Horizon Minerals Limited (ASX: HRZ) – 2025 Growth Strategy in Action - An Undervalued Gold Miner Story ?
- Noel Ong
- 20 minutes ago
- 7 min read
Announcements
As the gold price continues to surge and with global events fueling the need to find some form of safe haven, the play now is to try and identify what could be deemed an "undervalued" proposition in a gold sector that is the hottest product on the Australian Stock Exchange.
The task to find an undervalued gold miner story is an extremely difficult task but it's not an impossible task.
I came across Horizon Minerals Limited (ASX: HRZ) and approached management for a chat to try and understand why this company may fit the undervalued tag for investors. Talking to Grant Haywood, he shared some of his thoughts with me, and I like the story.
Grant does make a convincing message in noting that Horizon has taken definitive steps in 2025 to transition from a small-scale gold producer into a multi-commodity growth platform. With consistent production from Boorara and Phillips Find, a major expansion of its mineral resource base following the Poseidon Nickel merger, and a $30 million capital raise to support exploration and infrastructure upgrades, Horizon is setting itself up for both near-term cash flow and looking to lock in future potential resource upgrades with regional projects
Gold Mining Operations Update: Boorara and Phillips Find
In the March 2025 update, Horizon confirmed operational momentum at its Boorara and Phillips Find gold projects near Kalgoorlie-Boulder and Coolgardie.
Phillips Find processed 37,624 dry tonnes at 1.46g/t gold, recovering 1,675 oz and generating $7.92 million in JV revenue (Figure 1).
Additional 150,000 tonnes are scheduled for treatment at Greenfields Mill and Three Mile Hill through June and into September/October 2025.
Boorara processed its first parcel of 50,604 tonnes at 0.791g/t for 1,163 oz, generating $4.95 million (Figure 2).
Additional parcels are currently being processed, hauled, or stockpiled, with Boorara operating at steady-state ore production.
Figure 1: Mining the Newhaven pit at Phillips Find (source: 31 March 2025 HRZ Announcement)
This operational consistency has freed up capacity at the Greenfields Mill, allowing Boorara to bring previously uneconomic low-grade material into profitable treatment due to the elevated gold price.
Figure 2: Boorara ore stockpiles on West ROM pad (source: 31 March 2025 HRZ Announcement)
Resource Expansion: Merging with Poseidon Nickel
April saw Horizon release an updated consolidated Mineral Resource Statement post-merger with Poseidon Nickel (Figure 3). Key highlights from the expanded Group MRE include:
Total gold resources of 1.8Moz
Addition of 20.2Moz of silver and 104kt of zinc
Significant nickel uplift with 422kt of nickel and 7,800t of cobalt
Incorporation of key nickel assets, including:
o   Black Swan
o   Silver Swan
o   Windarra
o   Golden Swan
Inclusion of the Black Swan processing plant, which is now being assessed for refurbishment and conversion to a gold plant
Infrastructure and resource additions offer immediate development and production optionality, broadening Horizon’s commodity exposure beyond gold
Figure 3: Regional map of consolidated gold and nickel assets post-merger (source: 29 April 2025 HRZ Announcement)
These additions significantly expand Horizon's footprint in Western Australia's gold and nickel belts and strengthen its platform for future organic and strategic growth.
Capital Raise: $30 Million to Fast-Track Growth
On 26 May 2025, Horizon announced a successful two-tranche placement raising $30 million at $0.043 per share.
Placement Structure:
Tranche 1: $11.8M using placement capacity
Tranche 2: $18.2M subject to shareholder approval (July 2025)
Use of Funds:
Infill and extension drilling at Burbanks, Crake, and Coote
Greenfields and brownfields exploration at Wilsons, Kestrel, Phillips Find, Greater Boorara, and Nimbus
Engineering studies to convert Black Swan plant for gold processing
Working capital support during upcoming Boorara stockpile processing
Potential debt retirement
Management noted the strategic importance of this raise in maintaining momentum across mining operations and exploration efforts.
Strategic Summary: Is Horizon An Undervalued Gold Miner Story?
Gold Production: Consistent output at Boorara and Phillips Find
Resource Base: Expanded to include 422kt nickel, 1.8Moz gold
Exploration: Active drilling at five project clusters
Infrastructure: Black Swan plant refurbishment studies underway
Capital Position: $30M raise provides working capital buffer.
Market Capitalisation: AUD $135M (as of 17th June 2025)
Samso Concluding Comments
Reading through the recent ASX releases and speaking to Grant Haywood, I think I am being convinced that Horizon Minerals appears to be executing on a dual-pronged strategy—building cash flow through gold production while seeding longer-term growth, potentially with nickel, cobalt, and silver exposure through the Poseidon assets. With Ore stockpiles in place and processing agreements secured, Horizon is generating consistent revenue and using that leverage to reinvest in growth.
Horizon Minerals is in a very good position where its market sentiment is now driving business. They are producing, at least mining and selling their ore and most importantly, making money. The recent capital raise is taking advantage of the market hype early, which is a smart move, as one never knows when the market could turn. Grant explains that they are just taking in the funding now and using that to progress work and knowing that they will replenish that in the coming months with the selling of what they have already mined. This is a great position to be in with a market that is known to turn quickly.
Investors also need to watch what will happen with the Silver story with Horizon. Horizon does have a decent silver project, but whether this is going to be economical in future will largely depend on whether the "talk" of silver going for a run will eventuate. Let's all remember that a couple of years ago, companies like Horixon would not be able to raise funds, as all the focus was on lithium and aspiring gold miners were largely ignored by the capital markets.
For investors watching the junior gold and polymetallic space, this is a case study in how operational progress and infrastructure leverage can support scalable development. As exploration ramps up at Burbanks, Coote, and other project areas, and as the Black Swan plant study advances, there is a real opportunity to see the company transition into a mid-tier gold-nickel story.
This type of measured but flexible execution may appeal to those looking to balance current production exposure with longer-horizon optionality.
From what I can see, Horizon has quietly executed a series of moves that now place it on the radar of both gold and nickel investors. The gold revenue from Boorara and Phillips Find is building, the newly consolidated resource base is meaningful, and the exploration programs are aligned with clear growth corridors. The $30M capital raise isn't just about sustaining operations—it’s about preparing the ground for long-term delivery.
While risks remain—as they always do in exploration and production—Horizon appears to be putting its capital and projects to work in the right direction.
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