Rey Resources Limited (ASX:REY) Reports Quarterly Cash Flow
Financial Performance
Rey Resources Limited (ASX: REY) reported a net cash outflow from operating activities of $913,000 for the quarter ended December 31, 2024. The total cash outflow from operating activities year-to-date reached $1,603,000. Cash flows include payments of $145,000 for exploration and evaluation, and $193,000 in administration and corporate costs.
Despite the operating cash outflow, the company recorded a net cash inflow of $333,000 from investing activities, mainly driven by proceeds of $350,000 from the disposal of tenements. Financing activities yielded a net cash inflow of $460,000, with the company securing additional borrowings.
Cash Position and Facilities
As of December 31, 2024, Rey Resources maintained a cash balance of $276,000. The company has $7.09 million of unused financing facilities, including $5.09 million from Wanyan Liu and $2 million from ASF Group Limited, both unsecured loans maturing on April 30, 2026.
The company’s estimated total available funding, combining cash and unused finance facilities, stands at $7.36 million, which is sufficient to cover approximately 7.92 quarters of funding requirements for expected outgoings.
Operational Highlights
Rey continued exploration efforts with its petroleum interests in the Canning Basin. The company fully surrendered Exploration Permit EP458 due to lack of drilling prospects and is focusing on the Derby Block (EP487) and Fitzroy Blocks (EP457).
Rey has been preparing for a 3D seismic survey at the Derby Block and has maintained communication with Native Title holders for necessary land access. The company is also advancing plans for the Duchess Paradise Coal Project.
Motley Fool contributor Abbie Stokes has no position in any of the stocks mentioned. The Motley Fool Australia's parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.
This article was generated using GPT-4o mini, a Large Language Model (LLM), to generate summaries of investing news. While AI is generating the content, we know better than to blindly trust our future robot overlords, and every article is edited and fact-checked by an editor holding the appropriate credentials. The Motley Fool Australia stands behind the work of our editorial team and takes ultimate responsibility for the content of everything published by The Capital Club.