Austral Gold Completes A$8.456 Million Strategic Placement

Executive Summary

• Austral Gold completed a private placement raising A$8.456 million (before costs) at A$0.18 per share, issuing 46,977,778 new ordinary shares.
• Proceeds are earmarked to accelerate exploration in Argentina and Chile and to expand processing capacity at the Casposo and Guanaco operations.
• The placement was led solely by Aitken Mount Capital Partners, bringing in new sophisticated and institutional investors and receiving full regulatory approval from the TSXV.

Key Details

• Placement Size: A$8.456 million (pre‑cost)
• Share Price: A$0.18 per share
• Shares Issued: 46,977,778 fully paid ordinary shares
• Lead Manager / Book Runner: Aitken Mount Capital Partners (sole lead manager)
• Regulatory Approval: Received TSXV approval; shares issued under existing ASX placement capacity (Listing Rule 7.1A).
• Use of Proceeds:
• Accelerate exploration programs at Casposo (Argentina) and Guanaco (Chile), including the Manantiales Project (Argentina) and Juncal Project (Chile).
• Capital expenditures to expand processing capacity: acquisition & construction of a classification plant at Casposo for tailings processing; addition of a second filter press to increase agitation leaching capacity at Guanaco.
• Working capital, including costs associated with the placement.
• Investor Base: New Australian sophisticated and institutional investors participated, indicating confidence in Austral’s growth strategy.
• Chair’s Comment: Eduardo Elsztain highlighted the placement as “a vote of confidence” in the company’s operational strengthening and exploration advancement.

Notable Quotes

“We are very pleased to complete this Placement and welcome a number of new institutional and sophisticated investors to our company. The strong support for the Placement is a vote of confidence in our strategy to strengthen operations at Casposo in Argentina and Guanaco in Chile, while advancing our exploration portfolio.” – Eduardo Elsztain, Chair, Austral Gold Limited

All forward‑looking statements are subject to risks and uncertainties detailed in the release.