Key points
- Franco-Nevada agrees to pay $170 million for a 1.45% royalty increase
- Franco-Nevada plans to subscribe for $30 million in a future equity raising
- Total investment by Franco-Nevada in Minerals 260 reaches $420 million
Full summary
Minerals 260 Limited (ASX:MI6) has announced an additional $200 million funding agreement with Franco-Nevada Corporation and its subsidiary, Franco-Nevada Australia. This funding supports the development of the Bullabulling Gold Project in Western Australia. Franco-Nevada Australia will pay $170 million to increase its royalty by 1.45% over the project area. Additionally, Franco-Nevada has confirmed its intention to subscribe for $30 million in a future equity raising. This brings Franco-Nevada's total investment in Minerals 260 to $420 million since its initial investment of $220 million in February 2026. The investment follows due diligence on the 6.2 million ounces Mineral Resource and Pre-Feasibility Study, providing non-dilutive funding for Minerals 260. Franco-Nevada will also contribute up to $100,000 annually for three years to support local community, education, and environmental initiatives.
Guidance
Franco-Nevada's total investment in Minerals 260 reaches $420 million
Outlook
Franco-Nevada plans to subscribe for $30 million in a future equity raising