Resource Mining Corporation Ltd has received strong investor backing for a $2 million placement, raising funds to fast-track exploration at its Mpanda Copper-Gold Project in Tanzania and assess early-stage mining and processing opportunities.
The raise will see 95.2 million shares issued at 2.1 cents per share – a 9.4% premium to the five-day volume-weighted average price (VWAP) – with firm commitments from both existing shareholders and new sophisticated investors.
Investor confidence buoyed by board support
RMC’s executive chairman Asimwe Kabunga has personally committed $500,000 to the raise, subject to shareholder approval, while director Trevor Matthews will tip in a further $50,000. Their participation accounts for more than a quarter of the total placement.
Kabunga said the company was “delighted by the strong support” at a pivotal time for its Tanzanian copper-gold strategy.
“With results pending from our current sampling program, we anticipate advancing rapidly to define and drill test copper and gold targets,” he said. The company is also evaluating near-term production options using existing third-party infrastructure near its project areas, he noted – a potential fast track to cash flow.
Exploration and growth runway
Funds from the raise will underpin soil and auger sample analysis, a rotary air blast (RAB) drilling program and follow-up fieldwork across RMC’s Tanzanian copper-gold assets, primarily focused on the Mpanda Project.
Earlier this month, RMC updated shareholders on progress at Mpanda, noting a lab-based program to assess multi-element potential in the copper-gold anomaly and to determine the next steps in exploration. The company expects assay results to guide drill target definition.
The company is also looking at potential near-term mining opportunities and will allocate part of the raise to debt repayment and working capital.
The capital raise follows a $250,000 loan facility RMC secured in April to support ongoing fieldwork and project advancement.
Diverse critical minerals portfolio
While Tanzania remains the current exploration focus, RMC also holds a portfolio of lithium projects in Finland – the Hirvikallio and Kola Projects – positioned near advanced lithium operations and showing strong early signs of prospectivity.
With a growing pipeline of copper, gold, nickel and lithium assets, RMC is positioning itself as a diversified player in the critical minerals space.
Kabunga said the board was committed do delivering shareholder value through “disciplined exploration and project execution”, leveraging its Tanzanian roots and global-facing portfolio.
The placement shares will be issued under the company’s ASX Listing Rule 7.1 and 7.1A capacities and are expected to be settled within five business days.