Raiden Resources (ASX:RDN) has seen its shares rise by 25% on an updated corporate strategy that focuses exploration work on ready-to-drill projects, divestments, cautious cash management, and a paused expenditure on the Andover lithium asset at a time when that commodity is challenged by low pricing.
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The company today told its investors it would aim to optimise expenses and lower overheads, from a starting point of $15 million cash in hand.
This would mean prioritising drilling exploration like its second-phase program at the Vuzel gold project in Bulgaria and an approach to non-core projects, which could range from divestment to entering joint-venture agreements.
Based on its solid balance sheet, the company is also engaging with several public and private companies – having screened more than 800 of them.
While Andover would remain a core asset for Raiden, its development will remain on hold for the time being given the state of lithium and the need for additional Native Title agreements to be completed for further drilling.
“With current market conditions presenting both challenges and new opportunities, we have refined Raiden’s strategy to focus on disciplined capital deployment, portfolio optimisation, and proactive growth,” Dusko Ljubojevic, Raiden’s managing director, explained to shareholders.
“Our around $15 million cash position provides us with the flexibility to advance key projects like the Vuzel gold drilling program while evaluating new opportunities with near-term value potential.”
On the same day, Raiden reported on its activities for the March quarter, saying it had received assays from maiden drilling at Andover, RC (reverse circulation) at Mt Sholl -a nickel-copper-PGE project, and aircore drilling at the Arrow gold project. All are located in Western Australia.
RDN has been 0.5cps – a rise of 25% since the market opened.
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