Celsius Resources Limited faces a renewed foreclosure threat after the Regional Trial Court of Makati denied its petition for interim protection, clearing the way for a scheduled public auction of a major project interest.

The dispute centers on the Maalinao-Caigutan-Biyog Copper-Gold Project in Kalinga, Philippines, which serves as the company's flagship development asset. The disputed 40 percent interest in project operating company Makilala Mining Company Inc. is held through subsidiary Makilala Holding Limited.

Equinaire Holdings Limited initiated the auction process after posting a PHP201 million counterbond, which lifted a temporary order of protection that had previously blocked enforcement action. Equinaire has scheduled a public auction to sell the 40 percent shareholding on 8 September 2026.

The court denied the protection petition after finding that any potential loss arising from a foreclosure would be economic in nature and addressable through arbitration. However, the court explicitly noted that its decision does not determine whether an event of default actually occurred, leaving all substantive questions open for formal arbitration.

Celsius refutes that any default occurred and maintains that Equinaire lacks the contractual capacity to enforce security or sell the shareholding.

The company plans to file a motion for reconsideration with the court by the end of the week. If that motion is unsuccessful, Celsius intends to pursue an appeal with the Court of Appeals while simultaneously revising its notice of arbitration to launch formal proceedings.

Even if Equinaire proceeds with the auction on 8 September 2026, registering any resulting share transfer with the Philippine Securities and Exchange Commission requires a tax clearance certificate from the Bureau of Internal Revenue. That administrative clearance process typically requires at least 27 working days, or approximately six to eight weeks, providing additional time for Celsius to pursue legal challenges and seek interim orders through the arbitral tribunal.

Read the full announcement: Corporate Update