Discovery Alaska Expands WA Gold Portfolio with Cuddingwarra Acquisition and $900K Placement
Discovery Alaska Limited (ASX:DAF) has secured a strategic foothold in Western Australia’s Murchison Goldfields through the acquisition of the Cuddingwarra Gold Project, backed by a $900,000 placement to fund exploration and expansion.
- Binding agreement to acquire 100% of Cuddingwarra Gold Project near Cue, WA
- $900,000 placement at 27.6% discount to support acquisition and exploration
- Project neighbours major producers Westgold Resources and Ramelius Resources
- Exploration plans include geochemistry and drilling targeting concealed greenstone sequences
- Transaction includes share and cash consideration with royalties payable to previous owners
Strategic WA Gold Project Acquisition
Discovery Alaska Limited (ASX:DAF) has taken a significant step to broaden its gold exposure by entering a binding Share Purchase Agreement to acquire 100% of the Cuddingwarra Gold Project near Cue in Western Australia. The project covers eight prospecting licence applications spanning 13.86km2 in the prolific Murchison district, a region known for its rich gold endowment and active mining operations.
Situated immediately adjacent to Westgold Resources’ Cue operations and within trucking distance of the Tuckabianna gold mill, the Cuddingwarra Project is strategically positioned near established processing infrastructure and major gold producers including Ramelius Resources. The area hosts historical gold production from 16 open pits and shares geological characteristics with nearby high-grade deposits, notably along the structurally significant Cuddingwarra Shear Zone.
Capital Raising to Fuel Exploration
To support the acquisition and fund the initial exploration program, Discovery Alaska has secured firm commitments for a $900,000 private placement priced at A$0.009 per share, representing a 27.6% discount to the 15-day volume weighted average price. The placement will be conducted in two tranches, with the majority subject to shareholder approval at the upcoming Annual General Meeting in October 2026.
Funds raised will be directed towards advancing exploration activities at Cuddingwarra and Discovery Alaska’s existing Boulder Creek Gold-Silver Project in Idaho, USA, where the company has been preparing for drilling campaigns targeting historic high-grade zones and recently reported exceptional rock sample assays. This dual focus positions Discovery Alaska to leverage opportunities across two tier-1 jurisdictions.
Exploration Potential and Forward Plan
The Cuddingwarra Project remains largely untested beneath surface cover, with concealed greenstone sequences beneath calcrete offering promising targets that past explorers have only partially assessed. Discovery Alaska plans to build on previous work by conducting systematic surface geochemistry to refine drill targets, followed by air-core drilling to test beneath cover and confirm mineralised trends. Subsequent reverse circulation drilling will focus on identified gold anomalies, targeting the structurally controlled mineralisation along shear zones analogous to those hosting nearby major deposits.
The acquisition terms include a combination of share and cash consideration valued at $755,000, with Discovery Alaska issuing shares to Boora Invest Pty Ltd shareholders and Jack Johns, the current option holder of the project tenements. Royalties totalling 1.2% net smelter returns are payable, split between Boora shareholders and Jack Johns, aligning interests with previous owners.
Conditions and Next Steps
Completion of the acquisition remains subject to standard conditions including shareholder and regulatory approvals, as well as the formal grant of all prospecting licences. Discovery Alaska is conducting due diligence on Boora and the option agreement to its satisfaction. The company’s director Jerko Zuvela highlighted the strategic value of securing a landholding in a tier-1 mining jurisdiction surrounded by world-class projects and processing infrastructure.
With the placement proceeds and acquisition in hand, Discovery Alaska is poised to advance exploration at Cuddingwarra while maintaining momentum at Boulder Creek, where preparations for drilling continue following encouraging surface sampling results and detailed planning for historic target zones. The combined portfolio enhances the company’s exposure to high-potential gold-silver assets across two continents.
Bottom Line?
Discovery Alaska’s acquisition of the Cuddingwarra Project and accompanying capital raise mark a clear strategic pivot into Western Australia’s goldfields, setting the stage for near-term exploration milestones that will test the project’s largely untested subsurface potential.
Questions in the middle?
- Will shareholder approval for the placement and acquisition be secured without delay at the October AGM?
- How soon will the prospecting licences be granted, enabling Discovery Alaska to commence planned drilling?
- Can exploration at Cuddingwarra replicate or exceed the high-grade results seen at Boulder Creek?
