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Minerals 260 has secured $410 million in credit-approved debt commitments for its Bullabulling gold project in Western Australia, completing its planned funding package ahead of a targeted final investment decision in early 2027.
The agreement with ANZ, NAB and Société Générale comprises a $335 million project finance facility and a $75 million working capital facility.
Combined with Minerals 260’s recent equity raising and royalty funding agreement with Franco-Nevada, the commitments are expected to fully fund Bullabulling through to first gold production.
The debt package includes a seven-year project finance term and four-year working capital facility, with an interest rate of less than three per cent above the Australian Bank Bill Swap Bid Rate.
Importantly, the miner said that the agreement does not require mandatory gold price, foreign exchange or diesel price hedging.
Minerals 260 managing director Luke McFadyen said the commitments represented another milestone in Bullabulling’s development.
“This represents another major milestone for Minerals 260 and a key pillar of our funding strategy to bring Bullabulling into production,” McFadyen said.
“We are pleased to have agreed terms with ANZ, NAB and Societe Generale. Obtaining credit approved terms before the completion of the DFS and the highly competitive debt funding process reflects the high quality, high margin and long-life aspects of Bullabulling.”
The financing follows an independent technical review and due diligence process, with financial close expected during the first quarter of 2027.
Minerals 260 must still satisfy several conditions, including completing its definitive feasibility study (DFS), final documentation and further due diligence.
The company expects the first debt drawdown towards the end of 2027, after Minerals 260 secured a $170 million royalty agreement with Franco-Nevada during the September quarter, alongside a $250 million equity placement.
The arrangements accompanied accelerating development activities at Bullabulling, including village construction, water infrastructure installation and regulatory approvals work.
Meanwhile, the project’s recent drilling campaign returned high-grade gold intersections, including 1.1m at 290 grams per tonne (g/t) gold at Bacchus and 7m at 10.9g/t at Phoenix.
Minerals 260 said the results strengthened confidence in Bullabulling’s existing mineral resource and highlighted further opportunities for growth.
Located approximately 65km from Kalgoorlie, Bullabulling hosts a mineral resource of 190 million tonnes grading 1.0g/t gold for 6.2 million ounces.
The project is being advanced as a large-scale open-pit operation, with its DFS and final investment decision both targeted for the first quarter of 2027.
“With Bullabulling now fully funded through to first production, we look forward to completing the DFS, and we are on track to make a Final Investment Decision during the first quarter of 2027,” McFadyen said.
The latest financing commitments provide Minerals 260 with a clearer development pathway as it progresses Bullabulling towards construction and eventual gold production.
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