Magnetite Mines Limited (ASX:MGT), an ASX-listed iron ore company focused on the development of magnetite iron ore resources in South Australia, has announced a 12-month extension to the maturity dates of all outstanding Convertible Notes. The company holds a 100%-owned Mineral Resource of 6.6 billion tonnes of iron ore and is developing the Razorback Iron Ore Project. This extension follows a variation deed entered into with C/M Capital Master Fund, LP and WVP Emerging Manager Onshore Fund LLC – C/M Capital Series, collectively referred to as C/M Capital.
The variation extends the maturity dates for Convertible Notes with an aggregate face value of $2.714 million, originally issued under agreements dated 10 January 2025. This strategic move aims to provide Magnetite Mines with additional financial flexibility as it progresses funding initiatives for its Razorback Iron Ore Project. The outstanding notes pertain to four tranches drawn under the company’s Convertible Note facility, which were previously utilised to support project development activities and general working capital. The revised maturity dates now span from January 2028 to June 2028, each extended by exactly 12 months from their original schedules.
As consideration for the extension, Magnetite Mines will provide A$250,000, to be satisfied by the issue of 16,666,667 unquoted options to C/M Capital, subject to shareholder approval at the company’s 2026 Annual General Meeting, expected in November 2026. These options will vest immediately upon issue, carry an exercise price of $0.015 per option, and expire three years from their issue date. Should shareholder approval not be obtained, the company will instead make a cash payment of $250,000. All other terms and conditions of the Convertible Securities Agreement remain unchanged.
Executive Chair Scott Lowe expressed appreciation for C/M Capital’s continued support and constructive approach. He highlighted that the extension provides Magnetite Mines with additional financial flexibility to pursue strategic funding opportunities and advance the Razorback Iron Ore Project, particularly after materially reducing corporate overheads.
