Genmin Limited has reached an important milestone by signing a non-binding term sheet for a US$3 million convertible note offer with a prominent multi-billion-dollar family office from the United States. The family office, with an extensive 150-year history in the mining and steel industry, is set to provide funding in two tranches of US$1.5 million each. In exchange, Genmin Limited will issue a total of 3,000,000 convertible notes with a face value of US$1 each and accompanying unlisted options, further linking the deal to market performance targets. Under the terms outlined, the notes carry a maturity date of 30 June 2027 and are convertible into fully paid ordinary shares at a conversion price of AU$0.040, which represents a 25.1% premium to the recent 30-day volume weighted average price. Additionally, the notes accrue interest at a 12% annual rate, payable quarterly in Genmin shares based on the respective 30-day VWAP prior to each payment date. The convertible note structure also includes specific exercise conditions for the unlisted options: separate options with exercise prices of A$0.060 and A$0.080 will be triggered if the ASX’s 30-day VWAP meets or exceeds those thresholds, thus tying the instrument’s conversion to the company’s share price performance. The capital raised from this offer is aimed at advancing the development of the company’s flagship Baniaka iron ore project located in the Republic of Gabon as well as providing general working capital. Baniaka is a cornerstone project that has secured key supporting infrastructure and regulatory approvals, including significant mining permits and environmental certifications. The project is poised to become Gabon’s first commercial iron ore mine, with initial production slated for late 2026 and plans to start at 5Mtpa, potentially expanding to 10Mtpa. Market sentiment derived from recent developments presents a bullish perspective as the backing of a sophisticated, US-based family office reflects strong confidence in Genmin Limited’s prospects and the viability of the Baniaka project. This injection of capital and the flexible convertible notes structure could enable the company to accelerate its development timeline and reach production targets sooner. On the other hand, a bearish view might express concerns regarding potential dilution of existing shareholders if conversion or option exercise conditions are met, as well as the inherent risks linked to unsecured notes in a market where commodity prices can be volatile. Overall, the deal brings a mix of strategic funding and market-linked financial instruments that may bolster Genmin Limited’s development efforts while navigating the inherent risks associated with emerging mining projects.