S2 Resources Uncovers New Gold Anomalies and Raises A$3.5M in Oversubscribed Placement

Exploration Momentum at Greater Fosterville

S2 Resources Ltd has reported encouraging early-stage results from its Greater Fosterville project in Victoria, where aircore drilling over induced polarisation (IP) chargeability anomalies has identified gold, arsenic, and antimony anomalism. These elements are key pathfinders commonly associated with Fosterville-style gold mineralisation, suggesting the presence of prospective structures extending northwards from the world-class Fosterville mine operated by Agnico Eagle.

One notable aircore hole intersected 3 metres at 0.78 grams per tonne (g/t) gold from 9 metres depth, within a broader zone of anomalous mineralisation. This hole lies adjacent to a strong IP chargeability anomaly, interpreted to reflect sulphide presence at depth. The company plans further aircore drilling to delineate the strike extent of this anomaly, alongside deeper reverse circulation (RC) drilling to test the source zones.

Testing Porphyry Copper-Gold Potential at Glenlogan

In New South Wales, S2’s Glenlogan project is progressing with diamond drilling targeting a large magnetic anomaly interpreted as a porphyry copper-gold system. The recently completed hole reached nearly 800 metres but did not intersect significant sulphides to explain the geophysical anomaly. Assays from selected samples are awaited before determining next steps. Glenlogan sits within the highly mineralised Lachlan Fold Belt, home to several major copper and gold mines, underscoring the project's strategic potential.

Expanding Footprint in Victoria and Beyond

At the Yeungroon project, also in Victoria, aircore drilling has returned arsenic and gold anomalism, reinforcing the prospectivity of S2’s joint venture ground with Valkea Resources. The company holds rights to earn up to 80% interest in several central Victorian projects, complementing its wholly owned assets.

Elsewhere, S2 is advancing exploration in Western Australia’s West Murchison and Jillewarra projects, targeting magmatic nickel-copper-PGE mineralisation and concealed gold systems respectively. Heritage and environmental approvals are progressing to enable upcoming drill programs.

Strengthening Financial Position

Financially, S2 Resources raised A$3.5 million through an oversubscribed private placement and share purchase plan, boosting cash reserves to A$4.3 million post-quarter. The company also holds a significant 29.55% stake in TSXV-listed Valkea Resources, valued at approximately A$5.2 million, providing exposure to high-quality Finnish gold assets in the Central Lapland Greenstone Belt.

Operating expenditure for the quarter was A$1.1 million, primarily on exploration activities, with planned expenditure of around A$1.6 million for the next quarter. The capital structure now includes nearly 500 million shares and over 68 million unlisted options, with a second tranche of the private placement pending shareholder approval.

Outlook and Strategic Implications

S2 Resources is methodically advancing its exploration portfolio across multiple jurisdictions, balancing early-stage drilling successes with prudent capital management. The identification of gold pathfinder elements at Greater Fosterville and ongoing work at Glenlogan highlight the company’s potential to uncover significant mineralisation. Meanwhile, its strategic equity holding in Valkea Resources offers diversified exposure to international gold projects.

Investors will be watching closely for forthcoming assay results, the outcome of the shareholder meeting for the private placement, and progress on heritage and environmental approvals that will unlock further drilling campaigns.