There were a lot of complex and sometimes inter-related reasons...

There were a lot of complex and sometimes inter-related reasons why RVR ceased mining at Hillgrove as well as many other issues with RVR's other operations in North QLD that undid them.

General Macro Environment:
For a start - post Covid-19 nearly every underground base metal and gold mine in Australia has become unprofitable or marginal, because of high mining costs in an inflationary environment i.e. sagging metal prices, Covid restrictions choking off contract mining business and labour mobility, cost of labor, diesel fuel, steel=ground support mesh and split sets, cost of mining contractors/mining contactors going broke etc

For typical examples also see the share price performance of AJM AIS AMI CSD CXO GCY HRR JRV NVR OBM MYL SBM WMC + and economic performance of unlisted Aurora Metals, CBH Resources & Perilya Limited among many others.


RVR Company Specific reasons:
1. Thanlanga mill and several UG mines were exposed to underground costs (see above) plus a major fall of ground shortening mine life
2. Delays in getting the next underground operation permitted by the QLD state government.
3. Dispute and/or legal action with Trafigura regarding a historical royalty payment from the previous owners of Thalanga, cash flow issues



Hillgrove Operation specific reasons:
4. Geotechnical failure in 2022 where RVR lost access to 3 stopes.
5. Hillgrove orebody quite nuggety and thin but very high grade = difficult to model the resource and tricky to mine without dilution
6. Never stopped raining at Hillgrove in 2021 creating water and access issues
7. Probably a very bad offtake deal with Glencore who paid almost nothing for the peculiar Au-Sb concentrate produced that is almost unsellable everywhere except for Russia and China, who both closed for business.
8. Propensity for China to manipulate and control the small and opaque antimony trade.