$12.2 million cash supports Blackstone’s Mankayan PFS

Mankayan PFS moves into mine planning

Blackstone Minerals Limited (ASX:BSX) is progressing the pre-feasibility study for Mankayan, its 40%-held copper-gold-silver project in the Philippines, but the quarter delivered another step rather than a definitive development milestone. The study remains scheduled for completion in FY27, with discussions continuing over drilling needed to support the work.

Mankayan’s existing JORC 2012 resource stands at 793 million tonnes grading 0.65% copper equivalent, containing 2.8 million tonnes of copper, 9.7 million ounces of gold and 20.4 million ounces of silver. Those figures date from 30 September 2020, and Blackstone said the quarterly report contains no new exploration results, mineral resources or ore reserves.

Mining Plus completed the first phase of its work during the June quarter and found no material concerns, red flags or fatal flaws in the 2020 resource model. It identified sub-level caving, potentially leading to a block cave, as one of two preferred mining methods from seven considered. The next phase is intended to produce a detailed mining schedule and financial plan before an eventual ore reserve statement.

The latest progress extends the Mankayan PFS launch, which followed the lifting of a cease-and-desist order earlier in 2026. Metallurgical test work, infrastructure, tailings and socio-environmental activities continued during the quarter but were paused after quarter-end; Blackstone said they can recommence when considered appropriate. Derisk Geomining Consultants is preparing a mine-planning block model ahead of an updated mineral resource estimate.

Cash position funds study but spending remains a variable

Blackstone used $1.6 million on a net basis during the September quarter, reducing cash and cash equivalents from $13.7 million at June-end to $12.2 million. Exploration and evaluation accounted for $1.1 million, while staff costs and administration and corporate costs totalled $630,000. The company also reported approximately $700,000 in listed investments and $86,000 of payments to related parties or their associates.

At the quarter’s reported outflow rate, the Appendix 5B indicates 7.9 quarters of funding. That is a mechanical estimate based on the current period’s cash use, however, and the company says the PFS and associated drilling are being funded from existing cash resources. Future study, drilling and development expenditure could therefore make the current runway a less useful guide than it appears.

Vietnam transfer and licensing remain unresolved

In Vietnam, Blackstone and Xuan Loc Tho executed transfer documents for a 55% interest in BPNM, but the transaction had not completed because Vietnamese government processing and registration were still outstanding. On completion, Blackstone said it would retain a 44.64% interest in BPNM and remain free-carried through the granting of a construction licence for the Ta Khoa Nickel Project.

The Ban Phuc underground mining licence extension and the Ta Khoa Nickel Investment Policy Dossier continue to advance through discussions with Vietnamese ministries and the Son La Provincial government. Xuan Loc Tho is also reconsidering the location of the Ta Khoa Industrial Cluster, with a decision expected in the December quarter. The refinery dossier remains on hold until the cluster licence is issued, although Blackstone said Vietnam continues to produce a zero-holding-cost outcome.