Centaurus builds Jaguar funding momentum as Brazil copper targets expand

Jaguar funding package moves towards a decision

Centaurus Metals Limited (ASX:CTM) has moved another step towards a funding decision for its Jaguar Nickel Sulphide Project in Brazil, but the decisive piece of the financing puzzle remains outstanding: senior debt has not yet been finalised and a Final Investment Decision is still ahead.

“Jaguar Nickel Sulphide Project Location Map”

During the September quarter, the company completed extensive due diligence commissioned from SLR Consulting Australia, acting as independent technical and environmental and social expert. Its reports were provided to shortlisted financiers, which were then asked to update their proposals. Centaurus said that process had now been completed and expected to provide further updates in the December quarter.

The debt work follows Jaguar debt financing interest reported earlier in the year, when the company said it had received non-binding interest from international financiers. The current report does not disclose lender names, proposed debt amounts or terms, leaving the final funding structure unresolved.

Engineering and grid access clear development hurdles

Engineering advanced across the processing plant layout, basic engineering close-out and construction package preparation. Equipment quotations were received, mining and construction tenders moved through assessment, and Brazilian engineering firm ECM completed processing plant earthworks and surface drainage design.

“Installation of Construction Administration Office”

Centaurus also completed its planned geotechnical drilling program across the Integrated Waste Landform and processing plant areas. Laboratory testing is continuing, while the results received so far have supported changes to the waste landform design. Early site works included road upgrades and the installation of construction administration offices, with the Minerasul Bridge now a priority for future heavy equipment deliveries.

After the quarter, the company executed its Transmission System Use Contract with Brazil's national grid operator, ONS, following national grid connection approval. That builds on the 20MW grid access milestone reported earlier, although the contract itself does not remove the need to complete the broader project funding process before full-scale construction begins.

Offtake and strategic equity strengthen commercial backing

Centaurus said discussions over additional offtake volumes and strategic equity advanced substantially during the quarter and were finalised early in the December quarter with Glencore and CNGR Advanced Material. The company subsequently announced new offtake agreements and a US$40 million strategic equity investment on 28 October, after the reporting period.

The five-year nickel offtake agreements covered forecast Jaguar concentrate production during the project's first five years, according to the earlier announcement. Centaurus said the additional committed offtake is expected to support its debt and equity financing strategy, but the September quarter cash balance does not include the later equity transaction.

Boi Novo produces a larger copper-gold drilling pipeline

While Jaguar absorbs the capital and execution focus, Centaurus has expanded the exploration case at its 75-square-kilometre Boi Novo Copper-Gold Project. More than 4,500 soil samples at Rio Novo defined two roughly five-kilometre copper-in-soil corridors and eight prospects, supported by drone magnetic and fixed-loop electromagnetic surveys.

“Location Map showing the Rio Novo tenement copper-in-soil anomalies and underlying geology.”

“Rio Novo DMAG interpretation (Analytic Signal) with prospects, Cu-in-soil contours, rock chips by Cu.”

Caption and image © Centaurus Metals Limited. From “Quarterly Activities/Appendix 5B Cash Flow Report”, 30 Oct 2026.

The original Boi Novo tenure generated 13 additional targets outside the Nelore prospects. Among the higher-priority areas are the Búfalo Prospect, where a conductor extends along 2.8 kilometres of prospective strike, and the down-plunge extensions of high-grade Nelore West breccias. Centaurus is planning drilling across the highest-ranked Rio Novo and Boi Novo targets, but the reported rock-chip, soil and historical drilling results remain exploration indicators rather than a mineral resource or reserve.

Cash position keeps funding pressure visible

Cash and cash equivalents stood at A$11.068 million at 30 September, down from A$17.499 million a quarter earlier. The company reported A$2.737 million of net operating cash outflow and A$6.773 million of investing outflow, including A$3.705 million spent on mine properties in development and A$3.019 million on a security deposit. Exercise of options contributed A$3.639 million during the quarter.

On the ASX Appendix 5B measure, Centaurus reported about four quarters of available funding based on operating cash outflows alone. That measure does not capture the larger development-related investing outflows recorded in the period. The next test is therefore not simply whether Jaguar can reach FID, but whether the debt package and other funding sources arrive before construction spending materially accelerates.