Adelong Gold (ASX:ADG) has entered a binding agreement to acquire a 100% interest in the Lauriston Gold Project in Victoria from Great Pacific Gold Corp. (TSXV:GPAC). The Lauriston Project is strategically located adjacent to Agnico Eagle’s Fosterville Mine and along strike from Costerfield and Sunday Creek. Historic results from Lauriston’s Comet discovery include high-grade intercepts such as 8.0m at 104 g/t Au and 9.0m at 11.6 g/t Au, highlighting the project’s significant potential.
The Lauriston Gold Project comprises a large 28,700-hectare landholding with multiple priority drill targets. Limited drilling post-discovery (3200m in 2023-2024) indicates substantial upside. The Comet mineralization is hosted within the Comet Anticline, analogous to Fosterville’s Swan Zone. Adelong Gold’s Managing Director, Ian Holland, emphasized that securing the Lauriston Gold Project represents a significant step forward for Adelong Gold and that the high-grade Comet discovery offers exciting opportunities for near-term value creation through exploration.
To support the acquisition and exploration, Adelong Gold has received binding commitments from new and existing investors to raise approximately $3 million through a placement at $0.0055 per share. Chairman Mena Habib will also participate in the placement. Placement funds will be directed toward the Lauriston Gold Project acquisition, exploration, and drilling at both the Lauriston and Apollo Gold Projects. The company has agreed to pay Janus Capital a facilitation fee of 12% to the value of the cash and securities consideration for each completed milestone. The fees will be paid through the issue of Adelong shares, subject to shareholder approval.
The acquisition involves an upfront cash payment of A$500,000, share considerations of A$1,500,000 and deferred cash payments totaling A$2,000,000. Great Pacific retains a 2.0% net smelter return (NSR) royalty. The acquisition is subject to shareholder and regulatory approvals. Adelong intends to finalize drill targeting, progress permitting for drilling programs, and test regional targets along the Comet-Trojan structural corridor.
