Highlights

  • Minerals 260 announced AUD 410 million in credit-approved Debt commitments.
  • The package comprises AUD 335 million of project finance and AUD 75 million of Working Capital facilities.
  • Financial close and a final Investment decision are targeted for Q1 calendar 2027.
  • Bullabulling hosts a July 2026 JORC mineral resource estimate of 6.2 million ounces.

Minerals 260 Limited (ASX:MI6) is developing the Bullabulling Gold Project in Western Australia's Eastern Goldfields. Its proposed open-pit operation is being advanced through engineering, financing and regulatory work rather than producing gold commercially. On 11 November 2026, the company announced credit-approved debt commitments that it expects, together with Royalty funding and recently raised equity, to cover development through first production. The commitments are not equivalent to completed financial close or available drawn debt.

The Structure of the AUD 410 Million Package

Minerals 260 (ASX:MI6) executed a credit-approved commitment letter and term sheet with ANZ, NAB and Societe Generale. The arrangements comprise an AUD 335 million project finance Facility and an AUD 75 million working capital facility. The project finance facility has a seven-year amortising term with a Bullet Repayment at maturity, while the working capital facility has a four-year term.

The company disclosed an Interest Rate based on the Bank Bill Swap Bid Rate plus a fixed Margin below 3%. Interest is to be capitalised during construction. The package does not impose mandatory gold, foreign exchange or diesel hedging. These terms define the proposed lending arrangements but do not eliminate borrowing costs or the obligations associated with debt financing.

Financial Close Is Still Conditional

The credit-approved facilities follow a technical expert review and lender due diligence. Nevertheless, Minerals 260 (ASX:MI6) must complete long-form documentation, finish the definitive feasibility study, satisfy further Due Diligence requirements and agree an intercreditor deed with royalty funding partner Franco-Nevada. Additional customary conditions also apply before financial close.

Management targets financial close in the first quarter of calendar 2027, with the first debt drawdown expected towards the end of 2027. The company also targets completion of its definitive feasibility study and a final investment decision in Q1 2027. These are proposed milestones, not approvals or disbursements already completed on 11 November.

Bullabulling Resource and Project Scope

Bullabulling is located approximately 25 kilometres south-west of Coolgardie, around 65 kilometres from Kalgoorlie, on granted Mining leases. In its November release, Minerals 260 (ASX:MI6) reiterated a July 2026 JORC mineral resource estimate of 190 million tonnes at an average grade of 1.0 gram per tonne gold, containing approximately 6.2 million ounces.

The project includes separate deposits such as Phoenix, Bacchus and Dicksons. The mineral resource estimate includes indicated and inferred classifications and is not a measure of gold already produced. The economic conversion of mineralised material into mining reserves and operating cash flows depends on detailed mine planning, metallurgical assumptions and project execution.

Funding Strategy and Remaining Development Risks

Minerals 260 (ASX:MI6) stated that the debt commitments, royalty financing and proceeds of its recent Equity raising collectively fund the project through first production. This remains a forward-looking funding assessment based on current development assumptions. Changes to capital expenditure, schedule or operating scope could affect the amount and timing of required finance.

Before any commercial output, the company must finish its definitive study, make a final investment decision, satisfy lenders' conditions and progress construction. Gold production also depends on commissioning performance and regulatory compliance. The November agreement is a financing milestone, but it should not be confused with an operating mine or a guarantee of production dates.

Key Insights

Minerals 260 has arranged credit-approved debt commitments for Bullabulling and described a funding package intended to support first production. However, the facilities have not reached financial close, and the definitive feasibility study, final investment decision, construction and commissioning remain critical steps.