Last month, Blue Star completed a $3.5 million non-brokered private placement to fund its upcoming drill campaigns and regional targeting. The financing included institutional and strategic investors, reflecting growing confidence in Blue Star’s high-grade portfolio and VMS discovery potential.
Strategic Ground in an Underexplored Gold Belt
Blue Star owns three projects in the region: Ulu Gold, Roma, and Auma. Its flagship asset is the Ulu Gold Project, consisting of the Ulu Mining Lease and Hood River Property, which has a Measure and Indicated resource estimated at 572,000 gold ounces grading 7.02 grams per tonne (g/t), along with an Inferred resource of 303,000 ounces of gold at a grade of 7.34 g/t. Notably, management said several target areas exist within an approximately five-kilometre radius of the Ulu Gold Project that could expand Ulu’s resource.
The company also explores the nearby Roma Project, which is comprised of crown mineral claims covering 11,532 hectares and a Mineral Exploration Agreement that encompasses 4,119 hectares in total, which is situated in the High Lake Greenstone Belt.
Previous exploration companies, including BHP Minerals (now part of BHP (ASX: BHP)), discovered high-grade gold showings on the properties and Blue Star said several critical mineral showings are present throughout the Roma Project. Supporting both the Roma and Ulu Gold Projects will be a deep-water port that is expected to be built at Grays Bay approximately 40 to 100 kilometres to the north of the company’s properties that will be connected to a proposed all-weather Grays Bay Road that will pass near the company’s properties.
FIGURE 1: Blue Star’s Projects
Drill Bit Turning: New Targets, Deeper Hits, and Expanded Strike Zones
Last week, Blue Star reported its deepest high-grade gold intercepts yet from the Flood Zone deposit at Ulu. The company also identified potential structural controls along plunge that may explain the distribution of high-grade shoots. These results enhance confidence in targeting further extensions of the Flood Zone resource, which remains open at depth and along strike.
Another notable development in 2025 was the company’s announcement on February 19 that it had advanced, through exploration, the Central Prospect, which is located less than 300 metres from the Flood Zone deposit. Recent work has identified a mineralized trend that extends over a 525-metre strike length and below shallow historical intercepts. The Central Prospect represents a logical high-priority target for the next drilling phase.
Blue Star CEO called past drill results from the Central prospect “encouraging” and said the company “may be closing in on a significant new resource area”. The company plans to do 1500 metres of drilling to evaluate the Central-C target down dip and along strike.
In addition, Blue Star revealed on March 18 that its Axis prospect, which was further defined in an Induced Polarization (IP) study in 2023, is drill ready and could be tested during the company’s next drilling campaign. Historic results at Axis include surface grades as rich as 35.22 g/t gold.
In late January, the company reported the discovery of what it called a “significant” new drill target at its Auma Property. Blue Star noted that the characteristics of this target included more than 400 metres of high-grade gold grab samples, three of which exceeded 30 g/t gold, at surface, along with instances of visible gold and 65% of the 26 samples returned greater than 1.0 g/t gold. The company added that there have been just six short drill holes completed on the property in total, one of which assayed 15.3 g/t gold over 2.6 metres.
Share Price Momentum
Shares of Blue Star have climbed 130% year to date, to its current price of $0.115. For 2025, the company said it is focused on expanding the resource at the Ulu Gold Project’s Flood Zone and drilling the Axis and Central targets nearby.
Blue Star is also planning to drill gold targets at its Auma Property and Ataani VMS discovery, both of which are part of the Roma Project.
With potential for resource growth and plenty of upcoming catalysts to support its positive stock price momentum, Blue Star is well positioned to reward its shareholders in the coming months.
FIGURE 2: BAU 1-Year Stock Chart
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