Genesis Resources Secures Full Ownership of Plavica, Advances 2025 Drilling Plans

Plavica Project Ownership Consolidation

Genesis Resources Limited has taken a decisive step by acquiring the remaining 38% interest in the Plavica Gold-Copper-Silver Project joint venture company, Silgen, from its North Macedonian partner RIK Sileks Ad Kratovo. This move, announced in June 2024 and completed during the March quarter, makes Genesis the sole 100% owner of the project. The acquisition was structured with a 4% mineral royalty payable to Sileks on any future products extracted, effectively replacing the joint venture arrangement with a royalty interest.

This consolidation simplifies project governance and aligns all operational and strategic decisions under Genesis’ control. It also removes any security interests previously held by Sileks over Genesis’ shares in Silgen, potentially streamlining future financing or development initiatives.

Environmental Progress and Mining Approval

At Plavica, environmental baseline monitoring and tree planting activities continued throughout the quarter, conducted in collaboration with local academic and government forestry bodies. These efforts support the finalisation of environmental studies required for the Mining Application approval, a critical regulatory milestone. The mining project submission has already passed government audit and revision committee assessments, positioning Genesis well for imminent approval once environmental reports are complete.

Australian Exploration Tenements: Planning and Permitting

In Australia, Genesis holds several key exploration licences across the Northern Territory and Queensland, including the Alice Springs, Arltunga, Pioneer, and McArthur River projects. While no field work was conducted during the quarter, the company is actively preparing for follow-up drilling programs in 2025, contingent on wet season conditions and obtaining necessary clearances from the Central Land Council.

Notably, the Arltunga licence was renewed through to November 2025, and the Pioneer licence was extended for two years until August 2026. The Alice Springs and McArthur River licences have renewal applications pending. Updated mining management plans and sacred site clearance applications have been submitted, reflecting Genesis’ commitment to regulatory compliance and community engagement.

Financial Position and Funding Outlook

Genesis reported net cash outflows from operating activities of $326,000 for the quarter, reflecting ongoing exploration and corporate costs. The company’s cash balance stood at $148,000 at quarter-end, supplemented by $620,000 in unused financing facilities, primarily unsecured loans from related parties bearing 10% interest. These facilities provide an estimated funding runway of approximately 2.36 quarters at current expenditure levels.

While the company has not disclosed production or revenue guidance, the financial disclosures suggest a cautious but steady approach to funding exploration and development activities. Payments to related parties were disclosed transparently, including director fees and consultancy services at discounted rates.

Looking Ahead

Genesis Resources is positioning itself for a pivotal year ahead, with environmental approvals at Plavica nearing completion and drilling campaigns planned across multiple Australian projects. The consolidation of Plavica ownership removes a layer of complexity and may enhance the project’s attractiveness to future investors or partners. However, the timing of drilling programs remains dependent on external factors such as weather and regulatory clearances.