Hillgrove Resources Limited has entered into a new copper hedge program covering 3,600 tonnes of production over a 12-month period, locking in a fixed price of A$20,046 per tonne, which equates to A$9.09 per pound.

The arrangement uses a fixed-price swap structure to convert copper exposure into Australian dollars. This mechanism provides fixed-cost coverage across a targeted portion of output while ensuring the majority of production remains fully exposed to spot market prices. The new agreement follows the complete closeout of Hillgrove's previous hedge book with Freepoint Metals & Concentrate LLC in July 2026.

The transaction is part of the broader banking relationship established when Hillgrove appointed the Commonwealth Bank of Australia as its tier-1 banking partner in July 2026. That banking appointment delivered ongoing hedging lines alongside a $6.6 million bank guarantee to cover the rehabilitation liability for the Kanmantoo copper mine in South Australia.

“This hedge is a measured step in implementing our risk-management framework. Locking in pricing for a portion of our production to cover a significant portion of the Company's fixed costs while maintaining flexibility to benefit from market movements. It positions the business well as we continue to advance our operational and development priorities.”

— Bob Fulker, Chief Executive Officer & Managing Director

The 12-month hedge program is scheduled to commence in September 2026 and run through to August 2027. Hillgrove confirmed that the swap structure does not alter the company's existing production guidance or operational expectations at the South Australian copper operation.

Read the full announcement: Copper Hedges to Provide Fixed-Cost Coverage