Redcastle Resources Accelerates Gold Production with JV, Tenement Expansion, and $4M Placement

About Redcastle Resources Limited

Redcastle Resources Limited (ASX: RC1) is a Western Australian gold exploration and development company focused on the highly prospective Eastern Goldfields region. The company holds multiple mining leases and prospecting licences, with its flagship Queen Alexandra (QA) and Redcastle Reef (RR) deposits forming the cornerstone of its near-term development strategy.

Strategic Developments: Joint Venture with BML Ventures

Redcastle Resources Limited has taken a significant step toward becoming a near-term gold producer through the execution of a joint venture with BML Ventures Pty Ltd, a well-established mining contractor based in Kalgoorlie. The agreement provides a capital-light pathway to production from the company’s Queen Alexandra (QA) and Redcastle Reef (RR) deposits, two of its cornerstone projects in the Eastern Goldfields.

Under the terms of the agreement, BML will fund 100% of the working capital requirements until the first revenues are realised. This funding commitment encompasses the full spectrum of mining activities, including approvals, mobilisation of equipment, site establishment, mine development, haulage, and toll treatment. In return, Redcastle retains responsibility for native title, heritage, and environmental approvals, ensuring that the company maintains oversight of key compliance and land-use matters.

Once gold production commences, revenues from the QA and RR deposits will be shared on a 50:50 basis after BML recovers its costs and tolling charges. This structure allows Redcastle to benefit from significant upside while minimising upfront capital outlay and development risk.

Importantly, the joint venture aligns with Redcastle’s strategy of fast-tracking its projects into production. A recent Scoping Study for the QA deposit outlined a 10-month toll treatment pathway capable of producing approximately 13,700 ounces of gold. The study estimated revenues of around A$65.6 million, with a projected pre-tax cash surplus of A$14–15 million, underscoring the robust economics of the project. With the JV now in place, Redcastle has a clear route to production in less than 12 months.

Growth Pipeline: TBone Belt Tenement Acquisition

Complementing the joint venture, Redcastle has also announced the acquisition of the TBone Belt tenement package, a move that significantly strengthens its growth pipeline. Covering an area of approximately 72 km², the TBone Belt lies directly adjacent to the company’s existing tenements. With this acquisition, Redcastle’s total footprint in the Eastern Goldfields expands to around 85 km², representing a 600% increase in landholding.

The package includes 4 granted mining leases, 5 mining lease applications, 51 live prospecting licences, and 3 pending licences. Collectively, these concessions were previously controlled by six separate parties, making Redcastle’s consolidation a major milestone in regional exploration.

The TBone Belt sits in one of Western Australia’s most prolific gold districts, surrounded by multi-million-ounce deposits and established processing infrastructure. Under the terms of the acquisition, Redcastle will pay up to A$1.704 million in cash and grant vendors a 2% gross revenue royalty on future production.

By consolidating this extensive tenement package, Redcastle now has access to district-scale exploration opportunities, opening up the potential for discoveries and resource growth that could underpin long-term production.

Financial Performance: $4m Placement Backed by BML

To fund exploration of the TBone Belt and integration with existing operations, Redcastle has secured firm commitments for a $4.0 million placement. The placement is structured in two tranches at A$0.009 per share, with one free attaching unlisted option (exercisable at A$0.015 over three years) for every three shares subscribed.

• Tranche One: ~185.9 million shares to raise A$1.67 million, with settlement expected in late August 2025.

• Tranche Two: ~258.6 million shares to raise A$2.33 million, subject to shareholder approval in October.

Company directors will also participate in Tranche Two for A$40,000, signalling confidence in the strategy. Notably, BML will act as a cornerstone investor with a $ 1.5 million subscription, further aligning its interests with Redcastle’s success.

The placement is being managed by Xcel Capital, which will receive management fees and options in line with industry practice.

Industry Context: Eastern Goldfields Consolidation

Redcastle’s announcements come at a time when the Eastern Goldfields of WA are experiencing renewed consolidation activity. The region is widely regarded as one of the world’s premier gold provinces, home to long-life deposits and a dense network of mills. Junior miners increasingly look to capital-light models and strategic partnerships to accelerate production and share risk.

By combining a fully funded production JV with BML and a district-scale acquisition in the TBone Belt, Redcastle has placed itself at the forefront of this regional shift. The company now balances near-term production opportunities with longer-term exploration potential, a combination that strengthens its competitive position in the gold sector.

Outlook: Breakout Year Ahead

Redcastle’s Chairman, Dr Ray Shaw, described 2025 as a “breakout year” for the company. The combination of the BML joint venture, the TBone Belt acquisition, and a well-supported capital raising represents three interlocking milestones that underpin both near-term cash generation and future growth.

With technical work progressing at QA and RR, and exploration programs being prepared across the TBone Belt, Redcastle is positioned to deliver its first gold revenues within the next year. At the same time, the company is building a platform for sustained growth in one of Australia’s most attractive mining regions.

For shareholders, the outlook is one of lower development risk, stronger funding security, and clear pathways to both production and discovery, reinforcing Redcastle’s emergence as a serious contender in the Eastern Goldfields.