TSR is raising US$1mln of which Stratex will put up US$390,000 to give it a stake in the venture of 30.1%.
Ten holes are planned at Anbat in Egypt to test extensions of previously identified mineralised zones as part of work towards an initial resource estimate.
Marcus Engelbrecht, chief executive, said the results to date at Anbat had been highly encouraging, delivering a number of high-grade gold intercepts.
“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."
Eslewhere, drilling results from TSR's Pandora project in Djibouti are expected in June, Stratex added.