Horizon Gold (ASX:HRN) secures A$30m to advance Gum Creek Gold Project toward development

Raising capital to advance a development pathway is a familiar step for emerging gold companies, but the structure and intended deployment of funds often reveal how close a project may be to a meaningful inflection point.

Horizon Gold has moved to reinforce its balance sheet with a A$30m equity raising designed to expand exploration activity and progress feasibility work at its Gum Creek Gold Project in Western Australia.

The initiative combines institutional placement funding with a shareholder entitlement offer and positions the company to accelerate drilling while completing the studies required to underpin a potential development decision.

Highlights

• Firm commitments received to raise A$20m via a placement priced at A$1.20 per share.
• 1 for 20 non renounceable entitlement offer targeting approximately A$10.2m at the same price.
• Major shareholder Zeta Resources and directors intend to take up approximately A$7.7m of the entitlement offer.
• A$20m allocated to an 80,000m drilling campaign expanding exploration across multiple targets.
• A$5m directed to completing a feasibility study and permitting activities.
• Updated Mineral Resource Estimate expected in 2H 2026.
• Horizon now fully funded to Final Investment Decision.

The company’s capital raising strategy combines a A$20m placement with a potential A$10.2m entitlement offer available to existing shareholders.

The placement price of A$1.20 per share represents a 7.7% discount to the company’s last closing price of A$1.30 on 27 February 2026 and a 5.3% discount to the 10 day volume weighted average price of A$1.27.

Funds are primarily directed toward expanding exploration and advancing technical studies at the Gum Creek Gold Project, located approximately 90 kilometres north of Sandstone in Western Australia.

The project spans more than 644 square kilometres along the Gum Creek greenstone belt and hosts a Mineral Resource Estimate of 37.97Mt at 1.89g/t Au for 2.30Moz of gold under JORC 2012 reporting standards.

The exploration programme will significantly scale activity across the asset, with Horizon planning an 80,000m drilling campaign during 2026.

The programme will increase the rig count to four, comprising two diamond rigs targeting underground extensions of known mineralisation and up to two reverse circulation rigs focused on shallow oxide targets outside the current mine plan.

Recent drilling across several prospects has provided indications of potential resource growth.

The company reported extensions to open pittable resources along the Gidgee Shear Zone and high grade underground mineralisation at the Kingfisher deposit, including 4m at 11.4g/t Au from 431m.

Previous drilling at Omega returned intercepts such as 30m at 21.1g/t Au from 57m, while earlier work at Wedge intersected 52m at 5.9g/t Au from 91m.

Managing Director Scott Williamson said the capital injection provides momentum as the company advances both technical studies and exploration.

“The Placement has received overwhelming support from a number of high quality institutional investors. We believe it represents a pivot point for Horizon Gold with the introduction of meaningful institutional capital for the first time as the Company accelerates its path toward meaningfully expanding and progressing Gum Creek. Funds will be directed toward completion of the Feasibility Study and a meaningfully upsized exploration program targeting both high grade underground extensions of the existing orebodies and shallow oxide exploration targets beyond the current mine plan.”

Beyond exploration, A$5m of the capital raising will fund completion of the feasibility study and permitting work associated with potential development of the project.

The study is scheduled for completion in mid 2026, with the company targeting an updated resource estimate in the second half of the year.

In the near term, drilling results from the Kingfisher and Omega prospects are expected in late March or April 2026, while further drilling will test shallow free milling targets along the Gidgee Shear Zone as well as underground extensions at Omega, Kingfisher, Swan Swift and Wedge.

Taken together, the financing package provides Horizon with the capital required to progress both exploration and development planning at Gum Creek.

With drilling expanding across multiple targets and a feasibility study approaching completion, the company enters 2026 with several operational milestones that will shape the next stage of the project’s development pathway.

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