GAL adds new EM targets to upcoming drill program

Our long-term exploration Investment Galileo Mining (ASX: GAL) just added another target to its drill program planned to start next month.

GAL identified a new EM target off the back of some downhole EM surveys run across its Calisto project in WA.

GAL is currently in the middle of a project wide target generation program - looking for new drill targets that can add to the company’s existing 17mt JORC resource at its Calisto discovery.

GAL expects to start its next round of drilling in August.

GAL’s work is focused on the ~20km of strike surrounding its existing discovery and the ~12km of strike at its Mission Sill prospect:

Here is one of the new targets GAL identified in today’s announcement - the bright coloured blobs is where GAL will look to drill in its upcoming programs:

With $13.6M cash in the bank (at 30 June 2024) we are looking forward to seeing whether or not GAL can replicate its Calisto discovery…

Any hint of a discovery should bring back market interest in GAL considering how far down it is from its post-discovery peak of ~$2 per share.

What happened to GAL after its last discovery - what we are hoping happens next

Back in 2022 GAL made its Calisto discovery and its share price went from ~$0.20 to ~$2 per share.

Off the back of that discovery GAL raised ~$20M at $1.20 per share and de-risked the company’s funding position.

In hindsight it was a good time to top up the company’s bank account - given the falling platinum/palladium prices and the negative sentiment across the market.

Since the discovery, and subsequent drilling the GAL share price has come down a lot, and is now trading at around the ~18c mark.

Now we think the macro is improving and nickel/palladium prices look to be bottoming out.

We are hoping that with the next round of drilling in August, GAL is able to make a new discovery which in turn re-rates the company’s share price.

How today’s news relates to our GAL Investment Memo:

Well-funded for exploration
GAL is an active explorer, running multiple drilling campaigns every calendar year. With $26.4M in cash (at 21 July 2022) GAL is well-funded to expand its new PGE discovery whilst also pursuing additional discoveries

Source: “Why we Invested in GAL” Section - GAL Investment Memo 30 August 2022

GAL’s latest cash balance was $13.6M (at 30 June 2024) which puts the company in a strong position going into its next round of drilling.

GAL is in a position where if it does make a new discovery then it won't have to pull the trigger on a capital raise immediately.

Instead anyone who wants exposure to the company will have to buy shares on market.

That could mean GAL’s share price re-rates a lot stronger than how it would if the company was low on cash.

What’s next for GAL?

Norseman Project:

• 🔄 Results from downhole EM surveys
• 🔄 Results from geophysical IP surveys
• 🔲 Drill program to start in August

Fraser Range project (67% owned by GAL, 33% owned by Creasy Group:

• Target generation work and permitting. Drilling planned for the second half of 2024.