Highlights

• The partially underwritten, non-renounceable offer was announced on 14 September 2026 at one new share for every 1.

• Terramin holds 49 per cent of Tala Hamza through Bejaia Zinc & Lead Spa, with Algerian partners holding.

• Talks with a state-owned Algerian bank on long-term project finance continue, and the company reports positive meetings in.

• At Kapunda in South Australia, where Terramin holds a free-carried 25 per cent interest, operator ECR reports that.

Terramin Australia Limited (ASX:TZN) — has reported that its A$28.65 million entitlement offer is fully subscribed, following final shortfall share issues on 26 and 28 October 2026. The quarterly report to 30 September 2026 shows the company's cash at quarter end was A$188,000, before the offer proceeds were received.

Central development

The partially underwritten, non-renounceable offer was announced on 14 September 2026 at one new share for every 1.5 held, at A$0.018 per share, for about 1.59 billion new shares. Terramin says the price was a discount to the 15-day volume-weighted average price. The offer closed on 6 October 2026, and the company reports it was underwritten up to A$25.65 million by Feny (Hong Kong) International Mining Ltd and Asipac Group Pty Ltd.

Shares were issued on 13 October (44.4 million shares), 26 October (about 1.45 billion shares, including 555.6 million to Feny and 769.3 million to Asipac) and 28 October (94.4 million shortfall shares). Asipac, a major shareholder, lender and underwriter, now holds 47.15 per cent of issued capital. Proceeds are mainly intended for the Tala Hamza Zinc Project.

Tala Hamza zinc project

Terramin holds 49 per cent of Tala Hamza through Bejaia Zinc & Lead Spa, with Algerian partners holding the remainder, and holds management rights. Site works include access to the mine portal, geotechnical drilling for ventilation shafts, high-voltage power supply nearing completion, an access bridge and a motorway interchange also nearing completion. Underground mining and access road tenders are advancing, but no award dates were disclosed.

Talks with a state-owned Algerian bank on long-term project finance continue, and the company reports positive meetings in September. No agreement has been reported. The mining permit was issued in May 2023 with an initial ten-year term. The resource is 53.0 million tonnes at 5.3 per cent zinc and 1.3 per cent lead, based on 2018 data.

Other projects

At Kapunda in South Australia, where Terramin holds a free-carried 25 per cent interest, operator ECR reports that adding a ferric chloride oxidant lifted copper recovery in the in situ trial, with copper reaching 180 parts per million. Terramin says this indicates laboratory column results can be reproduced in the ground. Data is being compiled for economic analysis, with no timeline.

At Bird in Hand, Terramin says that after the March 2026 Court of Appeal decision setting aside a 2023 proclamation, the deposit returned to its exploration licence. The company is reviewing its options and has disclosed no decision.

Financial position

Operating cash outflow was A$633,000 for the quarter, investing outflow A$82,000 and financing inflow A$800,000. The company's own estimate of funding runway was 0.92 quarters, calculated before the offer proceeds. Unused facilities were A$475,000.

Debt comprises A$32.68 million of Asipac facilities, all drawn except about A$0.48 million, maturing on 30 June 2027, and a US$6.68 million convertible note maturing on 3 January 2027. The note is repayable in US dollars if not converted, which exposes Terramin to currency movements. Related-party payments were A$38,000.

Risks and conditions

The company relies on a major shareholder for lending and underwriting, and has two significant debt maturities within about eight months. Tala Hamza depends on securing project finance, awarding tenders and continuing partner support in Algeria. The Bird in Hand and Kapunda outcomes remain undecided, and the quoted resources are dated.

Next milestones

The dates the company gives are the convertible note maturity on 3 January 2027 and the Asipac facility maturity on 30 June 2027. Tala Hamza finance and tenders, the Bird in Hand options review and Kapunda data compilation have no stated timelines.