The proceeds will be used to accelerate the ongoing exploration programme aimed at growing the high-grade gold inventory at the Rothsay Gold Project in Western Australia.
The project is located 300 kilometres northeast of Perth in Western Australia’s Midwest region.
Importantly, the Rothsay Gold Project has a rich history of high-grade gold production, and hosts a resource of 701,000 tonnes at 11.6g/t gold for 262,000 gold ounces.
The placement received significant institutional interest, with several prominent Australian institutional investors expected to be introduced into EganStreet’s register.
The company’s diamond drilling is already underway at Rothsay targeting down-dip extensions of the main Woodley’s Shear, with assay results imminent.
EganStreet is also planning to drill the footwall and hanging-wall contacts of the three ultramafic units that host the gold mineralisation, to ensure strong news-flow over the coming months.
The objective is to prepare an updated resource estimate to be used as the basis for an expanded definitive feasibility study and confirm a rapid pathway to production at Rothsay next year.