Kiri Industries Subsidiary Secures $9.76M Loan for Philippine Copper Supply

Kiri Industries' wholly-owned subsidiary, Equinaire Holdings, has finalized a significant loan assignment agreement with the Philippines' Maharlika Investment Corporation (MIC). The deal involves acquiring an outstanding loan balance of $9,764,090.63, directly linked to the Maalinao-Caigutan-Biyog (MCB) Copper-Gold Project. An upfront deposit of $5,000,000 was also made as part of the transaction.

Loan Assignment Details

The agreement with MIC centers on the acquisition of the loan's outstanding balance. This transaction is tied to the MCB Copper-Gold Project, a key copper and gold asset in the Philippines. The assignment is contingent on specific conditions, including the expiration of a prepayment period and standard closing requirements, before it becomes fully effective.

Strategic Importance for Kiri

This move is a critical step in Kiri Industries' expansion into the critical minerals sector. By securing this loan facility, the company aims to establish firm off-take arrangements. This will ensure a stable, long-term supply of copper concentrate for Kiri's planned copper processing facility, thereby solidifying its position in the upstream raw material supply chain.

Kiri's Diversification Drive

Traditionally a major producer of dyes, dye intermediates, and basic chemicals, Kiri Industries is actively broadening its scope into critical minerals. The company is developing plans for an integrated copper smelting, refining, and fertilizer production facility in the Philippines. This strategy aligns with a non-binding Memorandum of Understanding (MOU) signed in August 2025 with Celsius Resources, the entity connected to the MCB project.

Key Impacts of the Deal

The acquisition offers several key advantages:

• Secured Raw Material Access: Kiri gains a direct pathway to secure future copper concentrate supply for its planned downstream processing operations.
• Upstream Integration: The deal enhances Kiri's presence and control over the upstream segment of the copper value chain.
• Strategic Diversification: It marks a significant advancement in Kiri's transition from a dyes-centric business toward a more diversified industrial profile.
• Philippines Foothold: The transaction deepens Kiri's strategic commitment and operational proximity to its future ventures in the Philippines.

Conditions and Potential Risks

The finalization of the loan assignment depends on Equinaire Holdings successfully completing its due diligence. Further conditions include the expiration of a prepayment period for the loan and the satisfaction of customary closing stipulations. These steps are essential for the deal to be formally concluded.

Industry Context

Kiri's initiative to acquire copper supply places it within India's growing critical minerals sector. Established players such as Hindustan Copper Ltd, Vedanta Ltd, and Hindalco Industries are already active in mining, smelting, and refining. Hindustan Copper is India's sole integrated copper producer and is expanding capacity, while Vedanta is a major refined copper producer. Hindalco operates a large smelting complex. Kiri's approach appears focused on securing upstream raw materials for its own downstream processing ambitions.

MCB Project Resources

The Maalinao-Caigutan-Biyog (MCB) Copper-Gold Project holds a mineral resource estimate of 313.8 million tonnes, averaging 0.48% copper and 0.15 g/t gold as of 2021. The project is located in the Cordillera Administrative Region of the Philippines and is operated by Makilala Mining Company, Inc.

Looking Ahead

Investors and stakeholders will be closely monitoring several developments:

• Due Diligence: Kiri Industries' successful completion of due diligence for the loan and associated assets.
• Loan Closing: The formal closing of the agreement and the official transfer of rights and securities.
• Off-Take Arrangements: The establishment of firm off-take agreements and preferential copper concentrate supply from the MCB project.
• Facility Development: Progress on Kiri's planned copper facility and its integration with secured raw material sources.