Matsa Resources undertakes $3.38M placement to fund aggressive drilling campaign - The Pick Online Magazine

Matsa Resources (ASX: MAT) has received commitments for an A$3.38M placement to help fund an aggressive exploration programme at the Lake Carey Gold project in Western Australia.

Funds from the heavily oversubscribed placement will be used to:

• Undertake new underground drilling at the Red October gold mine focused on Lionfish, Marlin, Costello and new Eastern and Western targets that, if successful, will result in an increased resource and allow an increased future production profile and overall mine life.
• Lake and land drilling programmes at Fortitude North to test the remaining 700m portion of the 1.5km anomaly yet to be tested and where previous drilling intersected 4m @ 13.63 g/t Au, 3.4m @ 12.3 g/t Au and 17.2m @ 3.4 g/t Au.
• Further drilling at the Devon hub to follow up recent high grade drill results such as 3m @ 16.8g/t Au at HE12 and to delineate new resources.

Executive Chairman, Paul Poli, said the company is also planning to undertake exploration on the company’s Fraser Range tenements nearby to where IGO Limited had drilled a single 843m hole and identified a 410m intersection (215m-625m) of blebby and semi massive sulphides with assay results outstanding.

This successful capital raising helps underpin the Company’s stated strategy of exploration to build a significant resource to allow Matsa to build its own processing facility. Matsa will now aggressively pursue specific drilling programs aimed at delivering strong results as well as conduct other exploration programmes,” Mr Poli said.

“The recent news from Symons Hill has drawn our attention back to the Fraser Range where Matsa holds several tenements and can now assess their exploration potential. I would like to thank all the participants in the capital raising including our supportive existing shareholders and take the opportunity to welcome our new shareholders to the register as we build towards once again becoming a producer in the region.”