Australian-listed Celsius Resources Ltd. reported a net loss of A$23.38 million for the year ended June 30, 2026, as the company continued to advance its Maalinao-Caigutan-Biyog (MCB) Copper-Gold Project in the Philippines amid financing and legal challenges.
The loss attributable to the consolidated entity widened from A$7.57 million in the previous year, while total comprehensive loss increased to A$24.4 million from A$7.17 million, according to the company's 2026 annual report.
Celsius said its principal activity during the year remained mineral exploration and project development in the Philippines, with the MCB project continuing to be its primary focus.
Key developments included the completion of an approximately A$9.3 million equity raising, an updated mineral resource estimate and maiden ore reserve estimate for MCB, completion of a definitive feasibility study, and continued work on the project's development.
The company said it issued 465 million shares at A$0.02 each as part of the equity raising, along with 232.5 million free-attaching options. The proceeds are being used for corporate working capital, project compliance activities, exploration at the Botilao project and legal and other costs associated with its dispute involving Makilala Mining Company Inc. (MMCI).
MCB project advances
Celsius reported a 2012 JORC Code-compliant mineral resource estimate for MCB of 343 million metric tons grading 0.46 percent copper and 0.12 grams per metric ton of gold, containing 1.6 million metric tons of copper and 1.4 million ounces of gold.
A maiden ore reserve estimate released in December 2025 comprised 130.2 million metric tons grading 0.66 percent copper and 0.21 grams per metric ton of gold, containing 856,000 metric tons of copper and 891,000 ounces of gold.
The definitive feasibility study released in January 2026 outlined a 35.3-year mine life, with an initial capital requirement of US$276 million.
For the life of the mine, the study estimated average annual copper concentrate production of 66,000 metric tons, total copper recovery of 1.234 billion pounds and total gold recovery of 507,000 ounces.
The study estimated a post-tax net present value of US$771 million at an 8-percent discount rate and a post-tax internal rate of return of 24.1 percent.
Celsius said work continued on underground mine development, the proposed main access road, procurement for an engineering, procurement and construction contract for the processing plant, and evaluation of power supply options.
Ownership dispute clouds project
The company is also dealing with an unresolved ownership dispute involving MMCI, which holds the mineral production sharing agreement for the MCB project.
Under agreements reached in 2023, Sodor Inc. was to acquire a 60-percent legal interest in MMCI for about US$5 million, while PMR Holding Corp. was to subscribe for shares in PDEP Inc., the proposed processing company, for about US$38 million.
The combined US$43 million payment was due by Feb. 16, 2026. Celsius said the payment was not made by the deadline and subsequently notified Sodor that its MMCI shares should be relinquished under the agreement. The dispute has since been referred to arbitration.
The situation escalated after Equinaire Holdings Ltd., a wholly owned subsidiary of India's Kiri Industries Ltd., issued notices seeking foreclosure over Celsius' 40-percent interest in MMCI.
A Philippine court denied Celsius' petition for interim protection, while emphasizing that the denial did not determine whether an event of default had occurred or whether Equinaire was entitled to foreclose.
On Sept. 8, Equinaire proceeded with a public auction and submitted a US$5.01 million credit bid. With no other registered bidders or bids, Equinaire was declared the winning bidder. Celsius continues to dispute the foreclosure and intends to pursue appeals and arbitration.
Focus shifts to other Philippine projects
Celsius also signed a binding agreement in June to sell its 95-percent interest in the Opuwo Cobalt-Copper Project in Namibia to Chinalco (Xiong'an) Mining Corp. Ltd. for total consideration of US$15 million.
The transaction remains subject to conditions precedent and is targeted for completion before Dec. 29, 2026. Celsius said the sale would allow it to increase its focus on its Philippine copper-gold portfolio and provide a source of near-term funding.
The company has also renewed its focus on the Sagay Copper Project in Negros Occidental. The project covers about 1,780 hectares and has a mineral resource estimate of 312 million metric tons grading 0.39 percent copper and 0.11 grams per metric ton of gold.
Celsius said it intends to develop Sagay in two phases, beginning with a shallow supergene copper deposit and potentially followed by development of a deeper copper-gold porphyry deposit, subject to community support and further technical studies.
The company also renewed the exploration permit for its Botilao Copper-Gold Project in the Cordillera Administrative Region in February 2026.
