Hamak Gold Unveils Bitcoin Treasury Strategy Amid Nimba Drilling Progress

Hamak Gold’s interim update: FAU joint venture, Nimba drilling and a new Bitcoin treasury

Hamak Gold’s half-year numbers are out and they are anything but routine. The company has firmed up a joint venture on its Nimba licence in Liberia, drilling has kicked off just after the period-end, and management has launched a Bitcoin Treasury strategy following a chunky July fundraise. Here is what matters, why it matters, and what to watch next.

Nimba joint venture: cash-free progress via FAU earn-in

During the period Hamak signed a joint venture with ASX-listed First Au Limited (FAU) over the Nimba gold exploration licence in northern Liberia. In simple terms, an “earn-in” means FAU funds exploration and pays a mix of cash and shares to progressively earn a stake in the project.

• Exclusivity fee paid in January: A$100,000.
• Stage 1 (completed post period): A$250,000 cash and 100 million FAU shares to FAU for a 35% interest in Nimba. Hamak retains 65%.
• Stage 2: 200 million FAU shares due within 9 months of Stage 1 for a further 35% interest.
• Stage 3 (at FAU’s option): A$600,000 in FAU shares at a market-determined VWAP to fully acquire Nimba, plus resource-based milestones totalling A$2 million in FAU shares thereafter.

VWAP is the volume-weighted average price, a standard way of pricing shares over a period. The upshot is that Nimba exploration is now fully funded by FAU, which lowers Hamak’s cash burn but also sets a path where FAU could ultimately own 100% if it completes all stages. That trade-off – less funding risk versus potential dilution of project ownership – is the central strategic balance here.

Why the JV is sensible

Exploration is expensive and uncertain. Handing the chequebook to FAU while retaining material exposure is a pragmatic way to advance a promising licence without repeated equity raises at the parent level. The first tranche (A$250,000 plus 100 million FAU shares) now banked is a clear milestone, and ongoing cash-and-share receipts are baked into the agreement.

Drilling now underway at Ziatoyah: chasing a 20m at 7 g/t intercept

Fieldwork across the 5 km by 1 km gold-in-soil anomaly wrapped up during the period, with structural mapping focused on the high-grade Ziatoyah discovery. FAU mobilised two rigs to Liberia, cleared customs, and kicked off a 3,000 m programme shortly after the period-end.

• Initial progress: two holes completed totalling 520 m at the time of the interim report.
• Target: extensions to the headline 20 m at 7 g/t Au intercept reported previously.
• Context: rock chip sampling at Ziatoyah has returned 37 g/t and 45 g/t Au from mineralised outcrop.

This is the value-creation phase investors care about. Regular assay results are expected through 2025. If the 20 m at 7 g/t holds together along strike or down dip, it strengthens the case for follow-up drilling and, ultimately, a maiden resource down the line. If it pinches out, that will temper enthusiasm. Binary, but that’s exploration.

Licence security and ESG ticked off

In January, Hamak’s wholly owned subsidiary was granted a new three-year exploration licence covering 831 sq km at Nimba. Post period, the Environmental Protection Agency issued the requisite Environmental Licence – a practical green light for the drill campaign and any follow-on work.

Funding reset and a bold Bitcoin Treasury

Post period, on 3 July 2025, Hamak raised gross proceeds of £2,467,000 via 308,375,000 new shares. Each new share carries a 1-for-1 warrant at £0.008 per share, and existing shareholders immediately before the placing and subscription were awarded a free 1-for warrant on the same terms.

From that raise, the company purchased 20 Bitcoin at £88,569 per Bitcoin, a total of £1,771,380, and struck a strategic partnership with ARCHAX, billed as the first FCA-regulated digital asset exchange, broker and custodian. The company is positioning this as a Bitcoin Treasury Management Policy to complement its gold exploration assets.

My take on the Bitcoin move

• Positives: a potentially appreciating treasury asset, differentiated story for capital markets, and a regulated custody partner in ARCHAX to address safeguarding concerns.
• Negatives: Bitcoin is volatile. Mark-to-market swings could overwhelm a small explorer’s balance sheet optics. It is also non-core to geology and may distract from drill-bit progress if not carefully communicated.

