Wia Gold completes $125m placement to fund Kokoseb Gold Project

Wia Gold completes $125 million placement to fully fund the Kokoseb Gold Project following resource growth and feasibility success.

The Wia Gold Ltd (ASX: WIA) share price is in focus today as the company announced the completion of a $125 million placement to fund the Kokoseb Gold Project following a robust Definitive Feasibility Study and a 29% increase in Mineral Resource.

Woman with gold nuggets on her hand.

Image source: Getty Images

What did Wia Gold report?

  • $125 million raised via a placement at $0.425 per share
  • Placement supports construction of the Kokoseb Gold Project to first gold, targeted for Q4 2028
  • Offer price at nil discount to last traded price; 2% below 5-day VWAP
  • Definitive Feasibility Study (DFS) confirms 1.95Moz Probable Ore Reserve, initial 14-year mine life
  • Funding package, including a proposed US$360 million Sprott debt facility, covers pre-production capital
  • Placement subject to shareholder approval expected late September/early October 2026

What else do investors need to know?

The Kokoseb Gold Project is progressing towards production, with updated resources of 3.78 million ounces at 1.0g/t and an average annual output of 150,000 ounces planned over the first decade. The project sits within a joint venture, with Wia holding 80% and the remaining interest with Namibia's state-owned Epangelo.

Wia's funding package comprises the new placement, a Sprott debt facility, and existing cash, intended to fully fund the project to first gold. Funds will be used for construction, pre-production capital, ongoing studies, permitting, and regional exploration. The placement received strong backing from new and existing institutions and sophisticated investors.

What did Wia Gold management say?

Managing Director & CEO Henk Diederichs said:

Following completion of the DFS and a 29% increase in our Mineral Resource, this Placement, together with the proposed US$360 million Sprott debt facility and existing cash reserves, completes the funding package required to advance Kokoseb through construction and into production. The proceeds will be applied to pre-production capital and key workstreams that de-risk project execution. The strong support from new and existing institutional and sophisticated investors reflects confidence in the quality of the project. We thank our shareholders for their ongoing support as we advance Kokoseb towards becoming Namibia's next major gold mine.

What's next for Wia Gold?

The upcoming General Meeting later in 2026 will seek shareholder approval for the placement, with allotment and quotation of new shares to follow. Wia aims for construction completion and first gold production at Kokoseb by the fourth quarter of 2028.

Longer term, the company looks to build value through exploration, advancing feasibility, and responsibly progressing permitting and social initiatives across its broader Namibian portfolio.

Wia Gold share price snapshot

Over the past 12 months, Wia Gold shares have risen 32%, outperforming the All Ordinaries Index (ASX: XAO), which has risen 3% over the same period.

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Motley Fool contributor Laura Stewart has no position in any of the stocks mentioned. The Motley Fool Australia's parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips. This article was prepared with the assistance of Large Language Model (LLM) tools for the initial summary of the company announcement. Any content assisted by AI is subject to our robust human-in-the-loop quality control framework, involving thorough review, substantial editing, and fact-checking by our experienced writers and editors holding appropriate credentials. The Motley Fool Australia stands behind the work of our editorial team and takes ultimate responsibility for the content published by The Motley Fool Australia.

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