Wishbone Gold (LSE:WSBN) has entered into an option agreement to acquire the Silver Lake Project, a 422-square-kilometre silver prospect located in the Carnarvon Basin of Western Australia. The company will initially pay £100,000 in cash for the option, with the potential acquisition to be completed through the issuance of 3,571,777 Wishbone shares if the option is exercised. The project adds a potentially high-grade silver opportunity to the company’s portfolio alongside its existing Red Setter exploration programme.
Silver Lake hosts extensive surface mineralisation across a 35-kilometre structural corridor. Rock chip samples from the site have returned grades of up to 847 grams per tonne of silver, while historical drilling has also identified encouraging mineralised intervals. The project benefits from year-round access and proximity to the multi-user port of Onslow, which could support future logistics and development. Historical exploration suggests the presence of several mineralisation styles across the licence area, along with indications of bentonite and phosphate within the tenure.
Management believes the geological setting offers significant exploration scale and plans to begin low-cost auger drilling to better define the extent of the silver mineralisation and guide future exploration programmes. The company also highlighted the growing industrial demand for silver—driven by sectors such as electric vehicles, data centres, and solar power—as a supportive long-term market backdrop.
The company’s outlook remains constrained by weak financial fundamentals typical of early-stage explorers, including a lack of revenue, ongoing losses, and negative free cash flow, although some improvement has been noted. Technical indicators show a mixed picture, with neutral momentum and no clear price trend. Valuation remains difficult to assess due to the negative price-to-earnings ratio and the absence of dividend yield data.
More about Wishbone Gold
Wishbone Gold is an exploration company listed on the AIM and Aquis exchanges in London. The group focuses on identifying and developing precious and base metals projects in Western Australia. Its portfolio includes the Red Setter copper-gold project, and the company is now expanding into silver exploration through prospective ground in the Carnarvon Basin, targeting shallow, near-surface mineralisation that can be tested with relatively low-cost drilling.
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