Pacgold Limited (ASX: PGO) (“Pacgold” or “the Company”), a rising force in Australian gold exploration, has released its Half-Year Activities Report for the six months ending 31 December 2024, showcasing notable corporate and exploration milestones.
The report lands at a pivotal moment, with gold prices soaring to $3,085 — a 36.50% surge in the past year and an 88.03% rise over five years — as investors flock to the precious metal amid global economic uncertainties.
With the gold market rallying, Pacgold’s latest update offers critical insights into its financial position and exploration progress, positioning the company for potential growth in a bullish commodities landscape.
Figure 1: Gold Price Performance Over Different Timeframes
Pacgold’s Alice River Gold Project: A High-Grade bulk tonnage Opportunity in a Booming Gold Market
Pacgold Limited’s flagship Alice River Gold Project is a premier high-grade gold exploration asset strategically located within a 30-kilometre gold-bearing shear zone in Northern Queensland. Covering 377 km² under granted exploration permits and eight mining leases, the project is nestled within an epizonal Intrusvive related bulk tonnage gold (IRGS) system with regional scale potential and in excess of 12km of targets already identified and drill ready, these IRGS systems are well known to deliver very large multimillion ounce gold deposits such as Hemai and Fort Knox.
The region hosts some of Australia’s most lucrative gold deposits, with Pajingo, Mt. Wright and My Leyshon as key historical benchmarks for high-grade multi million ounce output. With gold prices reaching USD 3,085 and the Company only weeks away from recommencing the full drilling season, Pacgold’s exploration efforts at Alice River could prove timely, positioning the Company to capitalise on soaring global demand for safe-haven assets.
Figure 2: Location of the Alice River Gold Project
Before Pacgold acquired the project in December 2020, modern exploration efforts in the region were minimal. However, historical gold mining activities indicate strong mineral potential:
- Early 1900s: Underground mining extended to depths of 40 metres along a 3-kilometre strike, producing approximately 3,000 ounces of gold at an average grade of 30g/t Au.
- Late 1980s: Open-pit operations reached a depth of 40 metres, extracting around 30,000 ounces at 5.6g/t Au.
- Late 1990s: Colluvial and alluvial mining efforts yielded 3,000 ounces at 2.5g/t Au.
Pacgold has leveraged modern exploration techniques, incorporating advanced geophysical surveys and Intrusion-Related Gold System (IRGS) models to identify new high-potential targets. The reprocessing of historical geophysical data has also revealed previously unexplored mineralised zones.
Following its public listing in 2021, Pacgold focused on three priority targets within a 7-kilometre section of the gold-bearing shear zone:
- Central Target: Strong geophysical anomalies were detected along strike from the historic open pit mine, with extensions of high-grade gold mineralisation at depth.
- Southern Target: A large, untested geochemical anomaly measuring 1.8km by 500m, indicating the potential for significant gold deposits.
- Northern Target: A newly identified two-km-long vein system concealed beneath shallow cover, previously unrecognised but now a high-priority exploration area.
Figure 3: Pacgold’s Alice River Gold Project with its three priority targets
A breakthrough came with Pacgold’s discovery of high-grade gold mineralisation at the F1A Zone within the Central Target, successfully expanding the known deposit beneath the historic open pit. Drilling has returned exceptional gold intercepts, including:
- 8 metres at 55g/t Au
- 17 metres at 9.3g/t Au
These results confirm the project’s potential for extensive high-grade gold mineralisation. Pacgold continues to advance drilling programs to delineate further and expand the resource base.
Regional Aircore Bedrock Geochemical Program
In October 2024, the Company commenced a regional aircore drilling program following a comprehensive cultural heritage assessment. The program, completed by early December, drilled 749 holes totaling 7,185 metres, targeting approximately 14 kilometres of the Alice River Fault Zone (ARFZ). Drill spacing ranged from 200 to 600 m, with holes spaced 25 m along traverses perpendicular to the ARFZ’s strike. The objective was to detect alteration halos and structural zones associated with gold mineralisation.
Figure 4: Extent of Au-As-Sb geochemical anomaly identified through regional aircore drilling program
Key Results:
- 12km Geochemical Anomaly: The program identified a continuous gold-arsenic-antimony (Au-As-Sb) geochemical anomaly spanning 12 kilometres from the Shadows Prospect in the northwest to the Victoria Prospect in the south. This anomaly is now a priority for follow-up reverse circulation (RC) drilling.
- The Shadows Prospect: A linear Au-As-Sb anomaly extends over 1.4 kilometres in strike and up to 250 metres in width. It remains open both to the north and south. Quartz veining and hydrothermal alteration within a granodiorite host rock indicate a potentially significant mineralised system.
- Atlantis Prospect (formerly ‘Apache’): A newly identified gold anomaly with five aircore holes showing promising results, including two with intersections exceeding 1g/t Au. Located near an inflection in the ARFZ, Atlantis may represent a parallel structure to The Shadows.
- Victoria Prospect: A large, continuous Au-As-Sb anomaly covering nearly 6 kilometres, interpreted as an extension of historical quartz-vein-hosted gold mineralisation.
A follow-up Induced Polarisation (IP) survey is scheduled for Q2 2025 to refine targets. Additional aircore and RC drilling is planned throughout 2025 to explore these anomalies further.
Reverse Circulation (RC) Drilling Success
Pacgold completed a 24-hole RC drilling program, totalling 3,191 metres across four key prospect areas. The RC rig remains on-site, enabling an immediate drilling restart in early 2025.
