Barton Gold Holdings Limited (ASX:BGD) has announced a $17.5 million capital raise, spearheaded by a $15 million placement led by Franklin Templeton, a prominent precious metals fund. Barton Gold is an Australian gold developer listed on the ASX, OTCQB and Frankfurt Stock Exchange, targeting future gold production with significant JORC Mineral Resources in South Australia’s Gawler Craton. The placement is priced at $1.25 per share, representing a 3.8% discount to Barton’s last traded price and a 7.6% premium to its one-month volume-weighted average price.
A Share Purchase Plan (SPP) targeting $2.5 million will be offered to existing shareholders at the same price as the placement. Canaccord Genuity (Australia) Limited acted as Lead Manager and Bookrunner for the placement. The company estimates the total costs of the placement and SPP to be less than 1.5% of the total proceeds. The pro-forma cash balance after the completion of the placement and SPP is estimated to be $23 million.
The funds raised will be used to advance key projects, including the commissioning of the Central Gawler Mill (CGM) for ‘Stage 1’ operations and the development of the Tunkillia Gold Project. Upgrade drilling is underway on Tunkillia’s ‘Starter Pits’, which are modelled to yield significant operating free cash during the first 2.5 years, targeting Ore Reserves, completion of a Pre-Feasibility Study (PFS), and submission of a Mining Lease application by the end of calendar year 2026. The Definitive Feasibility Study (DFS) is underway for reinstatement of Barton’s fully permitted CGM to operations, targeting commissioning by the end of 2026.
Alexander Scanlon, Managing Director of Barton Gold, expressed enthusiasm for Franklin Templeton’s support and highlighted the company’s focus on transitioning to a ‘producer’ profile with a self-funded growth pathway. The SPP offer is expected to open on 23 October 2025 and close on 6 November 2025, with Barton’s directors indicating their intention to participate, subject to eligibility.
