Jubilee Metals Reports Surge in Copper Revenue and Profit in H1 FY2026

Jubilee Metals’ H1 FY2026: Copper revenue jumps, margins improve, strategy refocused on Zambia

I’ve been through Jubilee Metals’ unaudited interims for the six months to 31 December 2025. The big picture: copper is finally doing the heavy lifting, the South African disposal has cleaned up the balance sheet, and the pieces are slotting into place for a more integrated Zambia-first business. It is not profit nirvana yet – costs and rain have bitten – but the direction of travel has improved.

H1 FY2026 at a glance: the numbers that matter

Note: EBITDA is earnings before interest, tax, depreciation and amortisation – a proxy for cash operating performance.

Operations: Roan upgrade live, Sable fed, Molefe scaling despite the rains

Roan concentrator is moving up a gear

The upgraded Roan plant is fully operational and targeting 40,000 tonnes per month throughput by the end of Q4 FY2026 (from 30,000 tpm currently). Roan’s copper output jumped to 1,246 t, and there is a further 482 t of oxide fines waiting for the new dewatering system.

Commissioning of the fully integrated thickening and dewatering setup is slated to commence on 7 April 2026, after a three-week weather-related delay. Management expects this to lift copper cathode production at Sable by in excess of 100 tonnes per month – a material kicker for H2.

Post period, Jubilee also secured additional high-grade ROM ore at approximately 1.65% Cu worth US$1.8 million, further underpinning Roan’s feedstock.

Molefe mine-to-metals ramp continues

At Molefe, 181,890 t of copper reef were mined in H1, with 9,130 t delivered to Sable at an average grade of 1.84%. Heavy rains battered local roads and bridges, slowing deliveries on safety grounds, but repairs are underway and a return to full capacity is expected in April 2026.

Phase 1 infill drilling has confirmed continuity of near-surface oxide mineralisation, supporting Jubilee’s plan to expand Molefe to 8,500 tpm of ore to Sable by Q4 FY2026. Phase 2 drilling is targeting the eastern extension to size the mineralised zone and support a formal resource estimate. Stockpiled material at site already exceeds 2.3 Mt, to be upgraded on site before refining at Sable.

Guidance: under review for sensible reasons

FY2026 copper production guidance of 4,500–5,100 t is under review. Three short-term factors are at play:

• Seasonal rains at Molefe disrupting ore haulage to Sable, with logistics repairs in progress.
• A pre-stripping phase to connect Pits 2 and 3 will temporarily reduce mining rates over about nine weeks.
• Start-up and ramp of the expanded dewatering circuit at Roan were pushed by three weeks for safety during downpours, with commissioning expected in April 2026.

My take: all three are transient. If the dewatering circuit lands on the revised timetable and Molefe haulage normalises in April, H2 should see a cleaner run-rate, helped by higher copper prices.

Costs and margins: inflationary headwinds, but more saleable units help

Copper cost per tonne rose 35.6% to US$8,062/t, with cost of production up 38.7% to US$11.0 million. Key drivers were a stronger Zambian Kwacha, an 85.3% jump in electricity unit cost, higher acid and reagent prices and usage, and ROM ore costs that rose alongside copper prices and higher volumes at Roan.

Even so, copper gross margin expanded to 21.8% as more output was sold as saleable copper units and pricing tailwinds helped. Finance costs rose to US$2.9 million on bigger working capital facilities to secure ROM feed.

Balance sheet reset: SA asset sale executed, debt cut, assets unencumbered

The disposal of the South African chrome and PGM business completed on 31 December 2025. Cash received totalled US$19.0 million in the period and a further US$6.0 million post period. There is deferred consideration of up to US$65.0 million, with US$20.6 million current and US$44.4 million non-current on the balance sheet. Crucially, the purchaser assumed around US$56.8 million of loans and trade finance.

Jubilee ended the half with US$11.5 million cash, net debt of US$8.0 million, and unencumbered property, plant and equipment. Post period, bank facilities were reduced by US$10.1 million. The Absa US$7.5 million revolving facility is fully drawn and up for review at the end of April 2026 as part of a broader debt restructuring. Something to watch.

Strategic progress: resource-backed copper growth

Large Waste Project: scale plus modular upside

Jubilee is acquiring the Large Waste Project for US$18 million – a 240 Mt surface stockpile created by historic mining. A US$2.6 million stage payment was settled post period, leaving US$5.4 million outstanding. The plan is to pre-classify material and deploy modular processing units, each estimated to produce about 2,250 tpa of copper units. Early monetisation is possible via upgraded saleable units.

Partnership talks with two established Zambian operators are advancing, with a JV decision anticipated by the end of FY2026. A prior sale agreement valued at US$6.75 million for 10 Mt (4.2% of the pile) underscores the inherent value.

Mufulira Slag Project

Jubilee won the tender to process slag dumps, subject to commercial terms. Progress is slower than hoped after a change in the counterparty’s ownership, but discussions continue.

ESG and safety: tangible improvement

Safety continues to trend the right way with a Lost Time Injury Frequency Rate of 0.23, down from 0.65. Jubilee also set a target to cut Scope 1 and 2 emissions intensity by 25% over 10 years from a 2025 base, with initiatives around energy efficiency and community investment ongoing.

The good, the bad, and the watchlist

Positives

• Strong copper price backdrop and 70.5% jump in copper revenue.
• Material uplift in copper gross profit and margins; copper EBITDA turned positive.
• Roan upgrade operational, with dewatering commissioning due in April and >100 tpm cathode uplift expected.
• Balance sheet strengthened by the South African disposal; net debt reduced; assets unencumbered.
• Molefe drilling supports a formal resource estimate and mine expansion to 8,500 tpm by Q4 FY2026.

Negatives

• Group still loss-making: US$4.7 million loss after tax from continuing operations; total loss US$9.3 million.
• Cost inflation across power, reagents and ore; Kwacha strength added pressure.
• FY2026 copper guidance under review due to weather, mine plan pre-stripping and dewatering delays.
• Reliance on deferred consideration (up to US$65.0 million) from the SA disposal – timing and counterparty risk.
• Share issuance post period to settle US$4.4 million of obligations implies dilution.

What to watch next

• Roan dewatering commissioning from 7 April 2026 and the pace of the ramp – key for cathode volumes at Sable.
• Restoration of full Molefe haulage in April and progress on the nine-week pre-stripping to link Pits 2 and 3.
• Any update to FY2026 production guidance once weather and commissioning effects normalise.
• Progress on JV terms for the Large Waste Project by year-end FY2026.
• Outcome of the Absa facility review at end-April and broader debt restructuring.
• Shareholder vote and court approval for the proposed capital reduction to create distributable reserves.

Bottom line

Jubilee is exiting a messy transition and edging into a cleaner copper story in Zambia. H1 shows the model working: more saleable copper units, better margins, and a balance sheet no longer dominated by South African chrome and PGM volatility. There is still heavy lifting to do on costs and execution through the rainy season, but if April’s commissioning and haulage recovery land as guided, H2 could look meaningfully stronger.

Investor call

Management hosts an investor presentation at 11:00 a.m. UK time on 7 April 2026 via Investor Meet Company: https://bit.ly/3kT8Fb9. Questions can be sent to [email protected].