Baru Gold Completes Private Placement
Baru secures survival financing at rock-bottom prices to buy time for Indonesian production approval.
Baru Gold Corp. completed a non-brokered private placement on September 25, 2026, raising $338,589 CAD in gross proceeds. The company issued 5,643,150 units at $0.06 per unit, with each unit consisting of one common share and one non-transferrable share purchase warrant. The warrants carry a $0.10 exercise price and a two-year term. The transaction included $5,599.80 in cash commissions and 70,000 compensation warrants. All securities carry a four-month hold period under Canadian securities laws and require final regulatory approval. Proceeds are designated for working capital, continuing the company's pattern of frequent, small-scale financings to fund operations.
Baru Gold Corp. (BARU) completed a financing transaction that serves as a routine follow-up to its September 10 announcement, adding approximately 5.64 million shares and warrants to its capital structure at a depressed price point. While the dilutive nature of the deal is negative for existing shareholders, the capital is critical given the company’s critically low cash position of $12,456 as of May 2026 and ongoing cash burn. The funding extends the company's runway to secure the anticipated October 2026 production approval from Indonesia's ESDM. The transaction aligns with previous expectations and management’s stated need for working capital, without altering the fundamental risk profile or the timeline for production.
Baru Gold Corp. is a Canadian pre-revenue junior focused on the Sangihe Gold Project in North Sulawesi, Indonesia. The company holds a 70% interest in the project through its subsidiary PT Tambang Mas Sangihe (TMS). The project covers approximately 25,000 hectares, with only 10% explored to date. Initial production targets a 65-hectare area.
NI 43-101 resource estimates for the initial area include more than 200,000 ounces of gold, comprising 91,000 ounces inferred and 114,000 ounces indicated, and more than 3,000,000 ounces of silver. The company plans to proceed to production without a NI 43-101 feasibility study or established mineral reserves, explicitly acknowledging increased technological and economic risks. A modular, automated electrowinning elution column plant has been contracted for local manufacturing, designed for an initial capacity of 1,500 ounces of gold per month, scalable to 3,000 ounces per month.