Kingston Resources Debt-Free Status Boosts Mineral Hill Progress on ASX 200

Highlights

• Kingston Resources (ASX:KSN) clears all outstanding debt obligations

• Company to focus on Mineral Hill operations in New South Wales

• Retains revenue royalty from divested Misima Gold Project

Kingston Resources (ASX:KSN), listed on the ASX 200, has completed the repayment of its debt facility with PURE Asset Management following the receipt of the first instalment from the sale of its Misima Gold Project in Papua New Guinea. This milestone enables the company to progress development activities at the Mineral Hill Mine in New South Wales.

Debt Clearance Following Misima Project Divestment

The repayment was made possible after Kingston Resources finalised the initial payment from the binding agreement with Ok Tedi Mining, which involved the divestment of the Misima Gold Project. The transaction terms also provide for subsequent instalments, ensuring continued inflow of capital as per the agreement's timeline.

Focus Shifts to Mineral Hill Mine

With the debt obligation settled, Kingston Resources has outlined plans to prioritise the restart of the Mineral Hill Mine. The site is positioned to deliver a multi-year mine life with copper production as a key objective, with preparations already underway to move towards production readiness.

Strategic Use of Remaining Loan Facility

While the outstanding debt has been cleared, the loan facility remains available to support operational requirements at Mineral Hill. This access to funding ensures the company has financial flexibility as it advances towards its stated production goals.

Ongoing Benefits from Misima Project

Kingston Resources retains a revenue royalty interest in the Misima Gold Project, which will commence after a set production threshold is met. Ok Tedi Mining has the option to acquire this royalty in the future, providing Kingston with an additional capital source should the arrangement be executed.

Alignment with Long-Term Operational Goals

The decision to focus on Mineral Hill aligns with Kingston's broader operational objectives of advancing copper and gold production within Australia. By streamlining its project portfolio, the company aims to maximise operational efficiency while maintaining a stake in the potential upside of the Misima asset through the retained royalty structure.

Sector and Index Position

As part of the Australian resources sector, Kingston Resources operates alongside other mining and exploration entities on the ASX 100, All Ordinaries, and ASX 300 indices, reflecting its role within the broader market landscape.