Rox Resources Limited (ASX:RXL)
Australia flag Australia · Delayed Price · Currency is AUD
0.5850
-0.0150 (-2.50%)
Sep 17, 2026, 4:14 PM AEST
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Status update

Mar 9, 2026

Summary

Secured AUD 350 million in debt and AUD 200 million in equity, fully funding the gold project beyond its pre-production capital needs. Key permits and approvals are progressing, with gold production targeted for mid-2027. Rigorous lender scrutiny affirms project robustness.

Speaker 1

Today's announcement is a huge one for Rox Resources. We've come out with a debt commitment for an AUD 350 million facility, AUD 300 million in the main debt line, AUD 30 million for the bank guarantees, and AUD 20 million cost overrun facility. That, combined with our placement we did back in November, December last year for AUD 200 million in equity, plus the 18 SPP, now puts Rox in a position where we are fully funded to deliver the Youanmi Gold Project. From our DFS, which we put out in November, we had a pre-production capital requirement or pre-production expenditure requirement of AUD 450 million. We've now got excess of that. We believe we've got enough money now to get this project into development, start construction, and actually pull gold in the middle of next year. Over the last 18 months, Rox has been busy. We've gone from an explorer.

We did some more drilling. We released the DFS. We started early works. We got our funding in place. We're now on that pathway to production. We've had this ambition since I joined the company to actually build this operation. This is our first true commitment to doing that. Over the next few months, we've still got a few big milestones left. We've got our Mining Development and Closure Proposal, which is due imminently. That was lodged in December last year. We know it's in the final throes, so we're expecting that to come pretty soon. Following that, we'll be looking to go towards an FID, and then our Works Approvals, which will be due in a couple of months later, which are the final operational permits. Whilst all that's happening, we've started drilling. We're mining again. That started in November.

We've been drilling now for the last month. We did an infill program around United North. We'll expect those results to come out late this month. We're doing a bit of greenfields work at the moment up to the north, and then we're going to come back to the main assets as well and continue putting some more infill drilling in from surface in the lead up to sending rigs underground. All of that construction's going to get underway. Our camp program is progressing quite well. Dewatering is nearly complete as well. In the next 4-8 weeks, that main pit should be dewatered, the old decline exposed, and let us get access in there to start developing that, and also Pollard Portal. Again, this is all leading up to being able to pull gold in June, July 2027.

Securing traditional project financing through tier 1 banks is a massive tick for this project. It's not just a case of going out and asking them, "We want this money." They've got to do an in-depth process where they're going through independent technical experts trying to pull our plan to pieces. We've been working with the lenders now for about the last 10 months. The ITEs have been part of this project since the middle of last year, where they've been going through all of our works, assessing it, looking where the downside risks are, if there are any, communicating that back through into our models, into the banks, and the banks putting a stress case under it. What this really means is it's a robust project.

We've gone through all of these processes, and the banks have then come in, fantastic terms, no hedging requirement, with a substantial amount of debt because they believe in this project, and that's a big tick for all investors. We've gone through that level of scrutiny, through all of our study work, and still come out with this result, it's exactly what we wanted to see. Again, we're looking forward to pulling gold next year.