Theta Gold Mines (TGM) Q1 2025 TU earnings summary

Executive summary

• Metallurgical tests confirmed recoverable gold from TGME Tailings Storage Facility, supporting early production plans and cash flow generation while underground mine development continues.

• Advanced discussions are ongoing with Power China for EPC contracts and with international debt funders for project CAPEX.

• Multiple equity placements raised up to US$16 million, with full redemption of AU$6 million secured bonds, strengthening the balance sheet.

• Design and permitting activities for the TGME Gold Plant and associated facilities are progressing, with environmental and social plans in place.

Financial highlights

• Cash balance at 30 September 2024 was US$2.1 million.

• Net cash used in operating activities for the quarter was US$585,000; investing activities used US$1.41 million.

• Net cash from financing activities was US$1.55 million, mainly from equity placements.

• Market capitalisation stood at AU$133 million (US$92 million) as of 30 September 2024.

Outlook and guidance

• Tranche 2 of the US$10 million equity placement is expected to close within three months of Tranche 1, subject to shareholder approval.

• Ongoing negotiations for US$30 million EPC contract funding and additional project finance.

• Feasibility Study projects a 12.9-year mine life, 1.24Moz gold production, NPV10% of US$324 million, and IRR of 65% at US$1,642/oz gold price.