ASX-listed Mayur Resources (MRL) has secured a significant funding commitment for its Central Lime Project (CLP) in Papua New Guinea, with investors ACAM and other backers agreeing to subscribe to $10-million worth of convertible notes and commit a further $40-million in equity, subject to conditions.

The convertible note agreement is expected to fund construction activities for the CLP, provide working capital, and help retire existing debt, while the equity portion is aimed at taking the project to full-scale commercial production within 18 months of the final investment decision (FID).

Mayur says the long-life, high-quality lime resource will serve growing demand from the Asia-Pacific region, where supply constraints and increasing industrial activity are driving interest in key materials like lime. Lime is a critical component in industries ranging from agriculture to clean energy, where it helps in the conversion of minerals to battery-ready materials.

The $10-million in convertible notes, set to mature in 2026, bear a 10% yearly interest rate, payable quarterly. Investors may convert the notes into Mayur shares at a fixed price of A$0.2425 a share, or they can be redeemed by the company at 110% of face value prior to maturity.

The funds from this note issuance are expected imminently, providing immediate liquidity for the project’s early-stage construction activities and corporate needs.

The second phase of investment, a $40-million equity financing, will be contingent on several conditions, including satisfactory debt arrangements and shareholder approval. Investors are expected to acquire 44% of the CLP Project Company upon completion of the equity transaction.

Welcoming the funding commitment of investors, Mayur chairperson Richard Pegum said: "The $10-million convertible note third-party debt will see the retirement of third-party debt and provide the necessary runway for our corporate and construction programme, while we work towards considering a FID on the Central Lime project.”

The investment strengthens Mayur’s position in the lime sector, supporting Papua New Guinea's ambitions to reduce reliance on lime imports and positioning the country as a hub for industrial materials in the Asia-Pacific region.

The company is now focused on finalising agreements and meeting outstanding conditions, with an FID expected by the end of the year.

The $40-million equity is replacing the funding that Mick Davis' Vision Blue Resources would have invested for a 49% equity share in the CLP.