Develop Global Reports Record A$147 Million Quarterly Revenue as Woodlawn Copper Output Jumps 47%

Woodlawn Mine Achieves Record Production and Revenue in June Quarter

Develop Global's Woodlawn copper-zinc mine in New South Wales delivered its strongest quarter since commissioning, with copper-equivalent production reaching 4,625 tonnes in the June 2026 quarter, a 47% increase from 3,147 tonnes in the March quarter. This surge was driven by a 27% improvement in feed grade to 2.73% copper-equivalent, closely matching the Woodlawn Ore Reserve grade of 2.80%. The mine processed 172,283 dry metric tonnes, primarily from stoping operations in the Kate lens, with minor ore from the G, H, and I lenses.

Woodlawn generated record revenue of A$84 million in the June quarter from selling 4,547 tonnes of copper-equivalent material, a 244% increase from A$23 million in the prior quarter. This strong revenue reflects higher production volumes and favourable commodity prices. The company did not disclose June quarter operating costs; however, the March quarter operating cost was A$39 million. This performance highlights Woodlawn's successful ramp-up phase and its growing contribution to the consolidated group.

Marked Recovery Rate Gains Across All Metals at Woodlawn

Processing recoveries at Woodlawn improved significantly across all five metal streams in the June 2026 quarter compared to March. Copper recovery rose to 80%, up 15 percentage points; zinc recovery increased to 75%, up 6 points; lead recovery climbed to 80%, up 23 points; silver recovery jumped to 71%, up 27 points; and gold recovery surged to 48%, up 73 points. These gains indicate ongoing optimisation of the processing plant and better alignment with ore metallurgical properties.

Management expects further recovery improvements in the September 2026 quarter, attributing potential gains to continued plant refinements and mining of larger, higher-grade underground ore. Enhanced recoveries materially boost payable metal content per tonne processed, improving margins and cash flow generation.

Pioneer Dome Lithium Infill Drilling Surpasses Expectations

At the Pioneer Dome lithium project in Western Australia, a 20,000-metre infill and exploration drilling program delivered average intersections of 15.8 metres at 1.45% lithium oxide (true width), exceeding the current resource grade of 1.2% Li2O. This indicates potential for a resource grade upgrade in the updated model expected in the September 2026 quarter. The results suggest the ore body is more prospective than previously estimated.

Open pit construction is underway, supported by a A$70 million mining and crushing contract awarded to MLG Oz during the quarter. The company targets direct shipping ore (DSO) sales to commence in the December 2026 quarter, marking the project's first revenue phase. Stage two underground operations are under evaluation, with geotechnical drilling, mine design, and optimisation ongoing; a final investment decision is planned for the September 2026 quarter.

US$400 Million Trafigura Debt Facility Supports Multi-Project Development

During the June 2026 quarter, Develop Global secured a US$400 million (approx. A$570 million) debt facility and warrant package with Trafigura. This funding supports the Pioneer Dome lithium and Yitirrti copper-silver-zinc projects and refinances the existing Woodlawn facility on highly favourable terms. As of 30 June 2026, A$112 million had been drawn, leaving A$388 million undrawn for ongoing capital needs.

This agreement enhances financial flexibility and reduces funding risk amid supportive commodity prices. Additionally, Develop Global and Trafigura entered a binding Cooperation Agreement aiming to explore future partnership opportunities, indicating a potential long-term strategic relationship. The company held A$123 million in cash at 30 June 2026, combined with the facility drawdown, providing strong liquidity to fund growth and operations.

Yitirrti Copper-Silver-Zinc Project Construction Progresses Ahead of Schedule

Construction at Develop Global's Yitirrti (Sulphur Springs) copper-silver-zinc project is advancing faster than planned. The company completed 890 metres of underground development in the June 2026 quarter, totaling 2,323 metres to date. Access road and earthworks are well advanced. The project aims for first concentrate production in the June 2028 quarter, less than two years from the report date.

Total capital expenditure for Yitirrti is expected to be A$450 million. During the quarter, A$7 million was invested in growth capital at Yitirrti as part of a A$27 million quarterly capital program. The June 2028 commissioning will mark a major milestone, adding a third producing asset and significantly boosting consolidated cash flow alongside Woodlawn's ramp-up and Pioneer Dome's lithium DSO sales.

