It's the day for gold mining capital raises it seems. PNR in a trading halt to try and raise $45M. Placement priced at $0.29, just below 15% discount to last close.

"Potential investors were told Pantoro would use the proceeds for its Norseman Gold to Project to bring forward mining, to accelerate its platinum group elements (PGE) Halls Creek project and for general working capital."

PNR up nearly 10% this morning on the announcement of exploratory drilling results at Scotia. It's nice to have at least one line of green amid the sea of red this morning. The results are positive and indicate an extended mine life and expanded resource.

Summary Highlights:

• Step out drilling to the North of the currently planned Scotia pit continues to support northern extension potential.
• Results from the Scotia Deeps continue to confirm the continuity of high grade mineralisation outside of the current Ore Reserve giving confidence that mine life extensions will be achieved.
• Mineral Resource and Ore Reserve update on schedule for release by the end of the March 2022 quarter. 55,800 additional metres drilled since the last update.
• Extensional drilling at Scotia and Green Lantern is ongoing with drilling also planned to recommence at Mainfield in the near term.

Commenting on the results Pantoro Managing Director Paul Cmrlec said: “ The Scotia Mining centre was picked as Pantoro’s priority target at the time that we acquired our interest in the Norseman Gold Project. Results from the area have been nothing short of spectacular since drilling commenced back in 2019.”

“Based on the results received during this major drill out of the Scotia Deeps area, a significant Ore Reserve upgrade is expected when modelling is completed later this month.”

Further to @Bear77 excellent straw below. PNR announced today that preliminary results show a significant extension to the Lamboo PGE find they announced last year and which Bear so thoughtfully discussed. The PNR SP has held up close to it's recent highs since the November spike, consolidating up > 4% today.

Disc: Held in my SMSF

The Lamboo PGE project forms part of Pantoro’s Halls Creek operations, and is only five kilometres south of Nicolsons gold mine and processing plant, allowing access to substantial mine infrastructure and road networks.

Pantoro announced discovery of a large PGE bearing ultramafic system during September 2021, with follow up drilling since that time confirming that mineralisation is widespread within the basal contact of the unit. Nickel and Cobalt are noted to be coincident with the PGE mineralisation.

Significant Lamboo PGE strike extension

Pantoro Limited (ASX:PNR) (Pantoro) is pleased to advise of strong PGE, nickel and coblat assays received from drilling undertaken approximately three kilometres north of existing results on the Lamboo ultramafic basal contact, at the Halls Creek Project (PNR 100%).

Highlights

The new drilling results include nickel and cobalt assays approximately three kilometres north of previous drilling on the West Limb of the Lamboo ultramafic basic contact and include:

• 30 m @ 1.03 g/t Pt +Pd +Au (3E); 0.54% Ni and 0.033% Co from 3 m.

• Results confirm a strong correlation between PGE and Ni + Co mineralisation. The correlation between PGE and Ni + Co has been noted in previous holes where these metals have been assayed for.
• Assays for all previously announced holes have been submitted for Ni + Co assays with results pending.
• Additional drilling undertaken prior to end of December was highly productive with a further 2,659 metres completed and results pending.
• Results support the potential for mineralisation over the +20 km basal contact target.

Commenting on the results, Managing Director Paul Cmrlec said

“This result confirms that PGE mineralisation along with coincident nickel and cobalt is widespread throughout the basal contact of the Lamboo Ultramafic System.

We eagerly await additional results from the December 2021 drilling campaign. Field mapping and sampling in the ensuing period will ensure that drill targeting is as efficient as possible in the 2022 drill season where Pantoro intends to cover the majority of the system with first pass drilling.”

Pantoro Acquires Strategic Investment in Maximus Resources

Pantoro Limited (ASX:PNR) (Pantoro) is pleased to advise that it has agreed to a strategic investment in Maximus Resources Limited (ASX:MXR) (Maximus).

Pantoro will participate in the two-tranche capital raising announced today by Maximus to emerge with a 19.9% holding, subject to Maximus shareholder approval. Under the terms of the placement agreement, and subject to compliance with the ASX Listing Rules (in particular ASX Listing Rules 6.18 and 10.11.3), Maximus will use its best endeavours to provide Pantoro with the opportunity to participate in any future capital raisings, at the prevailing capital raising price, to maintain its 19.9% holding in the ordinary issued shares of Maximus. Pantoro will also have the right to nominate a board representative.

The 108 km2 tenement package held by Maximus has a number of potential synergies with Pantoro’s 50% held Norseman Gold project, located within easy trucking distance approximately 100 kilometres to the south on the major Goldfields-Esperance highway.

The Wattle Dam project held by Maximus previously produced approximately 266,000 ounces of gold at a grade of 10.6 g/t Au, however little drilling has been completed outside of the production zone, which included a small open pit and underground mine. Pantoro believes that the project presents compelling opportunity to substantially grow the existing 112,000 ounce Au Mineral Resource in the near term (Refer to ASX Release by Maximus titled ‘Maximus Resources – Investor Presentation – June 2021’, dated 29 June 2021).

In addition, the tenements host outstanding Nickel sulphide potential with excellent EM targeting and high grade drill assays recently completed by Maximus.

Commenting on the Acquisition, Managing Director Paul Cmrlec Said “Pantoro is excited by the opportunity to invest in Maximus Resources. Maximus has recently assembled a quality exploration and management team, which has delivered strong gold and nickel results consistently during the past twelve months. Pantoro is confident that Maximus now properly funded will continue its success in definition of substantial resources within its tenements. We look forward to assisting Maximus to achieve its goals, and ultimately realising the synergies that exist between our projects for the benefit of shareholders of both companies”.

