey. The project recently confirmed xenotime as the dominant rare earth mineral, a positive indicator of heavy rare earth enrichment crucial for clean energy and defence applications. These findings underscore the project's strategic value amid rising global demand for critical minerals xenotime as the dominant .

Back in Western Australia, the Ned’s Creek Gold Project is progressing towards a maiden Mineral Resource Estimate (MRE) supported by an ongoing 10,000-metre RC drilling program, now over halfway complete. The project targets a substantial resource of 250,000-300,000 ounces of gold at 1-1.7 g/t grade, which could generate meaningful cash flow given current gold prices. Completion of the MRE later in 2026 will be a key milestone for Lodestar.

Placement Structure and Shareholder Approvals

The placement involves issuing 291 million shares at $0.0151 each, with one option per share exercisable at $0.045 until January 2029, subject to shareholder approval. Directors have committed to subscribing for $305,700 on the same terms, also pending approval. Oakley Capital will receive a 6% fee and shares plus options as part of its lead manager role, with these issuances similarly requiring shareholder consent.

Lodestar Chairman Ross Taylor emphasised the strategic timing of this capital raise, highlighting the company’s ability to execute exploration programs in parallel across its multi-commodity portfolio. He noted the potential for the Ned’s Creek gold project to deliver material cashflow and the significant upside in Chile and the USA as exploration advances.