Rimfire Pacific Mining has expanded its NSW scandium inventory and reported preliminary leach results that could support a simpler extraction route. But the ASX explorer ended FY2026 with $583,770 in cash, negative working capital and an auditor-highlighted material uncertainty over its ability to continue as a going concern.
- Fifield scandium inventory reaches 10.6kt Sc
- Murga resource expands to 56.1Mt at 138ppm Sc
- Preliminary atmospheric leaching indicates potential 60% to 90% recovery
- $2.224m FY2026 loss and $583,770 year-end cash
- $2.3m August placement partly awaits shareholder approval
Scandium Resources Expand Across Fifield
Rimfire Pacific Mining (ASX:RIM) finished FY2026 with a larger scandium story, but a balance sheet that leaves little room for delay. Its Fifield resource inventory rose to 10.6kt of scandium, or 16.2kt of scandium oxide, after the Murga deposit was upgraded to an inferred 56.1Mt resource grading 138ppm scandium. The estimate remains open laterally and potentially at depth, although it is predominantly an inferred resource rather than a reserve.
The more intriguing development came from Murga's first metallurgical testing. Two approximately 3.5kg composite samples underwent 14-day bottle-roll tests at atmospheric pressure and ambient temperature. Based on the extraction rate observed over that short period, Rimfire said potential scandium recoveries of 60% to 90% could be achievable over a longer period. That remains an early indication, explicitly subject to further testing, rather than an established recovery rate or project economic result. The work matters because Murga's relatively low iron content may reduce the complexity and capital intensity associated with processing compared with high-pressure acid leaching.
The filing's account is consistent with the company's earlier 14-day atmospheric leach tests, but the annual report adds the caution that commercial heap-leach cycles can run for 100 to 250 days. Longer-duration testing will therefore have to demonstrate whether the initial extraction behaviour persists beyond the laboratory's first fortnight.
Ownership and Exploration Pipeline Shift
Rimfire also secured a 60% interest in the Avondale Project after Golden Plains Resources vested a 40% stake under its earn-in agreement. The parties plan to establish an unincorporated joint venture, with Rimfire as manager and future work funded pro rata, subject to the relevant NSW ministerial consent. At Currajong, within Avondale, the reported inferred resource stands at 15.1Mt grading 137ppm scandium.
At the 100%-owned Rabbit Trap project, Rimfire completed its acquisition of the tenement hosting the Malamute prospect. Earlier drilling outlined scandium mineralisation over a 700m by 400m area, with reported intercepts including 30m at 247ppm scandium and 18m at 217ppm. Malamute remains open to the north and east, while the company says additional air-core drilling is warranted. Separately, resampling of decades-old core at Windy Ridge confirmed gold, antimony, silver, lead and zinc mineralisation, though negotiations on a possible third-party transaction had not yet reached completion.
Funding Risk Sits Beneath the Resource Numbers
Rimfire's financial position is the more immediate constraint. The company reported an Australian-dollar net loss of $2.224 million for the year, operating cash outflows of $2.926 million and investing cash outflows of $808,364. Cash fell to $583,770 at 30 June 2026, while current liabilities exceeded current assets by $415,215. RSM Australia Partners gave an unmodified audit opinion but separately highlighted a material uncertainty that may cast significant doubt on the group's ability to continue as a going concern.
The company subsequently raised $2.3 million through an August placement at 0.8 cents a share. However, $600,000 of that amount remains subject to shareholder approval, alongside the proposed issue of free attaching options. The directors say Rimfire can reduce or defer some expenditure while meeting minimum tenement commitments and can seek further capital. That is a plan for continuity, not evidence that the funding problem has been solved.
There is also a legal overhang: a dispute involving Golden Plains Resources and Omeo Gold is scheduled for trial from 24 to 27 November 2026. Rimfire says it could have no liability, or could be liable to one or both parties, with claims of $385,000 and $530,000 respectively before interest and costs. The outcome and quantum cannot currently be reliably determined, leaving the company's cash runway exposed to an additional variable just as it moves from resource definition towards more expensive metallurgical and exploration work.
Bottom Line?
Rimfire has built a sizeable scandium inventory and a potentially simpler processing thesis, but follow-up testing, shareholder approval and fresh funding will determine whether those assets can advance before cash becomes the limiting factor.
Questions in the middle?
- Will longer-duration metallurgical testing confirm that Murga can sustain the preliminary 60% to 90% recovery range?
- Will shareholders approve the remaining $600,000 of the August placement and the attaching options?
- How will the November legal trial and planned Avondale joint venture affect Rimfire's available funding for exploration?