Drilling at Wagtail Underground Confirms High Grade Depth Extensions (Summary)

Pantoro Limited (ASX:PNR) (Pantoro) is pleased to advise that ongoing extensional drilling below the current Wagtail underground development at the Halls Creek Project continues to return multiple, high grade intersections. Mineralisation has been intersected from the current development levels to 120 vertical metres below the deepest level at Wagtail.

Mineralisation has intersected a number of the lode positions confirming the continuity of high grade gold down dip of the lodes currently being mined.

About the Halls Creek Project

The Halls Creek Project includes the Nicolsons and Wagtail Mines, (35 km south west of Halls Creek) and a pipeline of exploration and development prospects located near Halls Creek in the Kimberley Region of Western Australia.

Pantoro acquired the project during April 2014, and took possession of the site in May 2014 enacting its rapid development plan for the project. First production was achieved at Nicolsons in the September 2015 quarter. The mine was developed with a strategy to minimise pre-production capital and to aggressively grow production and the mine Mineral Resource base utilising early cashflow.

The project currently has a stated Mineral Resource of 339,000 ounces of gold as of 31 May 2020.

The project region has been sporadically explored over a number of years, however the area remains sparsely explored with minimal drill testing of prospects outside of the areas being targeted by Pantoro. Exploration by Pantoro has been highly successful in identifying additional Mineral Resources at Nicolsons and Wagtail, and high grade mineralisation has been noted throughout the tenement areas. The company is exploring for mineralisation extensions at Nicolsons and Wagtail, together with a number of regional exploration targets. The company strategy is to continue profitable production from Nicolsons and Wagtail, and expanding Mineral Resources and Ore Reserves through an aggressive exploration strategy. Pantoro owns the only commercial scale processing plant in the Kimberley Region of Western Australia, providing a strategic advantage for acquisition and identification of additional deposits in the area.

Green Lantern Continues to Grow Ahead of Maiden MRE

Summary

Pantoro Limited (ASX:PNR) (Pantoro) is pleased to advise that the Green Lantern mineralisation, an extensive zone near surface adjacent the existing Scotia Open Pit at the Norseman Gold Project continues to prove up, with the most recent round of infill drilling focussed on finalising a Maiden Resource estimation.

Key Highlights

• Results provide confidence that mine life from the Scotia Mining Centre will be extended beyond the current Phase One feasibility plan.

• Drilling undertaken to support Mineral Resource Estimation and Ore Reserve Calculation for initial open pit mining. The orebody has been delineated over a strike length of approximately 800 metres and remains open to the south and down dip.

• Deeper drilling in the latest round has returned wide, high grade intersections at depth, demonstrating additional underground potential following completion of open pit.

Commenting on the results Pantoro Managing Director Paul Cmrlec said:

“Green Lantern is a great exploration success story for the Norseman Gold Project, and highlights the opportunities available due to the lack of exploration activity in the area for the past 25 years. The Scotia Mining Centre is already a one of our major ore sources in the planed operations restart at Norseman, and we are confident that a sustained drilling effort will continue to extend mine life and productivity in the area.”

Green Lantern

Green Lantern lies approximately 270 metres to the South East of the Scotia Open Pit, and is open at depth and along strike to the South. The southern most drill line completed to date is typical of the Green Lantern deposit generally with no indication that the system is weakening along strike.

The current drilling which is designed to achieve spacing suitable for Ore Reserve calculation, has continued to increase confidence infilling multiple lodes. and further refined understanding of the orientation of the lode system and controls on mineralisation. Pantoro is nearing completion of sufficient drilling required in the area to complete a maiden Mineral Resource Estimate. Results indicate a wide lode system as well as a narrower high grade system along the entire strike at Green Lantern.

About the Norseman Gold Project (Pantoro 50%)

Pantoro Limited announced the major acquisition of 50% of the Norseman Gold Project in May 2019 and completion occurred on 9 July 2019. Pantoro is the manager of the unincorporated joint venture, and is responsible for defining and implementing work programs, and the day to day management of the operation.

The Norseman Gold Project is located in the Eastern Goldfields of Western Australia, at the southern end of the highly productive Norseman-Wiluna greenstone belt. The project lies approximately 725 km east of Perth, 200 km south of Kalgoorlie, and 200 km north of Esperance.

The project comprises 146 near-contiguous mining tenements, most of which are pre-1994 Mining Leases. The tenure extends approximately 70 lineal kilometres of the highly prospective Norseman–Wiluna greenstone belt covering approximately 800 square kilometres.

Historically, the Norseman Gold Project areas have produced over 5.5 million ounces of gold since operations began in 1935, and is one of, if not the highest grade fields within the Yilgarn Craton.

The current Mineral Resource is 4.3 million ounces of gold (100% basis). Many of the Mineral Resources defined to date remain open along strike and at depth, and many of the Mineral Resources have only been tested to shallow depths. In addition, there are numerous anomalies and mineralisation occurrences which are yet to be tested adequately to be placed into Mineral Resources, with a number of highly prospective targets already identified by drilling.

Pantoro has focused initial project planning on six initial mining areas containing multiple deposits which are amenable to both open pit and underground mining. A Phase One DFS was completed in October 2020 detailing an initial seven year mine plan with a centralised processing facility and combination of open pit and underground mining producing approximately 108,000 ounces per annum. A new one million tonne per annum processing plant is to be constructed by GR Engineering following an extensive tendering process.