MAC has announced it has reached an agreement with Sprott Private Resource Lending to enable early repayment of its US$145m debt facility. Triggering an early repayment will see MAC pay a total around US$150m, assuming the repayment occurs in the 1QCY25. We make minor adjustments to our earnings forecasts to reflect the early debt repayment. Incorporating the debt repayments and fall in the spot copper price sees our price target fall 3% to A$22.30. MAC is generating strong cash flow from its CSA Mine in NSW and with the stock trading on free cash flow yields of ~11% for CY25 and CY26, we reiterate our BUY rating on the stock.
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