Riversgold boosts finances with $521,000 R&D tax incentive refund
The incentive scheme is an Australian Federal Government program under which companies can receive cash refunds for eligible research and development expenditure.
Company
ASX:RGL
Riversgold Limited is an ASX-listed exploration and development company focused on the discovery and advancement of high-value gold and copper resources in tier-one mining jurisdictions across Australia and Canada. With a streamlined and disciplined approach, the company is advancing a focused portfolio of priority projects in the Goldfields, Pilbara and Yilgarn regions of Western Australia and New Brunswick, Canada.
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The incentive scheme is an Australian Federal Government program under which companies can receive cash refunds for eligible research and development expenditure.
“While the new prospecting licence was previously mined for gold, it sits within what is considered the ‘Goldilocks zone’ for large lithium-caesium-tantalum (LCT) systems, ” said CEO Julian Ford.
“We are now in a position to commence drill site preparation and mobilise the drill rigs to site at Tambourah,” RGL chief executive officer Julian Ford said.
“The new ground directly abuts Covalent Lithium’s Mt Holland Project, where they are actively developing their Earl Grey deposit which contains a resource of 189 million tonnes at 1.5% lithium oxide,” said CEO Julian Ford.
“Through this survey, we have at least tripled the footprint of the interpreted lithium system at Tambourah. DGPR should significantly help decrease our drilling costs at Tambourah," CEO Julian Ford said.
Riversgold’s northwest program — covering tenure where extensive pegmatite outcrops have already been mapped and sampled at the Bengal, Ragdoll and Lion prospects — covers only a fraction of the overall Tambourah tenement.
“This acquisition is the second significant transaction for RGL in 2022 as we move quickly to establish the company as a serious player in the Australian lithium sector,” said CEO Julian Ford.
The two new pegmatite discoveries add to three pegmatite veins prospective for lithium that had already been discovered at the Bengal prospect, expanding the prospect two-fold to 650 metres by 400 metres.
“The 2022 field season at Tambourah has the potential to considerably and quickly upgrade the project in terms of scale and prospectivity," said CEO Julian Ford.
The company is focused on finalising capital raising activities to fund exploration at its assets in Western Australia and Alaska.
Justin Boylson and Michael Davy have both doubled their holdings in the company by purchasing 1 million shares.
The company will take an opportunistic approach to acquiring new exploration ground and small near-term production opportunities in the vicinity of the existing tenements to take advantage of strength in the gold price.
The rights issue opens on 29 October 2019 and closes at 5.00pm (WST) on 7 November 2019 unless extended.
The company has gold exploration assets in Western Australia and Alaska.
The small cap has been on a capital raising drive to assess acquisition opportunities and add shareholder value.
Funds raised will be spent towards managing the full potential of the company’s assets as well as to seek complementary acquisition opportunities.
Resampled drilling results from the Little prospect include results up to 1 metre at 4.84 g/t gold.
The group is connected to Riversgold substantial shareholder Greenwich Equities.
The company’s recent aircore drilling campaign has outlined gold anomalism over 11 kilometres at the Queen Lapage Project.
A maiden aircore drilling program has confirmed the potential for significant gold mineralisation.