MCB Project’s Next Phase Hinges on Equity Funding and Share Return Extension
Celsius Resources has initiated on-site engineering and feasibility updates at its flagship MCB Copper-Gold Project, supported by new funding and an extended share return agreement with Sodor, Inc.
- On-site Front-End Engineering Design (FEED) commenced at MCB Project
- Feasibility study update targeted for completion by November 2025
- Funding secured through Maharlika Investment Corporation loan facility
- Sodor, Inc. share return period extended to February 2026
- MCB Project holds 338 million tonnes of copper-gold resources with strong economic potential
Engineering Momentum at MCB
Celsius Resources Limited’s Philippine affiliate, Makilala Mining Company, has taken a significant step forward by commencing on-site Front-End Engineering Design (FEED) and updating the feasibility study for the Maalinao-Caigutan-Biyog (MCB) Copper-Gold Project. This marks a pivotal phase in the project’s development, aiming to refine technical and economic parameters ahead of a planned completion around November 2025.
The initiation of these activities follows the first drawdown of funds from the Maharlika Investment Corporation under a previously arranged loan facility. This financial backing underscores the confidence in MCB’s potential and provides the necessary capital to advance detailed engineering and planning work.
Funding and Financial Discipline
While the FEED and feasibility update are fully funded through the loan facility, Celsius remains vigilant in managing its overall capital. The company continues to cover certain corporate and reduced-scale project expenses internally, reflecting a disciplined approach to cash flow management. This careful stewardship aims to extend working capital well into the remainder of 2025, ensuring operational stability as the project progresses.
In parallel, Celsius is actively engaging with potential equity partners to secure full funding for the MCB Project’s mining operations. These discussions are critical to transitioning from engineering and feasibility phases to actual mine development and production.
Regulatory and Shareholder Arrangements
Supporting the project’s regulatory framework, Celsius has formalized an extension of the share return period with Sodor, Inc., a key stakeholder. This extension, now effective until February 2026, aligns with the issuance of the mining license and the broader financing strategy. The arrangement provides flexibility and security around share issuances tied to project funding milestones.
Project Scale and Economic Outlook
The MCB Project boasts a substantial mineral resource, with an updated estimate of 338 million tonnes grading 0.47% copper and 0.12 grams per tonne gold. Previous studies have highlighted a robust economic profile, including a post-tax net present value of US$464 million and an internal rate of return of 31%, based on conservative metal price assumptions. These metrics suggest strong long-term value potential, especially given current market prices for copper and gold.
As the feasibility update progresses, investors will be watching closely for any revisions to these figures, which could further influence project viability and funding dynamics.
Looking Ahead
With engineering underway and financing discussions advancing, Celsius is positioning the MCB Project for a critical development phase. The company’s focus on cost control and strategic partnerships will be key to navigating the complexities of mine development in the Philippines and delivering shareholder value.
Bottom Line?
Celsius is steering the MCB Project steadily toward production, but the success of upcoming equity funding will be decisive.
Questions in the middle?
- Will Celsius secure full equity funding partners to complement existing loans?
- How might updated feasibility results impact the project’s economic outlook?
- What are the risks and contingencies tied to the extended Sodor share return agreement?
