Barton Gold strengthens financial position with $2.4m R&D refund and $5m in gold sales
Barton Gold (ASX: BGD) has been rewarded for its innovative and highly active exploration in South Australia in 2024.
The company has added further cash to its bank balance as it prepares for an aggressive 2025 campaign.
The Federal Government has paid approximately $2.4 million in research and development (R&D) cash tax refund for the year ended 30 June 2024.
Gold sales add to ‘war chest’
In mid-December Barton added approximately $5 million in new gold sales to help fund its dual project development strategy.
The company received a final payment of $775,000 to complete a $5 million sale of gold concentrates recovered from a December 2022 cleanout and preservation program at Barton’s Central Gawler mill.
It follows the June 2024 sale of approximately 1,400 ounces of gold produced from the mill cleanout and preservation program, with a previous 90% provisional payment received totalling $4.25 million.
Barton’s unrestricted cash balance (which excludes ~$4.5 million cash posted as security for rehabilitation bank guarantees) is approximately $9.2 million.
Highly beneficial initiative
“The Federal Government’s R&D Tax Incentive Program is a highly beneficial initiative which supports smaller companies to pursue technical innovation across a wide range of Australian industries,” managing director, Alexander Scanlon, said.
“Barton’s participation in this program has enabled us to undertake a wide range of large-scale R&D programs which might otherwise not be possible and has contributed to multiple significant technical outcomes.”
In conjunction with funding awarded to Barton under the South Australian Government’s Accelerated Discovery Initiative (ADI), the Federal Government’s R&D Tax Incentive Program has directly contributed to the company’s significant acceleration of exploration activity and efficiency in an emerging gold province.
The R&D work programs undertaken by Barton during fiscal year 2024 has also paid off with the company achieving success in the field.
Significant outcomes enabled by government support include the development of a new regional structural model for the Tarcoola goldfield, new predictive models for alteration zones on the Yarlbrinda Shear Zone (which hosts the Tunkillia project), and the validation of multiple predicted structures and alteration zones.
Notably the company identified the new Tolmer gold system at Tarcoola and the Area 51, 223 North, 223 South and Area 191 gold zones at Tunkillia.