BMC Minerals has successfully listed on the ASX, raising A$100 million to accelerate exploration and development of its polymetallic Kudz Ze Kayah Project in Canada’s Yukon. The company’s strong feasibility study and binding offtake agreements position it as a future leader in silver and zinc production.
- A$100 million raised via heavily oversubscribed IPO
- Kudz Ze Kayah Project feasibility study shows pre-tax NPV7% of $835 million
- Board restructured with new independent directors appointed
- Binding offtake agreements secured for 95% of initial production
- Major drilling program to commence imminently
ASX Listing and Capital Raise
BMC Minerals Ltd (ASX, BMC) marked a significant milestone in December 2025 with its successful listing on the Australian Securities Exchange. The company raised A$100 million through a heavily oversubscribed initial public offering, pricing its securities at A$2.00 per CDI. This capital injection provides BMC with the financial firepower to advance exploration, permitting, and optimisation studies at its wholly owned polymetallic Kudz Ze Kayah (KZK) Project in the Yukon Territory, Canada.
Project Overview and Economic Outlook
The KZK Project, comprising the ABM and Kona deposits, is positioned to become a major player in Canada’s mining sector. The 2023 feasibility study update highlights a robust pre-tax net present value (NPV) at a 7% discount rate of US$835 million, based on conservative long-term metal prices that are notably below current market consensus. The project’s capital payback period is estimated at approximately two years, underscoring its economic attractiveness.
Annual production is forecast to average 32.2 million silver equivalent ounces over an initial nine-year mine life, with all-in sustaining costs below US$12 per ounce. The mine will produce three concentrates; high precious metals, copper, and zinc; and is expected to become Canada’s largest silver and zinc producer, as well as ranking among the top 15 copper producers nationally.
Corporate Developments and Board Restructure
Alongside the IPO, BMC undertook a strategic board restructuring. Michael McClelland, previously President & CEO, was appointed Managing Director. The company also welcomed three new independent non-executive directors; Natalia Streltsova, Alex Christopher, and Ivan Mullany; bringing expertise in exploration, metallurgy, and mine development. This refreshed leadership team complements existing directors and positions BMC to execute its growth strategy effectively.
Offtake Agreements and Financing Arrangements
BMC has secured binding offtake agreements covering 95% of the first five years of production across all concentrate products, providing revenue certainty. Additionally, the company amended its Precious Metals Purchase Arrangement with Wheaton Precious Metals, increasing initial deposits and adjusting buy-back options, which strengthens its financial flexibility as it advances project development.
Exploration and Permitting Outlook
Looking ahead, BMC is preparing to launch a major drilling program targeting several high-priority zones within the KZK Project. Concurrently, the company is engaged in ongoing discussions with Yukon and federal regulatory bodies regarding the Decision Document for the ABM Mine Project. Progression of permitting for additional licences is expected once these discussions conclude, paving the way for project advancement.
With silver prices surging above US$100 per ounce early in 2026, BMC is well positioned to capitalise on favourable market conditions. The company’s focus on extending mine life and expanding resources aligns with its ambition to establish the ABM Mine as a cornerstone asset in Canada’s polymetallic mining landscape.
Bottom Line?
As BMC prepares to drill and navigate permitting, its ability to convert strong feasibility into production will be key to capturing silver’s momentum.
Questions in the middle?
- How will upcoming drilling results impact resource estimates and project economics?
- What is the timeline and likelihood for securing all necessary permits to commence construction?
- How sensitive is the project’s financial outlook to fluctuations in silver, zinc, and copper prices?