KGL Resources Limited (ASX:KGL) has now received a second US$16 million payment from Wheaton Precious Metals International, completing the US$32 million Early Deposit under the streaming agreement that underpins funding for its Jervois Copper Project in the Northern Territory, the company announced on 6 October 2026.

The Brisbane-based copper developer said the payment was received after the applicable conditions for the Early Deposit were satisfied, including Wheaton's Foreign Investment Review Board (FIRB) approval and evidence of Early Works expenditure.

How the Wheaton arrangement works

Under the Precious Metals Purchase Agreement (PMPA), Wheaton will provide up to US$275 million in upfront consideration. That comprises the US$32 million Early Deposit, now received in full, and a further US$243 million available in four equal tranches over the construction period as agreed construction and other conditions are satisfied.

The agreement also gives KGL access, at its option and subject to the PMPA terms, to a US$25 million cost-overrun facility. That takes total potential funding under the package to US$300 million.

KGL emphasised that the stream relates to a portion of Jervois' gold and silver by-products, and that copper production remains "fully unencumbered". Streaming is a common form of mine finance in which a buyer pays upfront for the right to purchase a share of future metal output at a set price.

Funding position and next steps

The company said that, following completion of its separate A$300 million Equity raising, the Wheaton package and existing cash provide the funding required to take Jervois through construction and into production. KGL describes the project as "fully funded" with no project debt.

Chief executive Sam Strohmayr said: "Receipt of the second US$16 million payment completes the US$32 million Early Deposit and is another clear execution milestone for the Jervois Project."

He added that, with enabling works underway, "our focus is firmly on progressing the Final Investment Decision and safely delivering the Jervois Project."

That wording confirms that a Final Investment Decision (FID) has not yet been made. The remaining US$243 million from Wheaton also remains conditional, and the announcement does not provide a timetable for FID or for the drawdown of the four tranches.

Project context

Jervois is 100%-owned by KGL. According to the company, the project has an initial 10-year mine life and is expected to produce approximately 30,000 tonnes of copper per annum at steady state, together with significant silver and gold by-products. KGL said all material assumptions underpinning the Production Target and related forecast financial information continue to apply and have not materially changed.

Alongside development, KGL said it is undertaking a funded exploration programme targeting resource growth, mine-life extension and new discoveries across the broader Jervois and Unca Creek tenements.