
Celsius Resources faces legal challenge over copper project stake
- Equinaire Holdings sought to initiate foreclosure proceedings against Celsius Resources over its 40% interest in Makilala Mining Company.
- The legal notice resulted in an immediate 30% decline in the company's stock value on the market.
- The acquisition of the underlying loan by Kiri Industries aims to secure a preferential copper supply for an upcoming facility.
Celsius Resources (ASX:CLA) announced that Equinaire Holdings has issued notices seeking to foreclose on the company's 40% interest in Makilala Mining Company.
The move follows a June 2026 transaction where the Maharlika Investment Corporation assigned its rights under an omnibus loan agreement to Equinaire.
“The acquisition of the loan represents a precursor transaction that is expected to enable the group to benefit from an off-take arrangement, ensuring preferential supply of copper ore/concentrate from Makilala Mining Company for its upcoming copper facility being developed by Indo Asia Copper,” said Kiri Industries.
Equinaire claims that a prior notice issued to Sodor constituted an event of default, prompting the foreign firm to seek a public auction for the mining assets.
Celsius stated that it refutes the occurrence of a default and intends to protect its assets to the fullest extent of the law.
Following the announcement, the Celsius Resources share price was down at $0.007.
The dispute targets the key asset holding the Maalinao-Caigutan-Biyog Copper-Gold Project located in the Philippines.
The company previously secured a mining production sharing agreement with the Philippine government to advance development at the site.