Cavalier Faces Key Regulatory and Financing Hurdles Before Mining Starts

Financing Progress with Raptor Capital

Cavalier Resources Limited (ASX, CVR) has taken significant strides in advancing its Crawford Gold Project during the quarter ended 30 June 2025. Central to this progress is the ongoing negotiation of a US$11 million stream finance facility with Raptor Capital. Following a comprehensive technical due diligence process and a site visit to the Crawford project, Raptor confirmed satisfactory findings, paving the way for binding agreement discussions.

The proposed financing arrangement is designed to fund the development of the Stage 1 starter pit and support further infill and extensional drilling. Importantly, this stream finance facility is structured to be non-dilutive, allowing Cavalier to advance the project without immediate equity dilution, a key consideration for shareholders.

Regulatory and Operational Milestones

In parallel with financing efforts, Cavalier has submitted all necessary compliance reports, works approvals, and applications required to commence mine dewatering and mining activities at the Stage 1 pit. The company continues to engage constructively with traditional owners regarding Native Title matters, reflecting a commitment to responsible and inclusive project development.

Operationally, the appointment of Colin Bald as General Manager of Operations marks a pivotal step. With over 30 years of experience in gold mining operations across Western Australia, including roles at Tropicana, Barrick, and Evolution Mining, Bald is tasked with leading the transition from pre-production to first gold pour at Crawford.

Strong Project Economics Confirmed

The revised Pre-Feasibility Study (PFS) released earlier in April 2025 underpins the project's robust economic outlook. Key highlights include a total capital expenditure of approximately A$9.8 million, an all-in sustaining cost (AISC) in the lowest quartile at A$1,574 per ounce, and a rapid payback period of nine months. The project delivers an impressive internal rate of return (IRR) of 580% and a net present value (NPV8) of A$51.7 million at a gold price of A$4,600 per ounce.

These metrics position Crawford as a highly attractive development opportunity within the Western Australian gold sector, with production targeted at over 23,000 ounces of recovered gold during Stage 1.

Financial Position and Exploration Activity

During the quarter, Cavalier reported exploration expenditure of $164,000, focused on advancing its tenements in the Leonora region. There were no substantive mining production activities during this period as the project remains in the development phase.

Cash flow statements reveal net cash used in operating and investing activities, with a closing cash balance of $656,000. The company holds 100% ownership of all key tenements, maintaining full control over its project portfolio.

Looking Ahead

As Cavalier moves closer to production, the finalisation of the binding stream finance agreement with Raptor will be critical. The company’s engagement with traditional owners and regulatory bodies will also shape the timeline for mining commencement. With experienced leadership now in place and strong project fundamentals, Cavalier is well positioned to unlock value from the Crawford Gold Project in the coming months.