Raiden Resources Limited (ASX:RDN) has disclosed that all conditions precedent under the agreement relating to the Majdanpek West Project in Serbia have been satisfied, including the re-issue of the exploration licence, triggering an A$300,000 payment obligation from Middle Island Resources Limited (ASX:MDI).

Key Points

  • All conditions precedent for the Majdanpek West Project divestment have been satisfied, including re-issue of the exploration licence
  • A$300,000 is now payable to Raiden by Middle Island Resources Limited (ASX:MDI), in cash or MDI shares
  • Raiden retains a 1% net smelter return royalty over the Majdanpek West project area
  • The purchaser holds an option to acquire half of the NSR royalty, reducing Raiden's retained royalty from 1% to 0.5%, for A$300,000 prior to a DFS or A$1 million after DFS publication but prior to construction commencement
  • As at 30 September 2026, Raiden's cash balance was A$11.73 million

Majdanpek West Divestment and Payment Terms

Following the satisfaction of all conditions precedent, A$300,000 is now payable to Raiden Resources by Middle Island Resources Limited, which assumed the payment obligation from the original purchaser, Konstantin Resources Limited. The payment may be made in cash or MDI shares in accordance with the agreement. The conditions satisfied include the re-issue of the exploration licence over the Majdanpek West Project, located in Serbia. The filing states the transaction is consistent with Raiden's corporate strategy of realising value from non-core assets while reducing associated holding costs and future expenditure commitments.

Retained NSR Royalty and Buy-Down Option

Raiden Resources retains a 1% net smelter return royalty over the Majdanpek West project area. Under the terms of the agreement, the purchaser holds an option to acquire half of that royalty, which would reduce Raiden's retained NSR from 1% to 0.5%. This option is exercisable for A$300,000 at any time prior to the publication of a Definitive Feasibility Study, or for A$1 million at any time after the publication of the DFS but prior to the commencement of construction of a mine on the project area.

Corporate Strategy and Acquisition Focus

The filing states Raiden is continuing to assess new acquisition opportunities with an ongoing focus on gold and copper assets. The company disclosed it is also pursuing the potential sale of an 80% interest in the Mt Sholl Nickel-Copper-PGE Project in Western Australia to Forgent PLC for up to A$2.25 million of potential gross consideration and a 20% free-carried interest up to A$4 million of direct project expenditure. The company stated there is no certainty that current discussions underway will result in a transaction, and that it will update the market if and when appropriate in alignment with its continuous disclosure obligations.