Bullabulling’s Future Hinges on Regulatory Approvals Despite $220M Funding Boost

Strategic Funding Boosts Bullabulling

Minerals 260 Limited has secured a significant $220 million funding package from gold royalty giant Franco-Nevada Corporation, aimed at fast-tracking the development of the Bullabulling Gold Project in Western Australia. The deal combines a $170 million royalty funding agreement with a $50 million equity investment, underscoring Franco-Nevada’s confidence in the project’s potential.

Located 65 kilometres from Kalgoorlie, Bullabulling hosts a substantial 4.5 million ounce gold resource, positioning it as one of Australia’s leading gold development opportunities. Franco-Nevada’s increased royalty interest to 2.45% reflects a deepened commitment, while their equity stake of nearly 5% in Minerals 260 aligns their interests closely with the company’s growth trajectory.

Accelerating Development and De-Risking Financing

The injection of capital will enable Minerals 260 to accelerate key project milestones, including the construction of a 400-room accommodation village, procurement of long lead equipment, early site works, and an expanded drilling program. These activities are critical to advancing the Pre-Feasibility Study (PFS), due in July 2026, which will also deliver the project’s maiden Ore Reserve.

By securing this funding ahead of the PFS completion, Minerals 260 significantly de-risks its financing pathway, reducing reliance on traditional equity or debt markets. The involvement of Franco-Nevada, a globally respected royalty company, also lends strong validation to the project’s quality and the Minerals 260 management team’s execution capabilities.

Largest Royalty Investment by Franco-Nevada in Australia

Franco-Nevada’s President and CEO, Paul Brink, highlighted Bullabulling as a “large and growing orebody” and one of the most attractive gold projects in the country. This transaction represents their largest royalty acquisition in Australia, expanding their already extensive portfolio in the region. The equity investment further demonstrates their confidence in Minerals 260’s ability to deliver value.

The royalty deed includes stepped-down royalty rates after 4 million ounces of cumulative production, and the agreement is subject to regulatory approvals, including Foreign Investment Review Board (FIRB) consent. Franco-Nevada will also hold a right of first refusal on future royalty or streaming arrangements, cementing a long-term partnership with Minerals 260.

Looking Ahead: From Feasibility to Production

With the funding secured, Minerals 260 is poised to ramp up exploration and development activities. The expanded drilling program aims to convert more resource ounces into reserves, supporting the Definitive Feasibility Study (DFS) planned for early 2027. Concurrently, infrastructure development such as water bore drilling and tailings storage facility design is underway to ensure operational readiness.

This strategic funding deal not only accelerates Bullabulling’s path to production but also enhances the project’s financial resilience and operational flexibility. As the PFS and DFS milestones approach, the market will be watching closely to see how these developments translate into value for shareholders.