Minerals 260's Bullabulling Gold Resource Surges to 4.5Moz, Setting Stage for Critical 2026 Milestones

Minerals 260 (ASX:MI6) has delivered a major boost to its flagship Bullabulling gold project in Western Australia, announcing a sharp increase in the mineral resource estimate to 4.5 million ounces. The upgrade, driven by an extensive drilling campaign and high-grade intercepts, provides a firmer foundation for the project's long-awaited development pathway.

The company, which has been a loss-making explorer, now hinges its investment thesis on Bullabulling evolving into a cornerstone asset. The enlarged resource base lends credibility to its recent capital raise and management restructuring. However, analysts note the bar for execution has been raised accordingly. The immediate focus shifts to converting this resource into a robust pre-feasibility study (PFS), targeted for 2026, while managing project economics amid industry-wide cost pressures.

"This is the inflection point the market has been waiting for," said Michael Thorne, a resources analyst at Perth-based Veritas Capital. "The 4.5Moz mark changes the scale of the conversation. But the real work starts now—proving it can be mined economically. The 2026 PFS will be the true litmus test."

The company's substantial cash reserves are expected to fund this next phase without immediate dilution, a key concern for shareholders. Yet, risks persist, including the relatively untested management team now steering a much larger project and the perennial challenges of gold project development in a high-cost environment.

Valuation remains a contentious point. Community estimates on platforms like Simply Wall St show a wide dispersion, from A$0.27 to A$2.73 per share, reflecting divergent views on how to price the upgraded resource against execution and dilution risks.

Investor Commentary:

• Sarah Chen, Portfolio Manager (Melbourne): "This is a substantive de-risking event. The resource growth provides a tangible asset base. If they can deliver a positive PFS on schedule, it re-rates the entire company."
• David Rourke, Retail Investor (Sydney): "Finally, some real progress! I've been holding through the quiet years. This upgrade validates the strategy. The cash buffer is a relief—hopefully it means no more capital raises at depressed prices."
• Marcus Wright, Independent Mining Consultant (Blogger): "Color me skeptical. Another million ounces on paper doesn't pay the bills. MI6 has zero revenue and a 'full' price-to-book. This just kicks the can down the road to 2026. The market is celebrating a map, not a mine."
• Priya Sharma, Geologist (Perth): "The drilling results underpinning this are technically sound. The geology is consistent. The challenge was always scale, and now they have it. The next step is metallurgy and mine planning—the less glamorous but crucial work."

This analysis is based on historical data, analyst forecasts, and publicly available company announcements. It is intended for informational purposes and does not constitute financial advice. Investors should consider their own objectives and financial situation.