Proactive Investors - Run By Investors For Investors
Why invest in RLD?
Richland Resources Ltd: DEEP DIVE

Richland Resources seeks funds to re-boot Capricorn sapphire mine

Richland wants to resume mining at Capricorn or find a buyer for the project
OVERVIEW: RLD The Big Picture
Inventories are running low

Richland Resources Ltd (LON:RLD) remains focused on the re-start of mining at the Capricorn Sapphire project in Queensland.

The company was looking for strategic investors to secure the funding required to re-start mining while it was also looking for potential acquirers, said Anthony Brooke, Richland’s chief executive.

Richland has been preparing the ground at Capricorn pending sufficient funding being secured to recommence mining operations.

Test drilling to facilitate a more focused open pit operation and ultimately higher yield production was also planned.

Brooke added that the firm’s sightholder buyers and clients in Thailand were “keen for mining to restart” as inventories were running low and socially responsible sapphire sources were limited globally.

The miner reported an interim pre-tax loss of US$778,000 while revenues dropped to US$50,000 from US$1mln.

Post-period end, the company said it had drawn down and received the remaining £200,000 of a £300,000 secured convertible loan facility after receiving the first £100,000 during the first half.

Upon production recommencing, potential forward sales of blue rough production were “very positive”, Brooke said, with non-traditional sapphire cuts reportedly being “highly sought after” in the retail segment.

At 0.12p, Richland is valued at £0.7mln.



View full RLD profile View Profile

Richland Resources Ltd Timeline

Related Articles

December 21 2018
Richland wants to resume mining at Capricorn or find a buyer for the project
July 24 2018
If it does decide to list in London, Fura will fill the coloured gemstone gap left by the departure of Gemfields
June 07 2019
“We have a comprehensive development plan to increase production and I look forward to providing further updates as we progress,” executive chairman Mike Houston said.

© Proactive Investors 2019

Proactive Investors Australia PTY LTD ACN:132787654 ABN:19132787654.

Market Indices, Commodities and Regulatory News Headlines copyright © Morningstar. Data delayed 15 minutes unless otherwise indicated. Terms of use