$8.81m loss, $5.23m write-off and $3.45m cash mark Artemis annual result
Artemis Resources has repositioned around West Pilbara gold-copper exploration and the emerging Madura province, but its audited accounts warn that further funding is required to sustain planned activities. The company ended the year with $3.45 million in cash after an $8.81 million loss and a $5.23 million exploration write-off.
- Material uncertainty over future funding and going concern
- $8.81 million full-year loss including $5.23 million non-cash write-off
- $3.45 million cash at 30 June 2026, followed by a further $5.09 million raise
- Titan East gold mineralisation remains open along strike and down-dip
- Cassowary and Sharon Dam drilling remain subject to approvals and access arrangements
Auditor flags dependence on future capital
Artemis Resources Limited (ASX:ARV) has used its annual report to draw a sharp line under a year of restructuring, but the most consequential disclosure is less geological than financial: the group says it will need additional funding to support planned exploration and corporate activities through September 2027. HLB Mann Judd highlighted a material uncertainty that may cast significant doubt on Artemis’ ability to continue as a going concern, while leaving its audit opinion unmodified.
The warning comes despite a stronger balance sheet at year end. Cash and cash equivalents rose to A$3.45 million from A$1.15 million, while the company reported a working-capital surplus of A$2.48 million. That improvement was supported by equity raisings, including an A$8 million placement announced in June 2026 and completed in two tranches. However, the directors’ forecast also assumes another capital raising that remains uncommitted and subject to market conditions and investor support.
Loss widens as Paterson expenditure is written off
Artemis recorded an A$8.81 million loss after tax for the year ended 30 June 2026, compared with A$6.33 million a year earlier. The result included a non-cash A$5.23 million write-off of exploration expenditure, primarily relating to the Paterson project after its tenement was surrendered in February 2026.
The company did not generate revenue from mining operations. It used A$3.03 million in operating cash and a further A$1.89 million in investing cash, including A$2.47 million on capitalised exploration. Exploration and evaluation assets stood at A$28.85 million at year end, making the carrying value of those assets a key audit matter and leaving future funding, tenement decisions and exploration results central to the investment case.
Titan East provides the established exploration case
In the West Pilbara, Artemis is concentrating on the Regal Shear Zone and the Carlow-Titan trend. Drilling at Titan East produced intersections including 5 metres at 13.1 grams per tonne gold and 19 metres at 1.6 grams per tonne gold, while follow-up diamond drilling confirmed mineralisation down-dip with results including 4.7 metres at 2.3 grams per tonne gold and 5 metres at 1.3 grams per tonne gold.
The mineralisation has been intersected to about 150 metres vertical depth and remains open along strike and down-dip, according to the report. Artemis is reviewing its geological model and future targets rather than undertaking further Titan East drilling in the June quarter. The nearby Carlow resource remains an Inferred 8.74 million tonnes at 2.5 grams per tonne gold equivalent, containing 374,000 ounces of gold, 64,000 tonnes of copper and 8,000 tonnes of cobalt, based on the October 2022 estimate.
Madura drilling awaits clearances and execution
Artemis has also built a position of more than 2,100 square kilometres along the Madura Crustal Boundary, with Cassowary and Sharon Dam its first priority targets. Cassowary’s interpreted magnetic intrusion is about 4 kilometres in diameter, while Sharon Dam is described as the company’s strongest coincident magnetic and gravity anomaly in the province.
Neither target had reached drilling when the reporting period closed. At Cassowary, a heritage survey over proposed drill sites and access tracks had begun, but drilling remained subject to clearance and final approvals. At Sharon Dam, Artemis can earn up to 60% from Red Metal Limited (ASX:RDM) by spending at least A$5 million over three years, including a minimum A$400,000 drilling commitment within 12 months. The project also has access to a potential Western Australian government co-funding grant of up to A$220,000.
Capital structure carries its own warning
After year end, Artemis issued 1.272 billion shares at A$0.004 each to raise about A$5.09 million before costs. Shareholders also approved 2 billion free-attaching options, 275 million options issued for capital-raising services, and additional options and performance rights. The ARVO options began trading on the ASX on 23 September with a A$0.01 exercise price and an October 2028 expiry.
That funding extends the runway, but it also adds to a highly expanded securities base. Artemis had 4.51 billion ordinary shares on issue at 30 June, compared with 2.54 billion a year earlier, while the annual report records more than 2.5 billion options under option at its reporting date. The next test is therefore not simply whether Artemis can raise money, but whether it can convert that money into drilling results before the next funding requirement arrives.
Bottom Line?
Artemis has secured near-term capital and a clearer exploration focus, but the audited going-concern warning means funding discipline and the timing of Cassowary and Sharon Dam drilling remain decisive.
Questions in the middle?
- How long will the post-year-end A$5.09 million raise fund exploration and corporate commitments at the planned spending rate?
- Will heritage clearances and approvals allow maiden drilling at Cassowary and Sharon Dam to begin as planned?
- Can Titan East deliver enough continuity or scale to support an updated geological model or resource decision?