Key RC Drilling Results:
- Central Target (F1A Zone):
- ARDH091: 88m @ 0.6g/t Au from 49m, including 10m @ 1.7g/t Au and an additional zone of 11m @ 1.5g/t Au from 126m.
- Extends known vein stockwork mineralisation 300 metres north of the leading Central F1A zone.
- Hosted in sheeted quartz vein arrays within hydrothermally altered granodiorite.
- Southern Target:
- STDH014: 50m @ 0.80g/t Au from 53m, including 16m @ 1.0g/t Au and 14m @ 1.0g/t Au.
- Confirms a broad, mineralised vein stockwork envelope similar to the Central Target.
- The Shadows Prospect:
- RC drilling validated exploration models, confirming significant gold-bearing quartz vein systems.
- SDHD005: 23m @ 0.3g/t Au from 80m, with pyrite-marcasite sulphides in quartz veins indicating vigorous hydrothermal activity.
- Jerry Dodds Prospect:
- Three RC holes tested the structure, an intermittently mapped gold-mineralised zone over 2.5 kilometres in strike.
- High-grade rock chip samples returned results up to 47.4g/t Au, 24.7g/t Au, 13.2g/t Au, and 6.1g/t Au.
- It requires multiple follow-up drill holes to evaluate its full potential further.
Upcoming Exploration Plans
Pacgold aims to capitalise on the promising results from its 2024 drilling campaigns with an aggressive exploration program in 2025. Planned activities include:
- Induced Polarisation (IP) Survey: Targeting extensions of identified mineralisation at the Shadows, Atlantis, and Victoria prospects.
- Follow-up RC and Diamond Drilling: Testing new anomalies at The Shadows, Jerry Dodds, and Victoria prospects.
- Geochemical Surveys and Metallurgical Testing: Further understanding of mineralisation styles and refining exploration strategies.
Matthew Boyes – Managing Director, Pacgold Limited
Figure 6: Mr Matthew Boyes
Matthew Boyes is a seasoned geologist and mining executive with over 25 years of international experience spanning mine geology, project development, and corporate management. His career has taken him across Western Australia, the Former Soviet Union (FSU), Africa, Europe, and Argentina, where he has led exploration, feasibility studies, and mine development initiatives. He has overseen desktop studies, project evaluations, metallurgical testwork programs, open-pit and underground mine designs, and process flowsheets, which is key in bringing two independent gold mines into production in Santa Cruz, Argentina.
Currently serving as Managing Director of Pacgold Limited (ASX: PGO), Boyes drives exploration and development at the Alice River Gold Project in Northern Queensland. Under his leadership, the company has identified a 12-kilometer gold anomaly and secured an oversubscribed $3.0 million placement to fund ongoing exploration. With a deep passion for study management, project execution, and resource geology—particularly in gold and precious metals—Boyes continues to shape Pacgold’s strategic direction in a booming gold market.
Corporate Developments
Capital Raising
In September 2024, Pacgold completed a $4.2 million placement to accelerate exploration activities. This resulted in the issuance of 45,555,556 new fully paid ordinary shares at A$0.09 per share. The funds are used for geochemical and geophysical surveys, RC and diamond drilling, metallurgical studies, and camp expansion.
Additionally, a Share Purchase Plan (SPP) in November 2024 raised $157,800, allowing eligible shareholders to purchase shares at the same price as the placement. Lead Manager Euroz Hartley was issued 11,400,000 broker options exercisable at $0.15, expiring in three years.
Board Changes
Pacgold has strengthened its leadership team with key appointments:
- Matthew Boyes: Appointed Managing Director/CEO on 1 September 2024. Mr. Boyes is a seasoned geologist and Managing Director with over 25 years of global experience in company management, mine geology, development, capital markets, and business growth.
- Michael Moore: Appointed Non-Executive Director in October 2024, bringing extensive experience in mineral exploration and corporate strategy.
- Others:
- Paul Johnson stepped down from his role as non-Executive director in December 2024.
- Following Cathy Moises’s retirement after the AGM, Caoilin Chestnutt was appointed Chair, bringing nearly 30 years of expertise in resource exploration, strategy, and M&A across multiple commodities.
- Additionally, Bruce Kendall joined as a non-Executive Director after the reporting period. A highly experienced geologist with over 30 years in mineral exploration and feasibility studies, he has contributed to significant discoveries such as the Tropicana gold deposit, Julimar PGE-Ni-Cu deposit, and Coyote Gold Deposit.
Outlook for 2025 and Investor Perspective
Pacgold (ASX: PGO) is poised to accelerate its exploration efforts at Alice River, leveraging a robust geological model and a well-funded drill program. The company aims to expand high-priority targets through systematic drilling campaigns, focusing on delineating economically viable gold resources. Additional assay results and updated resource estimates are expected in the coming months, offering potential catalysts for growth.
Pacgold presents a compelling opportunity for investors as an emerging gold explorer with exposure to a high-grade mineral system in a stable jurisdiction. While market volatility remains a factor, the company’s continued exploration success and disciplined capital deployment enhance its long-term value proposition.
Stock Performance & Market Position
- Last Price (28 March 2025): $0.067 (+3.08%)
- Market Capitalisation: $8.54 million
- Shares on Issue: 131,454,338
- 52-Week Range: $0.053 – $0.190
- 1-Month Performance: +6.35%
While the stock has traded within a relatively broad range over the past year, recent positive momentum (+6.35% over the past month) suggests renewed investor interest and increasing volume.
