RTG Mining Advances Mabilo Project with Glencore Funding, Targets Q2 2027 Start-up

Glencore Financing Secures Mabilo Development

RTG Mining Inc. (ASX:RTG) is charging ahead with its Mabilo Copper and Gold Project in the Philippines, aiming for a Financial Investment Decision (FID) by late Q2 2026 and an operational start-up early in Q2 2027. The project’s standout feature is a low-risk Direct Shipping Operation (DSO) backed by a binding finance and offtake agreement with global mining giant Glencore International AG, which has committed to funding 100% of the Stage 1 capital expenditure. This arrangement covers a US$30 million facility structured in three tranches, providing both development capital and working capital flexibility.

The Mabilo Project’s initial ore source is a supergene chalcocite reserve of 0.104 million tonnes at an exceptional average grade of 20.7% copper, expected to yield approximately 25,200 tonnes of copper alongside 52,900 ounces of gold. This high-grade profile underpins the project’s economics and supports a rapid nine-month development timeline. RTG’s 40% stake in Mt. Labo Exploration and Development Corporation, which owns the project, is complemented by a 2% net smelter royalty and a US$27 million loan to be repaid from the DSO proceeds. The company’s management emphasises the strong collaborative relationship with joint venture partner TVI Resource Development (Phils.) Inc. (TVIRD), which continues to facilitate progress toward start-up plans.

Drilling and Resource Expansion Plans at Mabilo

While no exploration was conducted during the March quarter, RTG plans a new drilling campaign in Q2 2026 targeting extensions of the high-grade chalcocite material to support Stage 1 operations. This will likely include sterilisation drilling and testing oxide resource extensions. Additionally, follow-up drilling is planned on a porphyry target beneath volcanic cover between the South and East Mineralised Zones, alongside strike extensions of the skarn system and infill drilling to upgrade inferred resources.

The Mabilo Project’s mineral resource estimate, reported at a 0.3 g/t gold cut-off, totals 8.86 million tonnes at 1.9% copper and 2.0 g/t gold in the indicated category, with an additional 3.91 million tonnes inferred. The probable mineral reserve, based solely on indicated resources, stands at 7.79 million tonnes averaging 1.95% copper and 2.04 g/t gold. These figures reflect the project’s significant scale and high-grade potential, which management believes is undervalued given current copper prices hovering around US$6.00 per pound, driven by structural supply deficits and demand from electrification and AI infrastructure sectors.

Chanach Project Prepares for New Drilling Season

RTG’s 90%-owned Chanach Gold and Copper Project in Kyrgyzstan remains a key exploration asset with promising upside. Despite a weather-imposed pause in fieldwork during the quarter, the company has contracted drilling and laboratory services in preparation for a new campaign commencing in Q2 2026. The focus will be on infill drilling of the epithermal gold vein system and high-grade skarns to upgrade resource classification.

Last year’s 4,300m diamond drilling campaign delivered encouraging results, including intercepts such as 59.9m at 0.67% copper and multiple high-grade gold zones exceeding 10 g/t. The existing JORC-compliant inferred resource comprises 2.95 million tonnes at 5.11 g/t gold (484,000 ounces) and 17.23 million tonnes at 0.37% copper (64,000 tonnes). These results underscore Chanach’s potential as a significant copper-gold porphyry-skarn system, complementing RTG’s development pipeline.

Corporate Position and Broader Opportunities

RTG closed the quarter with A$10.6 million in cash and liquid assets, maintaining a solid financial footing as it advances Mabilo toward production. Operating cash outflows were offset by investing inflows, including a notable term deposit. Payments to related parties totalled approximately US$150,000 for director remuneration.

Beyond Mabilo and Chanach, RTG remains engaged in the redevelopment opportunity at the Panguna Copper-Gold Project in Bougainville, Papua New Guinea. RTG is the nominated development partner in a landowner-led initiative, holding just under 70% of Central, the joint venture company involved. Discussions continue with the Autonomous Region of Bougainville government and other stakeholders, though the project’s future remains contingent on political and social developments.

The company’s management team brings extensive international mine development experience, including the Masbate Gold Mine in the Philippines. Institutional investors such as Equinox Partners and Franklin Templeton back RTG, reflecting confidence in its growth trajectory.

RTG’s recent progress builds on earlier milestones, including its strategic partnership with Glencore announced last year, confirming the financing and offtake framework that underpins Mabilo’s near-term development. This financing deal, combined with strong copper market fundamentals, positions RTG to unlock significant value for shareholders as it moves toward production. The company’s upcoming drilling programs at both Mabilo and Chanach will be critical to sustaining momentum and upgrading resource bases.

Investors should note that RTG’s forward-looking statements are subject to typical mining risks, including permitting, financing, operational execution, and geopolitical factors, especially concerning Bougainville. The company’s ability to meet its development timeline and capitalise on strong commodity prices will be key to watch in the coming quarters.

RTG’s strategic moves and financing arrangements reflect a company transitioning from explorer to producer, with a clear focus on delivering value from its high-grade assets in the Philippines and Central Asia. The next few months will be telling as the company finalises permitting, commences drilling, and advances toward its targeted Q2 2027 start-up.

RTG’s progress on Mabilo echoes its earlier momentum reported in the Glencore financing agreement and the Q2 2026 development timeline, while its Chanach drilling preparations build on the strong results from the 2025 diamond drilling campaign.