Nagambie Reports Q1 Cash Burn of A$272K, Holds A$662K Cash at Quarter End

Quarterly Cash Flow Overview

Nagambie Resources Limited has released its quarterly cash flow report for the period ending 31 March 2025, revealing a net cash outflow from operating activities of A$272,000. This outflow reflects ongoing costs associated with exploration and corporate overheads, underscoring the capital-intensive nature of the company's mining exploration activities.

Investing activities also exerted pressure on cash reserves, with A$503,000 spent primarily on capitalised exploration and evaluation expenditure. This investment signals Nagambie's commitment to advancing its mineral resource projects despite the current cash burn.

Funding and Liquidity Position

To support its operations, Nagambie has secured a $3 million loan facility from PPT Nominees Pty Ltd, with $2.6 million drawn as of the quarter's end. The facility carries a 10% per annum interest rate and is available until mid-September 2025, providing a critical liquidity buffer for the company.

Cash and cash equivalents stood at A$662,000 at quarter end, excluding restricted tenement bonds classified separately. The company also has $400,000 in unused financing facilities, bringing total available funding to just over A$1 million.

Outlook and Strategic Funding Plans

Recognising the limited runway indicated by an estimated 0.6 quarters of funding available at current expenditure levels, Nagambie is actively pursuing additional capital. The company is in advanced discussions regarding a share placement intended to raise sufficient funds to sustain ongoing operations and exploration activities.

Management remains confident in the company's ability to continue as a going concern, supported by the secured loan facility and anticipated equity raise. However, the timing and success of the share placement will be pivotal in shaping Nagambie's near-term financial stability.

Governance and Compliance

The quarterly report was authorised for release by Executive Director Mike Trumbull and complies with ASX Listing Rule 19.11A and relevant Australian accounting standards. Payments to related parties amounted to A$19,000 during the quarter, consistent with prior disclosures.

Investors should monitor forthcoming announcements regarding the share placement and any changes to the loan facility or exploration expenditure, which will provide further clarity on Nagambie's financial trajectory.