Net-net, it is high beta. If Bitcoin appreciates, Hamak’s treasury could look punchy. If it sells off, the optics are tougher and future raises could become more dilutive. The promised investor call with more detail on treasury policy and funding plans in 2025 will be important.

Half-year financials: small operating loss, low cash pre-raise

The interim numbers are unaudited and, as expected for a pre-revenue explorer, show a modest loss. The cash balance at 30 June was low because the fundraise occurred in July.

Metric	30 June 2025	Comparator
Loss for the period	$397,000	$306,000 (H1 2024)
Basic and diluted loss per share	$(0.004)	$(0.004) (H1 2024)
Cash and cash equivalents	$36,000	$27,000 (31 Dec 2024)
Intangible assets (exploration & licences)	$2,055,000	$1,921,000 (31 Dec 2024)
Total equity	$1,027,000	$930,000 (31 Dec 2024)
Non-current loans and borrowings	$392,000	$315,000 (31 Dec 2024)
Embedded derivative liability (CLN)	$112,000	$78,000 (31 Dec 2024)
July fundraise (post period)	£2,467,000 gross	-
Bitcoin purchased (post period)	20 BTC at £88,569 (£1,771,380)	-

Capital structure considerations

The July placing and attached warrants materially increase potential dilution, which is common for small-cap explorers. There is also an existing £300,000 convertible loan note (CLN) issued in July 2024 with 10% interest and a variable conversion feature, which led to a $73,000 finance expense in the half year as the embedded derivative was revalued to $112,009 and the host loan to $392,265.

The board says it is evaluating further placements and convertible loan notes. That is realistic given the exploration pathway and the new Bitcoin strategy. The FAU earn-in should, however, shoulder Nimba’s field costs.

Why this RNS matters for retail investors

• De-risked funding for Nimba via FAU: exploration spend is off Hamak’s balance sheet, but ownership could reduce if FAU proceeds through the stages. Stage 1 is already complete.
• Active catalysts: a 3,000 m drill programme is underway with two holes (520 m) already in the bag. Regular assays in 2025 should drive sentiment.
• Bitcoin Treasury introduces upside and volatility: 20 BTC purchased and a regulated custodian selected. Clear policy articulation will be key.
• Licence clarity: a fresh three-year exploration licence over 831 sq km and an Environmental Licence are now in place, supporting operational continuity.
• Governance and profile: new appointments include Executive Chairman Nick Thurlow, Non-Executive Director Nicola Horlick and Dr Arthur Laffer as the inaugural Advisory Board member. This should help investor engagement.

Key risks and how I see them

• Exploration risk: the 20 m at 7 g/t intercept is excellent, but it needs scale and continuity. Early drill results will confirm or challenge that thesis.
• Funding and dilution: post-period equity issuance and outstanding warrants mean dilution is part of the story. The company also signals potential future placements and CLNs.
• FAU dependency: the JV relies on FAU meeting stage commitments and funding the programme. The Stage 2 share issuance (200 million FAU shares) is the next check-point.
• Bitcoin volatility: treasury mark-to-market swings could overshadow operational newsflow in the short term.

What to watch next

1. Assay results from the 3,000 m Nimba drill programme, focusing on extensions to the 20 m at 7 g/t zone at Ziatoyah.
2. Confirmation of the Stage 2 FAU payment of 200 million FAU shares within 9 months of Stage 1.
3. Details from the upcoming investor call on the Bitcoin Treasury Management Policy and any additional fundraising plans for 2025.
4. Movement in the convertible loan note and any warrant exercises tied to the July placing at £0.008.

Bottom line

This is an ambitious pivot for a junior explorer: keep drilling a high-grade Liberian target while layering in a Bitcoin treasury. The FAU earn-in is the practical enabler, freeing Hamak from near-term exploration spend. The share overhang from the placing and warrants is the trade-off. If drill assays deliver and Bitcoin behaves, 2025 could be lively. If either falters, expect volatility. For those following the story, the next few RNS announcements will be pivotal.

For more on the company, see the latest updates at www.hamakgold.com.