Minbos Advances Cabinda Plant with New CEO and Funding Drawdowns

Leadership and Strategic Focus

Minbos Resources Limited (ASX:MNB) has appointed Rob Newbold as CEO, tasking him with steering the company through the critical transition from development to production at its Cabinda Phosphate Project in Angola. Newbold’s immediate priorities include ensuring disciplined project execution, aligning stakeholders, and preparing operational readiness for long-term plant operations.

Funding Milestones and Capital Structure

During the June quarter, Minbos executed final security documentation for a US$16 million debt facility with South Africa’s Industrial Development Corporation (IDC) and drew down the initial US$4.8 million tranche. Concurrently, the company advanced conditions for a US$5.4 million loan facility with Banco de Fomento Angola (BFA), which will complement IDC funding to cover the principal construction costs of the fertiliser plant.

Adding to its capital base, Minbos secured a US$484,500 investment from Angola’s Sovereign Wealth Fund (FSDEA) into its subsidiary Phobos Ltd. Post-quarter, the company completed an A$4 million placement at A$0.015 per share to fund mine mobilisation, grade control, fertiliser inputs, and inventory ahead of mining commencement. The board and management have committed to an additional A$0.55 million subscription, pending shareholder approval for the placement’s second tranche.

Construction Progress and Contracting

Construction at the Cabinda Phosphate Fertiliser Plant has hit significant milestones. Phase-1 works, including site clearing, access roads, civil works, foundations, and the primary structure, are complete. The company has signed a US$13.8 million contract with Grupo Arliz for Phase-2 construction, covering remaining works through to dry commissioning, with construction underway since June 2026.

Minbos is targeting plant inauguration by December 2026, setting a clear timeline to transition from development to operational status.

Agronomic Trials Show Promising Results

Commercial field trials of locally produced fertiliser blends have begun harvesting, with upland rice trials standing out. The 10-20-08 phosphate-based fertiliser from the Cabinda Project delivered a 23% higher yield compared to the commercial 12-24-12 fertiliser blend under Angolan upland rice conditions. This performance, combined with a more favourable cost-input profile, highlights phosphorous as the critical limiting nutrient in these soils. Minbos plans to extend these trials to commercial growers in the upcoming season, which could bolster market uptake.

Cash Flow and Operational Readiness

The company reported no exploration expenditure during the quarter, focusing resources on development and construction. Operating cash outflows totalled A$1.52 million for the quarter, balanced by financing inflows of A$7.36 million, primarily from loan drawdowns and equity placement proceeds, resulting in a strong cash position of A$6.03 million at quarter-end.

Payments to related parties amounted to A$87,000, covering director fees and management services. Minbos holds 1.34 billion fully paid ordinary shares, alongside listed and unlisted options.