Banyan Gold raising $46.5 million for Yukon drilling
Banyan Gold Co. (BYN-TSXV) has announced details of a $46.5 million private placement financing with proceeds earmarked to advance the company’s AurMac gold project in the Canadian Yukon and expand its 2026 drilling program.
The company said the private placement will consist of 15.5 million common shares that will qualify as “flow-through shares” within the meaning of the Income Tax Act (Canada) at a price of $1.918 per share for grow proceeds of $29.7 million; and up to 12 million common shares priced at $1.40 per share, for gross proceeds of $16.8 million. The financing is expected to close by May 6, 2026.
Banyan Gold shares moved lower on the news, easing 0.73% or $0.01 to $1.36 in early trading Monday and trade in a 52-week range of $1.51 and 21 cents.
The AurMac Project is Banyan’s primary asset. The current mineral resource estimate for the AurMac Project has an effective date of June 28, 2025, and consists of an indicated resource of 2.27 million ounces of gold, including 1.66 million ounces in the Powerline Deposit and 611,000 ounces in the Airstrip Deposit.
On top of that is an inferred resource of 5.45 million ounces including 5.2 million ounces at Powerline and 245,000 ounces at Airstrip.
The AurMac gold project is located in the Mayo Mining district, 356 kilometres north of Whitehorse. It lies adjacent to Hecla Mining’s [HL-NYSE] high grade Keno Hill Silver mine. Banyan recently said it had closed the 100% earn-in agreement on AurMac with PricewaterhouseCoopers Inc., the receiver and manager for Victoria Gold Corp. Banyan has now earned the remaining interests (additional 25%) in the McQuestern and Aurex properties (which together comprise the core of the AurMac project).
Banyan recently said it continues to expand and upgrade the Powerline Deposit at its AurMac Project in the Canadian Yukon.
In a recent press release, the company said diamond drill holes have intersected new high-grade domains extending Powerline mineralization to a new area southwest of the main deposit and demonstrating the continuity of high-grade in the central Powerline deposit and between the Airstrip Deposit
Drilling highlights include hole AX-25-690, which returned 1.15 g/t over 10.5 metres within 0.74 g/t gold over 45.5 metres, including high grade intervals of 6.82 g/t gold over 1.9 metres and 9.75 g/t over 1.0 metre.
“A key objective of the 2025 drill program was to optimize and improve economics for the upcoming preliminary economic assessment (PEA),’’ the company said in a subsequent press release on April 7, 2026. “The drill holes in this release were strategically targeted in areas identified by the 3D model as potential zones where waste blocks could be converted into high-grade ore by extending both the new and previously identified mineralized zones,’’ said Tara Christie, Banyan’s President and CEO. “These results successfully achieve that goal and demonstrate the continuity of high-grade gold mineralization associated with sheeted veins in the core of the eastern portion of the Powerline Deposit.”