Medallion Metals (MM8) Q1 2025 TU earnings summary

Executive summary

• Entered a 9-month exclusivity agreement with IGO Limited to negotiate the acquisition of the Cosmic Boy Process Plant at Forrestania Nickel Operation, with potential to accelerate commercial production and reduce capital and operational risk for RGP.

• Commenced a 15,000m drill program at Ravensthorpe Gold Project (RGP) to improve confidence in the high-grade sulphide resource and de-risk the mine plan for potential near-term production.

• Completed a two-tranche $5 million placement, strongly supported by institutional investors, to fund ongoing activities and negotiations.

Financial highlights

• Cash and receivables at quarter end totaled $3.9 million, with an additional $1.8 million received after quarter end from the placement.

• Net cash used in operating activities was $141,000 for the quarter.

• Net cash used in investing activities was $1.15 million, including a $1 million exclusivity fee paid to IGO.

• Net cash from financing activities was $3.88 million, primarily from equity placements.

• Cash and cash equivalents at quarter end were $3.88 million, up from $1.78 million at the start of the quarter.

Outlook and guidance

• Ongoing negotiations with IGO for the acquisition of the Cosmic Boy Process Plant and associated infrastructure, with exclusivity period extendable by 3 months.

• Advancing permitting and studies for RGP development, with a Scoping Study expected in the December 2024 quarter.

• Strategic growth opportunities under review, contingent on successful completion of the proposed transaction.