Red River Resources Ltd (ASX:RVR) is now debt-free after repaying a US$6 million working capital facility held with its lead and zinc offtake partner, Trafigura.
US$6 million was drawn down against the facility in March 2020 and as at June 30, 2020, the outstanding balance on the facility was US$5 million.
Red River made the final repayments from cash generated by its Thalanga Operations and following the repayment of the facility, the company is now free of debt.
Hillgrove on track to begin gold production
This comes as the company remains on track for its next major milestone - beginning gold production from its Hillgrove Gold Mine in northern NSW by the end of 2020.
Headquartered in Melbourne, the company recently increased the mineral resource for Hillgrove Gold-Antimony Project to 692,000 ounces of gold and 75,000 tonnes of antimony after updating the Syndicate Lode resource estimate.
The resource now sits at 5 million tonnes at 4.3 g/t gold and 1.5% antimony while the Syndicate Lode resource now stands at 318,000 tonnes at 3.8 g/t gold and 3.6% antimony or 8.9 g/t gold equivalent for 39,000 ounces of gold and 11,000 tonnes of antimony at a 3 g/t gold equivalent cut-off.
Hillgrove, east of Armidale, also has a substantial remaining JORC 2004-compliant mineral resource, which Red River is systematically converting to JORC 2012 compliance.