Profit Distribution and Drilling Plans Highlight GIB’s Growth Risks and Rewards

Profit Distribution Signals Strong JV Performance

Gibb River Diamonds Limited (ASX:GIB) has announced a significant milestone with the receipt of a $7 million payment, representing its 50% share of profits from the Neta Gold Mine joint venture with BML Ventures Pty Ltd. This payment reflects gold production of over 5,200 ounces to date, excluding the ongoing Greenfields milling campaign. While a retention amount remains to cover royalties and rehabilitation, this initial distribution underscores the commercial success of the JV mining operations.

Greenfields Milling Campaign and Future Cashflows

The Greenfields milling campaign involves processing approximately 9,000 dry metric tonnes of lower-grade ore from the Neta Mine. Final reconciled gold production figures from this campaign are pending, and once available, they will inform a further, albeit smaller, cash distribution to Gibb River Diamonds. This phased payment approach reflects prudent financial management and cost coverage before profit sharing is finalised.

New Exploration Drilling to Unlock Edjudina Potential

Looking ahead, Gibb River Diamonds is gearing up for a 2,000 metre aircore drilling program commencing in early April 2026 on Mining Lease M31/481, which it owns outright. This lease is strategically adjacent to the recently mined Neta Gold Mine and is considered highly prospective for similar gold mineralisation. The drilling will test multiple targets identified through historic data and recent field mapping, including old mine workings dating back to the late 19th century. Results from this initial phase will guide further exploration efforts.

Strategic Positioning in Western Australia’s Gold Sector

Gibb River Diamonds continues to explore acquisition opportunities within the Western Australian gold sector, signalling an ambition to expand its footprint beyond the Edjudina Gold Project. The company’s focus on both near-term cashflow from existing operations and longer-term resource growth through exploration reflects a balanced growth strategy in a competitive market.

Operational and Environmental Responsibilities

Under the joint venture agreement, BML Ventures managed mining, transport, and processing activities at Neta, as well as rehabilitation obligations. This arrangement allows Gibb River Diamonds to focus on exploration and strategic development while ensuring environmental responsibilities are met by its partner. The company’s transparent reporting and phased profit distributions provide investors with clear insight into operational progress and financial returns.