Red River Resources Limited (ASX:RVR) non-executive director Mark Hanlon has shown his confidence in the company’s base metals and gold strategies with an on-market acquisition of 750,000 ordinary shares.
Valued at $55,600, the purchase on February 28, brings Hanlon’s total securities to 4.85 million shares held in an indirect interest.
Gold at Hillgrove
Red River is progressing towards restarting the recently acquired Hillgrove Gold Project in New South Wales, recently revealing a maiden JORC-compliant resource of 18,000 ounces grading 2.5 g/t gold at the Bakers Creek Stockpile.
Processing the Bakers Creek stockpile will allow Red River to begin gold production at Hillgrove this year using existing equipment and infrastructure, leveraging its exposure to high gold prices.
Base metals and gold at Thalanga
The company is also working to update the mineral resource for the Liontown deposit at its Thalanga base metals operation in North Queensland with the goal to increase gold and copper production and take advantage of strong gold fundamentals.
Red River recently decided to develop the high-grade, gold-rich polymetallic Liontown deposit as the next mining operation at Thalanga.
The decision follows assays from drilling at Liontown that delivered further high-grade gold results from New Queen Lens while high-grade copper-gold mineralisation was intersected in the Carrington Lode.
At the time RVR managing director Mel Palancian said: “Given the results from Liontown, in particular the New Queens Lens in 2019 drilling, there is a strong rationale for fast-tracking Liontown’s development as our next priority.
“We previously planned to develop Waterloo as the third deposit at Thalanga, but the discovery of the Liontown East deposit and the New Queen drilling results show that Liontown is a much larger mineralised system and its still open along strike and depth.”
The zinc-rich Waterloo deposit will be placed on hold while the company focuses on developing Liontown.