Minerals 260 Confirms Bullabulling as Major Gold Project with A$2.3B NPV

Bullabulling’s Economics Signal a Strong Gold Development

Minerals 260 Limited (ASX:MI6) has delivered a Pre-Feasibility Study (PFS) that confirms the Bullabulling Gold Project as a high-margin, large-scale, and long-life operation. The study reveals a post-tax net present value (NPV5) of A$2.3 billion and an internal rate of return (IRR) of 43%, underpinning average annual gold production of approximately 150,000 ounces over the first ten years. These figures position Bullabulling as one of Australia’s leading undeveloped gold projects.

The maiden Ore Reserve was declared at 2.5 million ounces of gold, based on 90 million tonnes grading 0.86 grams per tonne (g/t) Au, derived from the December 2025 Mineral Resource Estimate (MRE) of 4.5 million ounces. Notably, the updated July 2026 MRE, released concurrently with the PFS, shows a 38% increase to 6.2 million ounces at 1.0g/t Au, including 4.4 million ounces classified as Indicated Resources, though this upgrade is yet to be incorporated into the Ore Reserve or PFS economics.

Early Construction and Infrastructure Development Accelerate Project Progress

Minerals 260 has commenced early construction activities, reflecting its strategy to advance key workstreams ahead of the Definitive Feasibility Study (DFS) and Final Investment Decision (FID) targeted for Q1 2027. The company awarded a $59.1 million fixed-price contract to ATCO Structures & Logistics for a 400-person accommodation village, expected to be operational by Q1 2027. This village’s design allows for future expansion to support up to 600 personnel, providing operational flexibility.

In parallel, water infrastructure development is underway with drilling and installation of production bores to secure long-term supply. A 26,000-metre grade control drilling program commenced at the Phoenix deposit to refine orebody knowledge and support mine planning. The company is also exploring the establishment of an on-site Photon Assay facility to enhance future mining operations.

Strategic Tenement Expansion Consolidates Land Position

Minerals 260 has significantly expanded the Bullabulling Project area from 130 square kilometres to approximately 1,160 square kilometres through the acquisition of joint venture interests across 350 square kilometres from Geko Explore. This move consolidates the company’s position along the Bullabulling Fault corridor, adding multiple high-priority exploration targets adjacent to existing deposits such as Kraken and Dicksons. The acquisition, valued at A$7 million in cash and shares, positions Minerals 260 as the dominant landholder in the region and secures prospective areas for future water supply.

Robust Financial Position and Funding Progress

At 30 June 2026, Minerals 260 held approximately A$211 million in cash and term deposits, providing a solid financial foundation for advancing the project. The company has initiated its debt funding process and received multiple indicative term sheets, with an Independent Technical Report expected in August 2026. These steps aim to underpin the Board’s targeted FID in the first quarter of 2027.

The PFS outlines a capital expenditure profile of A$180 million pre-FID and A$560 million post-FID, with sustaining capital of A$99 million over the life of mine. Operating costs are estimated at A$2,130 per ounce (C1) and A$2,520 per ounce on an all-in sustaining cost (AISC) basis, positioning Bullabulling competitively within the gold sector.

Pathway to Production and Future Growth Optionality

The project targets first gold production in Q4 2028, with a mine life of 19 years producing a total of approximately 2.3 million ounces. The initial processing plant is designed for 5 million tonnes per annum (Mtpa) throughput, with infrastructure allowing for potential expansion to 7.5 Mtpa. However, any expansion beyond 5 Mtpa remains conceptual and subject to further studies and approvals.

Minerals 260’s Managing Director Luke McFadyen described the quarter as defining, highlighting the PFS’s role in de-risking the project and confirming Bullabulling’s scale and quality. Early works and approvals are progressing in tandem, reflecting a multi-front approach to advancing towards mid-tier gold producer status.