Strategic Minerals Reports 42% Q3 Sales Surge and Redmoor Project Breakthroughs

Cobre sales bounce 42% in Q3 2025, helping fund Redmoor push

Strategic Minerals has delivered a clear rebound at its Cobre magnetite operation in New Mexico. Q3 2025 sales volumes rose 42.4% quarter-on-quarter to 16,098 tons, with revenue up 31.9% to US$1.08m. Management says the recovery follows wildfire-related downtime earlier in the year, and that Cobre remains the cash-generative backbone supporting the step-up in activity at Redmoor in Cornwall.

The Group is also upping disclosure with periodic trading updates – a welcome move for investors who want to track progress more closely, especially while drilling is underway.

Key quarterly numbers at a glance

	Q3 2025	Q2 2025	Q3 2024
Ore sales volume (tons)	16,098	11,305	19,375
Revenue (US$m)	1.08	0.82	1.27
Cash balance (US$m)	0.83 (30 Sep)	1.59 (30 Jun)	not disclosed

Note: The revenue figures reflect the RNS totals (US$1.079m and US$0.818m).

Revenue up a third QoQ, but still below last year

The quarter-on-quarter improvement is solid. Volumes and revenue have recovered from the wildfire disruption, and that matters because Cobre funds the broader portfolio. However, year-on-year the operation is still behind: Q3 2024 saw 19,375 tons and US$1.273m revenue versus 16,098 tons and US$1.079m this quarter.

My read: the short-term trend is positive, but investors should watch whether the recovery extends into Q4 and whether pricing holds. The RNS does not disclose realised pricing or margins, so we cannot judge profitability for the quarter.

Cash down to US$0.83m – runway worth monitoring

Cash fell to US$0.83m at 30 September 2025 from US$1.59m at 30 June 2025. Management is clearly leaning into Redmoor drilling and testwork, which consumes cash before it creates value. There is no guidance on monthly burn or upcoming capital needs in this RNS.

In plain terms: the balance is lean for a company mid-programme. It does not automatically imply a raise, but it puts a spotlight on near-term sales at Cobre, timing of assay releases, and any potential partnership or grant support. The statement references UK Shared Prosperity Fund involvement at a programme level, but no new funding quantum for SML is disclosed.

Redmoor drilling momentum: six-for-six in the SVS

Redmoor – the tungsten, tin and copper project in Cornwall – is where the strategic upside sits. The Company says recent drilling and analysis reinforce its belief that Redmoor is the highest-grade undeveloped tungsten resource in Europe and among the highest-grade globally.

• CRD033 assays: described as “exceptionally high tungsten grades” with multiple stacked zones within the Sheeted Vein System (SVS). Crucially, results align with existing high-grade models, suggesting strong grade continuity.
• New mineralised zones: CRD033 identified additional zones of potentially economic mineralisation that are expected to feed into the upcoming Mineral Resource Estimate (MRE) update.
• Twin-hole validation: as a twin of a 1980s hole, CRD033 may help validate historical datasets and potentially reduce future drilling requirements. A review of twin-hole data is underway; results pending.
• Programme acceleration: a second rig is now on site. Six holes are completed, all intersecting the full thickness of the SVS, with samples being shipped regularly for analysis.
• Exploration model tick: CRD037, the first to test Cornwall Resources’ exploration target, intersected SVS-style veins with similar morphology to previous Redmoor hits – a positive sign for resource growth.
• Metallurgy and processing: new testwork is underway to inform flow sheet design and refine recoveries for the MRE update, which the Company expects will improve overall project economics.

Put simply: so far, the geology is doing what the model said it would. That increases confidence ahead of the MRE update and supports the case for moving into feasibility.

Why the Redmoor narrative matters now

Tungsten is a critical mineral, and the Company highlights tightening Chinese control over supply. A high-grade domestic UK project with supportive metallurgy can be strategically important. Grade and continuity are key levers for robust economics in tungsten – and both are getting positive signals in this programme.

There is also visible market engagement: management reports more than 20 non-deal meetings with institutions and ultra-high-net-worth investors in the past two weeks, plus a well-attended retail presentation. That interest often precedes catalysts, but remember, no financing or partnering outcomes are disclosed here.

What the 2019 resource tells us

For context, Redmoor’s 2019 JORC (2012) Inferred Mineral Resource totalled 11.70 Mt at 0.56% WO3, 0.16% Sn and 0.50% Cu, equating to 1.17% Sn Eq and 0.82% WO3 Eq, using the Company’s price and recovery assumptions at the time. The current drilling aims to update this picture. The near-term MRE revision is the number to watch.

Catalysts and watchlist for the next quarter

• Further assays from the six completed holes, including the twin-hole data review.
• Progress updates on metallurgical and processing testwork.
• Timing and scope of the Redmoor MRE update.
• Cobre sales trajectory into Q4 – can volumes normalise towards 2024 levels?
• Cash movements – any clarity on funding sources, grants or partnerships. Not disclosed today.

Josh’s take: momentum building, but funding is the swing factor

Operationally, this is a good update. Cobre’s rebound provides oxygen, and Redmoor is firing on multiple cylinders – grade confirmation, new zones, model validation and accelerated drilling. The exploration story is strengthening, and that typically draws interest from both strategic and financial investors in critical minerals.

The counterpoint is the cash balance. At US$0.83m, the company will need continued Cobre contributions and/or fresh capital to sustain the pace. That is not unusual for a developer, but it is the variable retail holders should track most closely alongside assay cadence.

Net-net: positive momentum at the assets, growing market engagement, and tangible near-term newsflow. If the upcoming assays and MRE land as hoped, Redmoor’s valuation case improves. Until then, position sizing should respect the funding and execution risks that come with the territory.

Cobre sales history from the RNS

Period	Volume (tons)	Sales (US$’000)
Q3 2025	16,098	1,079
Q2 2025	11,305	818
Q3 2024	19,375	1,273
Q2 2024	18,935	1,296
Q3 2023	4,592	404
Q2 2023	4,162	367

Bottom line

Cobre is back on front foot and funding the Redmoor drill blitz. Redmoor’s early results are ticking the right boxes and pointing towards a more compelling MRE. The missing pieces today are cash runway detail and exact timelines for the next data drops – both will shape sentiment into year end.

As ever, this is commentary, not advice. If you’re following SML, keep an eye on assays, MRE timing, and the cash line. Those three will do the heavy lifting on valuation in the near term.