Red Hill Minerals highlights a strong dividend-paying model backed by diversified royalties and a vigorous 2026 exploration agenda at the RIU Explorers Conference.
- A$320 million market capitalization with A$61.3 million cash reserves
- Ongoing iron ore royalty income from Onslow Iron Project with FY26 forecast of A$28.7 million
- Dividend policy targeting 50% of royalty income from Onslow Iron
- Active exploration across Curnamona, Broken Hill, Anabama, and West Pilbara projects
- Diversified portfolio includes gold, copper, uranium, and base metals royalties
A Diversified Royalty and Exploration Company
Red Hill Minerals Limited (ASX, RHI) presented a comprehensive update at the RIU Explorers Conference 2026, showcasing its diversified portfolio of royalties and exploration assets. With a market capitalization of approximately A$320 million and cash reserves exceeding A$61 million, the company is well positioned to pursue growth opportunities while maintaining steady income streams.
The company’s core strength lies in its royalty interests, notably a 0.75% FOB iron ore royalty on the Onslow Iron Project, which has delivered over A$27 million to date. For the financial year 2026, Red Hill anticipates royalty income of around A$28.7 million from this asset alone, underpinning its dividend policy which targets distributing 50% of this income to shareholders.
Exploration Ambitions Across Multiple Fronts
Beyond royalties, Red Hill is actively advancing exploration projects across several Australian jurisdictions. The company holds earn-in rights to 75% of the Curnamona project in South Australia, a large and highly prospective area with historic ties to major mining players. In New South Wales, the Broken Hill project is progressing with extensive geophysical surveys and diamond drilling, revealing promising lead-zinc-silver mineralisation.
In South Australia’s Anabama project, recent drilling confirmed high-grade copper and gold mineralisation, including the highest-grade intercept recorded to date. Follow-up drilling is planned for mid-2026 to further delineate these zones. Meanwhile, in Western Australia’s West Pilbara region, Red Hill continues to test targets along a 1km mineralised corridor, with encouraging gold and base metal results from Barkley, Urandy, and S-Bend prospects.
Strategic Royalty Acquisitions and Partnerships
Red Hill’s royalty portfolio extends beyond iron ore to include a 2% gross revenue royalty on Brightstar Resources’ Sandstone Gold Project, which hosts over one million ounces of gold resources. Additionally, the company holds a 1.5% net smelter royalty on the Thomson Intrusive gold-copper project, an early-stage asset with significant exploration upside supported by joint ventures with Legacy Minerals and Rio Tinto Exploration.
This diversified approach balances steady cash flow from producing royalties with the potential for value creation through exploration success and strategic asset acquisitions. The management team, led by CEO Michael Wall and Executive Chairman Joshua Pitt, brings a proven track record of delivering shareholder returns through disciplined exploration and royalty investments.
Outlook and Market Positioning
Looking ahead, Red Hill plans a substantial and systematic exploration program throughout 2026, focusing on expanding known mineralisation and testing new targets. The company remains vigilant in assessing new opportunities to enhance its portfolio, aiming to build long-term value for shareholders through a combination of royalty income and exploration discoveries.
With a well-funded balance sheet, ongoing royalty cash flows, and a diversified asset base, Red Hill Minerals is positioned to navigate the cyclical mining sector while pursuing growth in high-potential mineral provinces across Australia.
Bottom Line?
Red Hill Minerals’ blend of steady royalty income and aggressive exploration sets the stage for potential value uplift in 2026 and beyond.
Questions in the middle?
- How will upcoming drilling results at Broken Hill and Anabama influence Red Hill’s resource estimates?
- What new royalty or exploration opportunities is Red Hill targeting to complement its existing portfolio?
- How sensitive is Red Hill’s dividend policy to fluctuations in iron ore prices and production volumes at Onslow?