Mining Services Division Achieves Record A$63 Million Revenue from External Contracts

Develop Global's mining services division posted record external revenue of A$63 million in the June 2026 quarter, substantially contributing to the consolidated A$147 million revenue. The division began operations under a A$200 million contract with OceanaGold at the Waihi mine in New Zealand and secured a A$274 million contract at Core Lithium's BP33 lithium mine, expected to generate further revenue growth in coming quarters.

This division provides diversified revenue independent of the company's own mining timelines and commodity price exposure. The Bellevue Gold contract ended on 31 July 2026, but the skilled workforce and equipment are being redeployed to other units, maintaining efficiency. The sizeable Core Lithium and OceanaGold contracts underscore market confidence in Develop Global's operational capabilities and offer medium-term revenue visibility.

Consolidated Group Revenue Hits A$147 Million with Notable Unsold Concentrate Inventory

Develop Global reported record consolidated group revenue of A$147 million for the June 2026 quarter, up 108% from A$70 million in March 2026. This growth reflects contributions from Woodlawn (A$84 million) and mining services (A$63 million). The increase highlights Woodlawn’s transition to commercial production and the scale of mining services contracts.

As of 30 June 2026, the company held approximately A$25 million in unsold concentrate inventory, comprising 9,937 tonnes awaiting sale or processing. This stockpile indicates production outpacing sales, potentially due to contract timing, logistics, or deliberate inventory build. Capital expenditure totaled A$27 million for the quarter, allocated to Woodlawn (A$13 million), Yitirrti (A$7 million), mining services (A$5 million), and Pioneer Dome plus exploration (A$2 million), reflecting ongoing investment in growth and operations.

Woodlawn Resource Growth Drilling Extends Mineralisation and Supports Longer Mine Life

Develop Global is actively pursuing resource growth at Woodlawn through exploration and infill drilling aimed at extending mineralisation and potentially lengthening mine life beyond current reserves. A second drill rig was deployed during the quarter under project DM15 to accelerate resource definition. Management reports that drilling has extended mineralisation across several lenses, indicating significant potential to expand the resource base and operational mine life.

This exploration is strategically vital to mitigate finite reserve risks and reduce execution uncertainty by defining additional ore ahead of production. Given Woodlawn's strong production and revenue performance, investment in resource drilling is supported by proven mine capability and the prospect of future cash flow growth. Discovering or extending mineralisation enhances long-term value and provides options for production expansion or mine life extension.

Sector Dynamics and Commodity Exposure for Develop Global

Develop Global is a diversified mining company with exposure to copper, zinc, lead, silver, and lithium across multiple market cycles. Woodlawn and Yitirrti assets benefit from rising copper demand driven by electrification, renewable energy infrastructure, and decarbonisation trends. The Pioneer Dome lithium project positions the company to capitalize on growing battery metals demand fueled by electric vehicle adoption and energy storage needs worldwide.

Commodity prices for copper and lithium during the June 2026 quarter were supportive, reflected in record revenue and management’s comments on "very robust margins" at Pioneer Dome DSO operations. Nonetheless, prices remain subject to macroeconomic, supply-demand, and geopolitical factors. The company’s diversified commodity and asset base provides some natural hedging, though exposure to mining sector cyclicality and metal price volatility persists.

Key Risks and Execution Challenges for Develop Global's Expansion Plans

Develop Global’s growth depends on the timely and successful development of Pioneer Dome and Yitirrti projects, both under construction with significant capital commitments. Pioneer Dome aims to start DSO production in December 2026, and Yitirrti targets first concentrate in June 2028. Delays, cost overruns, or operational issues could affect project timing and economics. The company’s reliance on the A$570 million Trafigura debt facility requires monitoring of covenant compliance, drawdown timing, and facility conditions.

The mining services division’s revenue depends on securing and executing third-party contracts, which face competitive bidding, client timelines, and operational demands. Disruptions or early terminations of major contracts like Core Lithium BP33 or OceanaGold Waihi could materially reduce revenue. Woodlawn’s continued ramp-up and recovery improvements rely on processing plant optimisation and mining higher-grade underground ore, requiring ongoing capital and operational discipline. Commodity price volatility remains a significant risk affecting revenue and profitability across all assets.