Ravensthorpe Development Hinges on Forrestania Acquisition Completion

Medallion Metals Advances Ravensthorpe Project

Medallion Metals Limited (ASX, MM8) has reached a pivotal milestone with the execution of a US$50 million loan facility and a commercial offtake agreement with global commodities trader Trafigura. These agreements underpin the company’s Final Investment Decision (FID) to develop the Ravensthorpe Gold Project in Western Australia, marking a transition from exploration to production readiness.

The loan facility will provide critical funding to advance the project’s development, with drawdown anticipated in the latter half of 2026. Alongside this, the offtake agreement secures a buyer for the copper-gold concentrate expected from the project, providing revenue certainty and strengthening the project's commercial viability.

Acquisition and Development Timeline

Medallion’s development plans hinge on the completion of its acquisition of the Forrestania tenure, a transaction expected to be finalized by late February 2026. The company has stipulated that all conditions precedent to this acquisition must be satisfied or waived before development activities commence. This acquisition is integral, as it consolidates the project’s processing capabilities and resource base.

Managing Director Paul Bennett highlighted the significance of the agreements, noting the five-month negotiation period as a testament to the project’s quality and the strong partnership with Trafigura. He emphasised disciplined execution moving forward, with a focus on advancing Ravensthorpe toward production while exploring further growth opportunities within Forrestania.

Strategic Implications and Market Positioning

The secured funding and offtake arrangements position Medallion Metals to become a notable player in Western Australia’s gold and copper mining sector. The project’s development aligns with broader market demand for copper and gold, metals critical to both traditional industries and emerging technologies such as electric vehicles and renewable energy infrastructure.

While the agreements mitigate some commercial risks, the company remains subject to the usual uncertainties inherent in mining developments, including regulatory approvals and market conditions. The company’s cautious approach to satisfying acquisition conditions and regulatory requirements reflects prudent risk management.