RTG Mining Accelerates Mabilo Start-up with Glencore Funding Secured
RTG Mining is fast-tracking the Mabilo Copper and Gold Project in the Philippines with a Final Investment Decision targeted for early Q4 2026 and secured funding from Glencore for Stage 1 development. Exploration at the Chanach Project in Kyrgyzstan is set to resume with drilling planned to upgrade resources.
- Mabilo Project FID targeted early Q4 2026 with eight-month start-up timeline
- Glencore to fully finance Stage 1 capital expenditure for high-grade DSO operation
- Stage 1 ore grade averages 21% copper with strong early cashflow expected
- Chanach Project drilling to commence late July aiming to upgrade resource status
- Corporate cash position at A$8.3 million as of June 30, 2026
Mabilo Project Nears Final Investment Decision with Accelerated Timeline
RTG Mining Inc. (ASX:RTG) is pushing ahead with the development of its high-grade Mabilo Copper and Gold Project in the Philippines, aiming for a Final Investment Decision (FID) in calendar year 2026, specifically targeting early Q4. The company has trimmed the development timeline, now expecting operational start-up approximately eight months post-FID, shaving a month off the original nine-month estimate.
This acceleration is notable given the project’s low-risk profile. Stage 1 is a direct shipping ore (DSO) operation requiring minimal capital expenditure, primarily focused on a pre-strip program without the need for plant construction. The supergene chalcocite ore at the core of Stage 1 boasts an impressive average reserve grade of about 21% copper, underpinning strong upfront cashflow potential that could see operations commence in the first half of 2027.
Glencore Secures Full Financing for Stage 1 Development
Glencore’s commitment extends beyond financing, with the company reaffirming its support for the project’s development plans and offtake arrangements. This strategic partnership significantly de-risks the early phase of Mabilo, allowing RTG and its joint venture partner, TVI Resource Development (Phils.) Inc. (TVIRD), to focus on finalising remaining permits, including approvals related to coconut tree felling.
Exploration Drilling to Extend High-Grade Resources
Following sterilisation and geotechnical validation drilling planned for the current quarter, RTG intends to launch new drilling campaigns targeting extensions to the high-grade supergene chalcocite material feeding Stage 1 operations. This exploration push aims to bolster the resource base and potentially extend the life and scale of the initial DSO operation.
RTG holds a 40% interest in Mt. Labo Exploration and Development Corporation, which owns the Mabilo Project, along with a 2% net smelter royalty and a US$27 million loan to be repaid from Stage 1 proceeds. The company maintains a strong working relationship with TVIRD, reflecting a collaborative approach to advancing the project.
Chanach Project Drilling Resumes to Upgrade Resource Status
In Kyrgyzstan, RTG’s 90% owned Chanach Gold and Copper Project is gearing up for a new drilling season after a weather-imposed hiatus during the June quarter. Preparations included contracting drilling and earthworks companies and laboratories for sample analysis, with mobilisation to the site commencing in early July.
The upcoming drilling campaign will focus on infill drilling of the epithermal gold vein system and high-grade skarns, aiming to upgrade the current inferred resource. The Chanach Project hosts a JORC-compliant inferred resource of 2.95 million tonnes at 5.11 g/t gold and 17.23 million tonnes at 0.37% copper, highlighting significant potential in a prolific metallogenic belt.
Corporate Position and Outlook
RTG reported cash and liquid assets of A$8.3 million as at 30 June 2026. Operating cash outflows reflect ongoing exploration, development, and corporate activities, with the company maintaining a solid cash runway to support its near-term objectives.
Beyond Mabilo and Chanach, RTG remains engaged as a nominated development partner in the Bougainville Panguna Copper-Gold Project redevelopment, a landowner-led initiative in Papua New Guinea. The company continues discussions with local government and stakeholders as the project evolves.
Bottom Line?
RTG Mining’s secured Glencore financing and accelerated Mabilo timeline position the company for near-term production, but upcoming drilling results and permit approvals will be critical to sustain momentum.
Questions in the middle?
- Will the planned drilling campaigns at Mabilo extend the high-grade resource sufficiently to support Stage 2 development?
- How will final permit approvals, especially related to environmental and land use, impact the FID timing?
- What are the implications of the evolving copper market dynamics for Mabilo’s long-term economics beyond Stage 1?
