Askari Metals Ltd said on Friday it has secured commitments from both existing shareholders and new investors to raise A$1.15 million ($760,000) to fund exploration at its newly acquired Nejo gold project in Ethiopia.
The financing will support a first-stage drilling campaign of 3,000 to 5,000 metres targeting the Guji, Komto 1 and Komto 2 prospects, according to Ecofin Agency.
This initial phase forms part of a wider program that plans to drill more than 20,000 metres and conduct expanded soil sampling and mapping across additional targets at the site.
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“The advanced nature of Nejo represents a true flagship project for our company with a clear pathway to value-creation through systematic exploration, designed to progress towards a significant potential JORC (2012) mineral resource,” Executive Director Gino D’Anna said.
A JORC-compliant resource estimate is a key benchmark used by investors to assess project viability.
Ethiopia, which hosts more than 500 tonnes of gold reserves, is attracting growing interest from mining companies.
Development is advancing at major projects including Tulu Kapi and Kurmuk, and the country commissioned its first new gold mine since 1994 in November 2024. Askari did not provide a timeline for completing its resource estimate.
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