Larvotto Resources Raises A$2 Million For Gold-Antimony Project

Larvotto Resources Ltd (ASX:LRV) has raised A$2 million to accelerate development studies and exploration at the Hillgrove gold-antimony project in New South Wales.

The funds were raised via a share placement at A$0.075 per share.

Hillgrove contains 1.4Moz gold equivalent (AuEq) with a grade of over 6 g/t AuEq, hosting the largest critical mineral antimony deposit in Australia.

The project has over 15 kilometres of underground mine development in place and an operational plant on site.

Significant gold and antimony grades

Larvotto has quickly advanced the Hillgrove gold-antimony project since acquiring it in December 2023.

Firstly, the drilling of the historical tailings dam highlighted the excellent gold and antimony grades present.

The results of Bakers Creek drilling remain outstanding but zones of visible gold were reported in several holes.

Metallurgical program underway

Concurrently, a large metallurgical testing program is underway, and combined with near-completed process and mechanical engineering studies it is expected that a doubling of the current process plant capacity will be supported.

The aim of the metallurgical test work is to also improve upon the already high antimony recoveries by producing a cleaner concentrate product.

The results of this work will be available in the near term.

Bankable feasibility study

Last month, Larvotto signed a US$8M financing package to complete a Bankable Feasibility Study (BFS) and progress towards project financing and mining operations at Hillgrove.

The term sheet for the financing package was signed with commodity trading house Wogen Resources and investment manager Xcelsior Capital.

Prior to selecting Xcelsior/Wogen, Larvotto received strong interest from multiple international commodity houses to provide debt financing solutions for the development of Hillgrove, providing strong third-party endorsements.

Due diligence process

The Xcelsior/Wogen DD team are currently on site at Hillgrove with the Larvotto board and Hillgrove management.

Larvotto Managing Director Ron Heeks said: “To maintain momentum and advance Hillgrove, we wanted to accelerate development studies for Hillgrove’s production and continue exploration during the Wogen and Xcelsior due diligence process, which is expected to take several months.

Dual focus

Larvotto is also advancing the the large Mt Isa copper, gold, and cobalt project adjacent to Mt Isa townsite in Queensland.

The company is planning to restart exploration activity at Mt Isa, to follow up the promising results from last season’s fieldwork.

Heeks said that the A$2 million equity raise provides the capability to enable both projects to be progressed until the larger, non-dilutive fundraising package is completed.

“With near record prices for gold and antimony, Larvotto considers maintaining momentum is prudent,’’ added Heeks.

 

 

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