Peako Limited (ASX: PKO) is undertaking a Renounceable Rights Issue to raise up to A$1.5M before costs to fund drilling activities at its Eastman PGE Project in the Kimberley region of Western Australia.
The proceeds from the capital raising will be used to fund Peako’s planned exploration activities at the Eastman Project following the conclusion of the Kimberley wet season.
The Lead Manager is Mahe Capital Pty Ltd. All Directors intend to participate in the Rights Issue.
“The success of our 2022 drilling campaign at the Eastman Project provided us with a clear path for our exploration initiatives this year,” Executive Director, Rae Clark, said.
“In conjunction with the Exploration Incentive Scheme grant for diamond drilling at Brumby, which has been provided to us by the WA Government, the proceeds from this raising will greatly assist in our 2023 field program, which is to be undertaken with a two-pronged approach.
“Peako plans to test the extent, continuity and grade of the PGE mineralization at the Brumby Prospect, whilst also undertaking reconnaissance drilling at a number of less advanced prospects along the Eastman Intrusion, further assessing target areas for higher-grade PGE zones.
“This Rights Issue will greatly support Peako’s capacity to continue exploring this highly PGE- prospective region of the east Kimberley, and we thank Shareholders in advance for their continued support in the business.”
2023 Field Programme
High-grade PGE results from Phase 2 drilling at the Eastman Project, undertaken in late 2022, identified the 1.4km Brumby segment of the Eastman Intrusion Complex as a high-priority target for step-out and infill drilling.
Significant results at Brumby included:
• 30m @1.45g/t PdEq2 (1.0g/t 3E3) from 48m, including 6m @2.93g/t PdEq (2.37g/t 3E) from 63m
• 14m @1.45g/t PdEq (1.06g/t 3E) from 70m, including 4m @2.44g/t PdEq (1.91g/t 3E) from 78m
Peako plans to test the extent, continuity and grade of the PGE mineralization at the Brumby Prospect and, with ongoing positive results, transition towards resource definition using a combination of reverse circulation (RC) and diamond drilling.
Diamond drilling at the Brumby Prospect, co-funded via a WA Government EIS grant, will provide important knowledge to assist Peako’s understanding of the relationship between PGE mineralization, stratigraphy, and structure.
This new information will enhance the company’s geological understanding of the Brumby Prospect and its contained PGE mineralization, and will assist Peako to refine its exploration model for exploration targeting of PGE mineralization along the entire 16.5km strike of the Eastman Intrusion.
The company also plans to test parallel ultramafic units to the north of Brumby, where sparse historical drilling returned results up to 8m @1.86g/t PdEq and 5m @1.19g/t PdEq.
Also, as part of Peako’s 2023 field programme, continued reconnaissance drilling at a number of less advanced prospects, including Blackadder, Longhorn and Waterloo is planned to continue the company’s assessment of target areas for higher-grade PGE zones.
Significant areas across the Eastman Intrusion are untested for high-grade PGE endowment due to a sparsity of drilling along its 16.5km length.
Peako is working to further define and prioritise PGE areas for additional reconnaissance drilling to develop a pipeline of targets for systematic assessment of their economic potential.
For further information please visit: https://www.peako.com.au/
