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DGR Global (ASX: DGR) has acquired a strategic 10% stake in Sunstone Metals (ASX:STM), becoming the cornerstone investor in the company’s latest capital raising while securing the right to appoint a director to Sunstone’s board.
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The investment sees DGR purchase 28.4 million Sunstone shares for $5 million through a placement priced at 17.5cps. Sunstone has raised $9.94M, with the funds set to accelerate exploration across its Ecuadorian copper-gold projects.
DGR said the investment aligns with its long-term strategy of backing high-quality resource projects where it can contribute both technical expertise and strategic oversight.
The Australian company highlighted its extensive experience in Ecuador following its involvement with SolGold and the Cascabel copper-gold discovery, as well as more than a decade of exploration work in the country.
Sunstone’s key assets include the El Palmar copper-gold project in northern Ecuador and the Bramaderos project in the south, both located within highly prospective mineral belts. DGR believes the projects offer exposure to one of the world’s most attractive emerging copper-gold regions.
The board appointment right remains in place while DGR maintains a holding of at least 10% in Sunstone, allowing it to help guide exploration and corporate strategy as the projects advance.
The investment also strengthens Sunstone’s balance sheet as it works to expand exploration programs and progress resource growth across its Ecuadorian portfolio.
DGR last traded at 29cps.
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