Askari Metals Ltd (ASX:AS2, FRA:7ZG) has wrapped up a pivotal December quarter, completing the acquisition of its flagship Nejo Gold and Copper Project in Ethiopia, strengthening its balance sheet and setting the stage for a maiden drilling campaign in early 2026.
The quarter marked a clear strategic reset for the company, with Askari exiting its Australian assets, becoming debt-free and fully funding near-term exploration across its African portfolio. With multiple drill-ready targets now defined at Nejo, the company is preparing to transition from consolidation to active drilling and steady news flow.
Nejo, which covers a district-scale 1,174 square kilometres in central western Ethiopia, sits within the Arabian–Nubian Shield and surrounds the 1.7-million-ounce (Moz) Tulu Kapi gold mine. The project also lies along strike from the 3.4Moz Kurmuk mine, placing Askari in a proven Tier-1 gold-copper corridor.
District-scale Nejo acquisition drives quarter
During the quarter, Askari completed its acquisition of Nejo and commenced regional exploration across two priority gold-copper trends — the Guliso Trend (~10km) and the Guji–Gudeya Trend (~9km). These corridors host multiple high-priority targets with historical drilling and trenching that returned high-grade gold and copper results but were never systematically followed up.
Exploration drill holes and trench collar locations and results from the Guji, Komto 1 and Komto 2 targets within the Nejo Project, Ethiopia (Askari - 100%).
Key highlights from Nejo include:
- More than 60km of prospective strike length within a proven gold-copper belt
- Multiple drill-ready targets identified across two major trends
- Historical datasets confirming shallow, high-grade gold and copper mineralisation
- A maiden drilling program of up to 5,000 metres planned for Q1 2026
Initial drilling will focus on the Guji, Komto 1 and Komto 2 targets, testing near-surface gold mineralisation and assessing copper, antimony and silver potential as Askari advances towards a maiden JORC (2012) mineral resource.
Fully funded, debt-free and operationally ready
Askari strengthened its financial position during the quarter, raising $2.75 million before costs through an oversubscribed rights issue and private placement. Subsequent to quarter end, the company repaid all outstanding convertible and redeemable notes, leaving it with a clean, debt-free balance sheet.
Cash on hand at December 31 stood at about $2.1 million, with a further ~$1 million in listed securities available for sale.
The company also completed the divestment of its Australian subsidiary, First Western Gold Pty Lt, sharpening its focus on African gold, copper and critical metals.
Namibian tin and critical metals upside
Alongside Ethiopia, Askari progressed exploration planning at its Uis project in Namibia, which provides exposure to high-grade tin and tantalum mineralisation with lithium and rubidium upside. The project sits directly along strike from Andrada Mining’s operating Uis Tin Mine.
Recent work confirmed high-grade tin, tantalum and rubidium mineralisation across multiple pegmatite targets, with further trenching, soil sampling and planned reverse circulation drilling forming part of the forward program.
Executive director Gino D’Anna said the quarter marked a “transformational” shift for the company.
“Askari is now well funded and operationally positioned to commence its maiden drilling campaign at Nejo in Q1 2026, with the objective of validating historical high-grade mineralisation and advancing priority targets toward a maiden JORC (2012) Mineral Resource,” D’Anna said.
“With a clear strategy, a simplified portfolio and multiple near-term exploration catalysts, we are well positioned as we enter an active period of growth.”