SBM continues to progress the Simberi Expansion Project towards FID with Mining Lease renewal now submitted and progressing through PNG’s license renewal process. SBM is also progressing discussions with the PNG state nominee, Kumul Mineral Holdings, towards a proposed JV sale for 20% of the Simberi Asset. It’s expected the 20% ownership will transact for an agreed market value of the Simberi Project. We have updated our base case to assume an 80/20 JV ownership from FY26 onwards. Increases in project royalties from 2% to 3% and 20% sell down of the Simberi Asset lower our Price Target from $1.20 to $1.00. Speculative Buy maintained.
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