Koba’s Queensland Acquisition Faces Regulatory Hurdles Amid Market Rally

Strategic Acquisition in a Historic Tin Hub

Koba Resources Limited has taken a significant step by securing exclusive rights to acquire 100% of two high-grade tin-tungsten projects located roughly 100 kilometres southwest of Cairns in North Queensland. These projects, known as the Stannary Hills and Mt Garnet Tin-Tungsten Projects, span a combined 432 square kilometres within the Herberton Tin Field; Australia’s second largest tin-producing region with a rich history of over 75,000 tonnes of tin metal extracted from more than 2,400 mines.

The acquisition positions Koba to tap into a region with abundant historic mines and promising unmined mineralisation, offering both high-grade tin veins and potential bulk-tonnage deposits. The Stannary Hills Project notably includes a 1.3-kilometre section of the Kitchener Trend, where seven historic mines collectively produced approximately 120,000 tonnes of ore averaging 2.3% tin, extracted from shallow depths. Meanwhile, the Mt Garnet Project features the Gilmore Mine, a standout historic producer with 26,169 tonnes at an impressive 7.6% tin grade.

Exploration Potential and Tungsten Upside

Limited drilling since mining ceased in the 1980s has revealed significant mineralisation remains open at depth and along strike, with high-grade intercepts such as 9.8 metres at 1.3% tin and 2 metres at 4.8% tin at Stannary Hills. Mt Garnet’s drilling has also demonstrated both high-grade zones and thick lower-grade intervals, highlighting opportunities for both discrete and bulk-tonnage resources.

Importantly, tungsten; a critical metal often found alongside tin; shows strong potential across both projects. Rock chip sampling has returned assays up to 15.3% tungsten, and historical drilling intersected notable tungsten mineralisation, including 3 metres at 1.2% tungsten. This dual commodity exposure enhances the strategic value of the acquisition amid rising demand for both metals.

Capital Raising to Fuel Next Phase

Koba has secured firm commitments for a $4.35 million placement at $0.05 per share from a mix of new and existing institutional and sophisticated investors. This capital raise, subject to shareholder approval, will fund the acquisition costs and initial exploration programs, including drilling scheduled for early 2026 after the wet season. The placement also supports ongoing exploration at Koba’s Yarramba Uranium Project, where recent drilling continues to uncover high-grade uranium mineralisation.

Joint lead managers Cygnet Capital and Bell Potter Securities will oversee the placement, with the company’s board participating to the tune of $70,000, signaling confidence in the projects and the company’s growth trajectory.

Market Context and Outlook

The timing of this acquisition aligns with robust market fundamentals for tin and tungsten. Global tin prices have more than doubled over the past three years, currently trading above US$35,000 per tonne. Supply disruptions in major producing countries and growing demand from clean energy technologies, electronics, and automation underpin a forecasted supply deficit extending to 2030. Both tin and tungsten are recognised as critical and strategic minerals in key markets, including Australia and the US.

Koba’s Managing Director, Ben Vallerine, highlighted the opportunity to discover sizeable tin and tungsten resources at a time when prices are historically strong and forecasts remain bullish. The company’s initial exploration programs will focus on geological mapping, rock chip sampling, and drilling to unlock the projects’ potential.