Rimfire’s Scandium Surge and Cobalt Pause Signal Strategic Shift Amid Market Uncertainty

Scandium Breakthrough at Murga

Rimfire Pacific Mining has reported a significant milestone in its critical minerals exploration with the December 2024 quarterly results. The company achieved its highest-grade scandium intercept to date at the Murga project in New South Wales, returning 16 metres at 327ppm scandium from 13 metres depth, including a standout 9 metres at 404ppm. This result underscores the potential of the Murga area, where scandium mineralisation occurs within weathered laterite horizons overlying magnetic ultramafic pyroxenite rocks, interpreted as the primary source of scandium.

Complementing the air core drilling success, Rimfire completed its first-ever diamond drilling program at Murga, intersecting pyroxenite basement rocks beneath known scandium mineralisation. These findings validate the use of magnetic data to target scandium-rich zones and are expected to refine the geological model further once assay results are received by the end of February 2025.

Strategic Expansion with Rabbit Trap Acquisition

In a strategic move to broaden its scandium portfolio, Rimfire entered into a Buy Option Agreement to acquire 100% of Exploration Licence 8666, known as the Rabbit Trap Scandium Project, from Javelin Minerals Limited. Situated 50 kilometres north of Fifield, Rabbit Trap hosts multiple untested magnetic anomalies and historic drill intercepts with notable scandium grades, such as 18m at 217ppm Sc. Rimfire has also applied for an adjacent exploration licence, collectively expanding its footprint to 310 square kilometres.

This acquisition aligns with Rimfire’s focus on critical minerals essential for global decarbonisation technologies, positioning the company to capitalize on emerging scandium demand.

Promising Cobalt and Copper Results at Broken Hill

Beyond scandium, Rimfire’s exploration at the Bald Hill cobalt-copper prospect in Broken Hill delivered encouraging results. Step-out diamond drilling returned multiple high-grade intercepts, including 18 metres at 0.16% cobalt and 0.16% copper, with some intervals reaching 0.21% cobalt and 0.23% copper. These grades place Bald Hill among the highest-grade cobalt sulphide occurrences in the region, comparable to notable deposits such as Havilah Resources’ Mutooroo and Cobalt Blue’s Broken Hill Cobalt Project.

Despite these promising results, Rimfire has prudently decided to postpone substantial exploration at Bald Hill pending an improvement in global cobalt prices, maintaining focus on its scandium assets.

Financial Position and Corporate Developments

Rimfire secured underwriting for $1.65 million through Euroz Hartleys Limited on its unlisted 2-cent options expiring in February 2025, providing a vital capital injection to support ongoing exploration. At quarter-end, the company held $0.6 million in cash, with the underwritten options expected to bolster liquidity in February.

Additionally, Rimfire continues to navigate legal proceedings related to the termination of earn-in agreements on its Fifield and Avondale projects, with arbitration hearings scheduled for March 2025. These developments are being managed to minimize disruption to exploration activities.

Looking Ahead

Rimfire plans to intensify exploration efforts in the March 2025 quarter, including further air core drilling at Murga and initial drilling at the Currajong scandium prospect. Assay results from the recent diamond drilling at Murga will provide critical insights to guide these programs. Meanwhile, the company remains vigilant on cobalt market dynamics, ready to resume activity at Bald Hill when conditions improve.