Blackstone Minerals (ASX: BSX) raises A$22.6m to drill world-class copper-gold asset in Philippines

Blackstone Minerals Limited (ASX: BSX) has announced an A$22.6 million capital raise backed by global institutional investors, including Macquarie Bank, to launch a 50,000-meter drilling campaign at its newly acquired Mankayan Copper-Gold Project in the Philippines. The equity raise marks a strategic pivot for the basic materials developer, now positioning itself as a regional leader in copper-gold exploration alongside its existing battery metals operations in Vietnam.

The single-tranche placement will see the issue of 289,808,346 new shares at A$0.078 per share—a 14.3% discount to the last traded price—reflecting robust institutional support despite current market volatility. Blackstone Minerals Limited is also offering an additional $2 million through a Share Purchase Plan (SPP) for retail shareholders, bringing the total potential raise to $24.6 million.

The announcement comes days after the completion of Blackstone’s merger with IDM International, which delivered Mankayan to its portfolio—a globally significant copper-gold porphyry system with vast potential in the mineral-rich northern Philippines.

Why are institutional investors backing Blackstone Minerals’ expansion into copper-gold through Mankayan?

Institutional confidence appears to stem from the strategic importance of the Mankayan project itself. Macquarie Bank, a cornerstone participant with a $5 million commitment, is an experienced investor in early-stage mining projects and has had a long-term presence in the Philippines. Analysts say this backing significantly de-risks the capital raise and validates Mankayan’s geological potential.

The placement was reportedly oversubscribed and drew participation from Australian and international institutions. Evolution Capital and Wallabi Group served as joint lead managers, while Argonaut acted as co-manager—another signal of strong professional interest in Blackstone’s post-merger pivot toward copper and gold.

The $22.6 million injection will fund one of Southeast Asia’s most aggressive drilling programs in 2025, with 50,000 meters of diamond drilling, geophysical and magnetics surveys, and metallurgical testing planned. The proceeds will also support working capital needs and project optimization at Mankayan.

What is the strategic importance of the Mankayan copper-gold project for Blackstone Minerals?

Located in the prolific Cordillera region of northern Philippines, the Mankayan project is one of Asia’s largest undeveloped porphyry systems. The merger with IDM International, completed in late June 2025, gives Blackstone Minerals Limited a commanding position in a region known for high-grade mineralization and operational scale.

The copper-gold system at Mankayan is not only high grade but structurally comparable to some of Southeast Asia’s most productive porphyry complexes. In a global environment defined by high gold prices and historically tight copper supply, the asset could serve as a long-term growth engine for Blackstone.

The merger fundamentally reshapes Blackstone’s business model, which previously centered on its Ta Khoa nickel-cobalt project in Vietnam—an operation aligned with the lithium-ion battery supply chain. Now, Blackstone Minerals Limited emerges as a diversified critical and precious metals developer, aiming to service both the green energy transition and industrial infrastructure demand cycles.

How is Blackstone Minerals balancing battery metals growth in Vietnam with the Mankayan pivot?

While Mankayan garners attention as a flagship development asset, Blackstone Minerals Limited remains committed to its integrated battery metals strategy in Vietnam. The Ta Khoa project continues to progress as a vertically integrated nickel-cobalt processing hub aimed at supplying cathode precursor materials to Asian lithium-ion battery manufacturers.

By operating both projects concurrently, Blackstone Minerals Limited is effectively hedging against cyclical downturns in either battery or precious metals markets. Institutional investors appear to view this dual focus as a strength, offering flexibility across commodity cycles while aligning with electrification and energy transition megatrends.

In management commentary, Blackstone’s Managing Director Scott Williamson emphasized the “transformational” nature of the merger and noted the strong investor reception following a global roadshow. He pointed to rising copper demand, supported by infrastructure development and decarbonization initiatives, and record gold prices as tailwinds that reinforce the timing of the company’s pivot.

What are the terms and timeline of the $22.6 million equity placement and Share Purchase Plan?

The placement will be completed in one tranche, with 153.3 million shares issued under the 15% placement capacity allowed under ASX Listing Rule 7.1, and an additional 136.5 million shares issued under the 10% capacity per Rule 7.1A. The $0.078 issue price represents a 9% discount to the five-day VWAP and a 14% discount to the 15-day VWAP prior to June 27, 2025.

The Share Purchase Plan offers eligible shareholders in Australia and New Zealand the opportunity to subscribe for up to A$30,000 of shares on the same terms, with a cap of $2 million and potential for oversubscription. The SPP opens on July 9 and is scheduled to close on July 23, with results expected on July 28 and share issuance completed by July 30, 2025.

The placement was conducted without a prospectus, targeting investors exempt from disclosure requirements under the Corporations Act.

What incentives have been introduced for Blackstone’s board and management team?

As part of its post-merger corporate restructuring, Blackstone Minerals Limited has introduced a long-term incentive plan for its board members. Managing Director Scott Williamson will receive 25 million options at an exercise price of $0.15 (3-year term) and another 25 million options at $0.30 (5-year term).

Non-executive directors Hamish Halliday and newly appointed Geoff Gilmour will each receive 12 million options at $0.15 and another 12 million options at $0.30 with similar terms. These incentives are subject to shareholder approval and signal the board’s alignment with long-term value creation and share price performance.

How are investors responding to Blackstone Minerals’ stock performance and project expansion?

Shares of Blackstone Minerals Limited (ASX: BSX) are trading at A$0.08 as of July 2, 2025, down 12.09% on the day, with a 52-week range of A$0.024 to A$0.10. Despite the recent dip, the one-year return stands at 67.19%, suggesting resilient investor interest amid broader market fluctuations.

With a market capitalization of approximately A$110.27 million and a total of 1.38 billion ordinary shares on issue, the stock remains in the early-stage resource development category. It ranks 235th among 1,054 in the basic materials sector and 920th across the 2,328 companies on the ASX.

Institutional investors appear encouraged by the long-term strategic roadmap, while retail shareholders now have a defined opportunity to re-enter through the SPP.

What are the next steps for Blackstone Minerals and how does the outlook for Mankayan shape up?

With drilling rigs expected to begin turning imminently at Mankayan, market participants are watching closely for assay results that could upgrade resource estimates and trigger additional investor inflows. Analysts believe a successful Phase 1 drill program would strengthen Blackstone’s positioning for potential joint ventures, offtake discussions, or even pre-development funding deals.

Blackstone’s multi-asset footprint in Vietnam and the Philippines strategically aligns with Asia’s growing demand for both battery and base metals. If Mankayan delivers on its early promise, it could elevate Blackstone Minerals Limited from a niche battery metals player to a diversified regional mining developer.

The second half of calendar year 2025 is likely to see a string of exploration milestones, investor engagement updates via the Blackstone Investor Hub, and progress on environmental, geotechnical, and metallurgical studies. Blackstone has signaled that more catalysts may be forthcoming, as it seeks to optimize value across both flagship projects.