Breakthrough Minerals Secures Errolls Gold Project and Raises $1.2M for Drilling

A Transformational Acquisition in the Murchison Region

Breakthrough Minerals Limited (ASX, BTM) has marked a significant milestone with the completion of its acquisition of the Errolls Gold Project, located in the prolific Barrambie Greenstone Belt of Western Australia's Murchison region. This deal grants Breakthrough full ownership of exploration license E57/996 and the overlying mining lease application M57/653, positioning the company to advance a historically high-grade gold asset with limited modern exploration.

The Errolls project boasts a historical production record of approximately 5,000 ounces of gold at an impressive grade of 17.6 grams per tonne. Despite this, much of the mineralisation remains underexplored below shallow depths, presenting a compelling opportunity for Breakthrough to unlock further value.

Capital Raising Fuels Exploration Ambitions

To support the acquisition and upcoming exploration activities, Breakthrough Minerals successfully completed a placement raising $1.2 million before costs, issuing over 16.5 million shares at $0.074 each. This capital injection boosts the company’s cash reserves to around $2.5 million, providing a solid financial foundation for the planned drilling campaign and general working capital needs.

The placement attracted both new and existing sophisticated investors, with shares issued to directors also approved by shareholders at a recent general meeting. Lead manager Canaccord Genuity Australia Limited received options as part of their mandate, and the company has engaged Merchant Capital Partners for ongoing advisory services, further strengthening its corporate support structure.

Drilling Program Set to Test High-Grade Targets

With environmental approval secured from the Department of Mines, Industry Regulation and Safety (DMIRS), Breakthrough plans to commence a maiden Reverse Circulation (RC) drilling program in the July 2025 quarter. The program aims to follow up on several shallow, high-grade historical drill intercepts, including standout results such as 22 meters at 7.46 grams per tonne from surface, featuring intervals with grades exceeding 30 grams per tonne.

The drilling will initially focus on the Errolls Legacy Prospect, where gold mineralisation occurs along a sheared contact between granitic gneiss and greenstone. The presence of massive quartz veins exposed at surface, some up to 8 meters wide and carrying spectacular grades up to 50 grams per tonne, adds to the project's exploration appeal.

Encouraging Metallurgical Testwork and Future Potential

Previous metallurgical testing on drill samples from the late 1980s demonstrated exceptional gold recoveries of up to 98.4% using standard cyanide leaching methods. This suggests that any new mineralisation identified during the upcoming drilling campaign is likely to be economically recoverable, enhancing the project's attractiveness.

Breakthrough’s Executive Director, Peretz Schapiro, expressed optimism about the acquisition and exploration plans, highlighting the transformational nature of the deal and the company’s readiness to advance the project swiftly.

As Breakthrough Minerals embarks on this next phase, the market will be watching closely for assay results and any updates on resource delineation that could redefine the company’s growth trajectory.