RMI Debt-Free After Repaying $825k, Drilling and JV Progress Underway

Exploration Momentum Builds in Tanzania

Resource Mining Corporation Limited (ASX, RMI) has initiated a Rotary Air Blast (RAB) drilling program at its Mpanda Copper-Gold Project in Tanzania, targeting the Stalike and Kabungu prospects. This first-pass drilling, which began after the June quarter, aims to test previously identified anomalous zones for copper and gold mineralisation down to fresh rock at depths of up to 40 metres. The program plans to drill approximately 1,000 metres, with samples collected every metre and composited for assay analysis.

The Mpanda project sits within the Ubendian Orogenic Belt, a prolific mineralised region, and RMI’s focused drilling marks a critical step in advancing the project from exploration towards potential resource definition.

Progress on Saudi Arabian Joint Venture Option

Meanwhile, RMI has completed fieldwork on two gold projects in Saudi Arabia, Wadi Salamah and Shaib Marqan, as it moves closer to exercising its exclusive joint venture option with AuKing Mining Limited. Rock chip sampling and geological mapping have validated historical gold occurrences, with assays revealing significant gold grades, including values exceeding 3 grams per tonne in Wadi Salamah and up to 13.7 grams per tonne at Shaib Marqan.

The Saudi Ministry of Industry and Mineral Resources is in the process of granting the exploration licence for Shaib Marqan, setting the stage for more systematic exploration activities that could rapidly generate new precious and base metal targets.

Strategic Capital Raising and Debt Repayment

On the corporate front, RMI successfully raised $2 million through a share placement priced at 2.1 cents per share, with directors committing $550,000 of that amount. The funds are earmarked for advancing copper-gold exploration in Tanzania, follow-up activities, near-term mining assessments, and general working capital.

Importantly, the company has repaid all outstanding debt facilities during the quarter, including $605,000 to RiverFort Global Opportunities and $220,000 to Ven Capital Pty Ltd, leaving RMI debt free at quarter end with approximately $302,000 in cash reserves. This improved financial position provides a cleaner balance sheet as exploration activities ramp up.

Limited Activity in Finland Amid Lithium Market Conditions

Exploration in Finland was subdued during the quarter due to current lithium market conditions. Some fieldwork, including rock chip sampling and drill hole planning at the Köyhäjoki permit, has been partially completed, but the company remains cautious in this region pending more favourable market dynamics.

Outlook and Next Steps

RMI’s June quarter report underscores a company actively progressing its copper-gold and nickel projects in Tanzania while advancing promising gold opportunities in Saudi Arabia. The commencement of drilling at Mpanda and the nearing exercise of the Saudi JV option represent key catalysts. Meanwhile, the company’s strengthened financial position post-placement and debt repayment provides a solid foundation for ongoing exploration and development.