Celsius Resources Ltd (ASX, AIM: CLA), a mineral exploration and development company focused on copper-gold projects in the Philippines, has provided an update on ongoing legal disputes. These include a disagreement with Equinaire Holdings Limited concerning the Omnibus Loan and Security Agreement (OLSA) related to Makilala Mining Company Inc. (MMCI), and a consignation application from Sodor, Inc. over a 60% MMCI interest.
The Equinaire dispute involves alleged OLSA Events of Default, which Celsius disputes. Equinaire has pursued foreclosure and a public auction of Makilala Holding Limited’s (MHL), a wholly-owned Celsius subsidiary, 40% interest in MMCI. A Temporary Order of Protection (TOP) initially prevented this but was lifted by the Regional Trial Court of Makati after Equinaire posted a PHP201 million (~A$4.6 million) counterbond. Equinaire now intends to resume foreclosure and auction MHL’s MMCI interest on 8 September 2026, with a minimum bid of US$5 million. MHL has a pending Petition for Interim Measures of Protection to seek an injunction until arbitration concludes.
Separately, Sodor, Inc. has filed a consignation application with the Regional Trial Court in Mariveles, Bataan, seeking an order for MHL to accept PHP300 million (~A$6.8 million) for a 60% MMCI interest. This follows the expiry of a February 2026 payment deadline, after which Celsius had advised Sodor that the shares must be relinquished. The RTC Bataan denied MHL’s motion to refer the consignation to arbitration, deeming it a judicial matter. MHL has filed a Motion for Reconsideration and plans to appeal the decision if unsuccessful.
