Riverside Resources Secures Funding and Partnership for La Union Project

Riverside Resources ( (TSE:RRI) ) just unveiled an update.

Riverside Resources has entered into a definitive option agreement with Questcorp Mining for the La Union Project in Sonora, Mexico. This agreement secures up to C$5.5 million in exploration funding and positions Riverside as the operator of the exploration program. The project, which spans over 22 square kilometers, is highly prospective with multiple drill-ready targets. Riverside will also gain an initial 9.9% equity interest in Questcorp and a 2.5% net smelter return royalty on commercial production, enhancing its strategic positioning in the region.

Spark’s Take on TSE:RRI Stock

According to Spark, TipRanks’ AI Analyst, TSE:RRI is a Neutral.

Riverside Resources faces significant financial challenges with no revenue and negative cash flows, impacting its overall score. Despite these issues, positive technical momentum and strategic corporate actions, such as the Blue Jay Gold spin-out, offer some optimism. Valuation concerns persist with a negative P/E ratio, indicating potential risks.

To see Spark’s full report on TSE:RRI stock, click here.

More about Riverside Resources

Riverside Resources Inc. is a mineral exploration company operating primarily in the precious metals sector. The company focuses on identifying and developing high-potential mineral projects, with a particular emphasis on gold and polymetallic deposits in North America, especially in Mexico.

YTD Price Performance: 56.67%

Average Trading Volume: 55,911

Technical Sentiment Signal: Sell

Current Market Cap: C$13.83M

Learn more about RRI stock on TipRanks’ Stock Analysis page.