Askari Metals (ASX: AS2) is on target to make 2026 a key year in its growth strategy with plenty of cash in the bank and aggressive exploration plans for their recently acquired Nejo project in Ethiopia.
After paying off two funding notes, the company is entering the year debt free and has told shareholders capital will now target accelerating activities in their gold, copper and critical metals assets in Ethiopia and Namibia and in particular Nejo.
Askari successfully completed the acquisition of Nejo's previous owner Hong Kong Xingxu Mining International Investment in late November and immediately identified the asset, approximately 1,174 sq. km, as a prime target.
Growth strategy
“Repayment of all our corporate debt marks an important turning point for Askari. We now have a clean capital structure, a strong balance sheet and the financial flexibility to execute on our growth strategy without an overhang on our securities," executive director, Gino D’Anna, said.
"Nejo is a true flagship asset for the company, with a clear pathway toward a maiden JORC resource through systematic, staged exploration.”
The company intends to progress Nejo through a staged 20,000m drilling campaign, supported by ongoing trenching, geophysics, mapping, and sampling across the district-scale landholding.
Maiden drill plans
Askari’s maiden Nejo drill campaign design has identified a number of shallow, high-grade gold targets and will include testing for copper, antimony and silver.
At Guji, Komto 1 and Komto 2, the company will test an approximately nine km NE-SW mineralised corridor that remains open along strike.
Askari is also set to recommence exploration at the Uis project in Namibia, and its high-grade tin and tantalum mineralisation, and lithium and rubidium upside.
“Recommencing work at Uis will provide shareholders with compelling exposure to tin and critical metals during a period of robust commodity pricing and an improving sector sentiment,” Mr D’Anna said.
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