Hot Rocks Investments said its investee company Suncrest Gold, formerly Sunshine Gold, has closed a convertible note raise of $1.02 million after demand exceeded target.
Hot Rocks holds 43% of Suncrest's issued equity and put in a further AU$25,000 into the round, alongside investors with backgrounds across financial markets, exploration and land access. The notes convert into shares at a 25% discount to Suncrest's planned ASX listing price, with attached options exercisable at 150% and 300% of that price within 12 and 24 months of listing respectively.
Proceeds will fund an ASX listing, exploration at Suncrest's flagship Dexter project, heritage and land access costs, and working capital.
Suncrest has also lodged a tenement application over a new target 175km east of Derby in Western Australia's West Kimberley region, named the Kimberley King Project, though the application has not yet been granted. A major fault zone runs through the application area, with a known gold occurrence 8km along strike at Mt Synnot, where historical quartz-vein sampling reported strong gold grades.
Aerial imagery shows outcropping quartz veining within the fault system, alongside ground disturbance that may indicate prior prospecting activity, unconfirmed.
Hot Rocks managing director Gavin Burnell said the oversubscription was "a strong endorsement of the portfolio and strategy", noting the round drew experienced mining and financial market investors.
Once the tenement application is granted and heritage access secured, Suncrest plans a first-pass program testing gold mineralisation along the fault at Kimberley King.
