RTG Mining (RTG) Q3 2024 TU earnings summary

Executive summary

• Progressed toward start-up of Stage 1 DSO at Mabilo, with financing and offtake negotiations near completion; strong collaboration with JV partner TVIRD and focus on operational readiness.

• Mabilo Project offers early cashflows, robust economics, and is underpinned by high-grade copper and gold resources; Stage 1 DSO to deliver significant net cashflow within 12 months of operations.

• Chanach Project in Kyrgyz Republic advanced with completion of IP geophysics, identifying a significant porphyry target; field work and sampling continued.

• RTG remains engaged in the Panguna Project in Bougainville as nominated development partner, supporting landowner-led redevelopment initiatives.

Financial highlights

• Cash and liquid assets as of 30 September 2024 were A$2.9 million, including a US$0.3 million receivable.

• Net cash used in operating activities for the quarter was US$1.1 million; year-to-date net cash used was US$3.4 million.

• Cash and cash equivalents at quarter end were US$1.72 million, down from US$2.89 million in the previous quarter.

• Payments to related parties during the quarter totaled US$147,144, primarily for directors' remuneration.

Outlook and guidance

• Stage 1 DSO financing for Mabilo is expected to be finalized imminently, providing 100% of capital needs on attractive terms.

• Key objectives for Q4 2024 include finalizing financing, acquiring surface rights, and commencing development preparation for Mabilo Stage 1.

• Once operational, Stage 1 DSO is expected to generate net cashflow to RTG in excess of US$50 million within 12 months.

• Chanach Project data processing and interpretation to be completed in December 2024 quarter, with drilling targets to be defined.