Stratex International has agreed to continue funding exploration planned by Thani Stratex Resources Ltd (TSR) at its Anbat gold prospect in Egypt.
Following completion of the investment, Stratex's holding in TSR would be 30.1%, it said.
Stratex said it had agreed to subscribe for new shares in TSR, for a total investment of $390,000 as part of a total share placement of $1m.
It said drilling had commenced at Anbat in Egypt, with 10 holes for 2380 metres planned.
The programme was aimed at testing extensions of previously identified mineralised zones and defining controls on high-grade.
"The objective of the current drilling programme is to deliver an initial resource estimate," said Stratex.
It added that drilling results from TSR's Pandora project in Djibouti were expected in June.
"Results to date (at Anbat) have been highly encouraging, delivering a number of high-grade gold intercepts," said Stratex's CEO, Marcus Engelbrecht.
"Consequently we are excited by the future value that we believe the Prospect can deliver to our shareholders, and look forward to updating the market on the results of the drilling programme in due course."