v3.25.4
Long-term debt
6 Months Ended
Dec. 31, 2025
Debt Disclosure [Abstract]  
Long-term debt Note 6 - Long-term debt
The Group's long-term debt consisted of the following (in thousands):
December 31,
2025
June 30,
2025
Principal balance of Syndicated Facility:
Tranche 1A
$13,992
$
Tranche 1B
2,781
Tranche 2
16,773
Total principal balance
33,546
Less: Unamortized debt issuance costs (1)
(954)
Long-term debt, net
$32,592
$
(1) Unamortized debt issuance costs related to undrawn portions of the Syndicated Facility are included in “Prepaid expenses and other non-current
assets” in our condensed consolidated balance sheet. As of December 31, 2025, we had $2.6 million in unamortized debt issuance costs on our SPCF
Syndicated Facility Agreement.
On September 29, 2025, the Group through its subsidiaries, SPCF Financing Pty Ltd, as Borrower (“SPCF
Financing”), Sturt Plateau Compression Facility Sub Pty Ltd, in its personal capacity and in its capacity as trustee for the
Sturt Plateau Compression Facility Sub Trust, and Sturt Plateau Compression Facility Mid Pty Ltd, in its personal capacity
and in its capacity trustee for the Sturt Plateau Compression Facility Mid Trust (together with SPCF Financing, the
“Obligors”), have entered into a syndicated facility agreement (the “Syndicated Facility Agreement”) with, among others,
Macquarie Bank Limited (“Macquarie”) and Evolution Trustees Limited as trustee for the Alpha Wave Credit (Australia)
Trust as original lenders (the “Lenders”).
Pursuant to the terms and conditions of the Syndicated Facility Agreement, the Lenders agreed to extend term loans
to the Group in an aggregate principal amount of up to A$179.8 million (the “Syndicated Facility”), comprised of (i)
Tranche 1A in an amount equal to A$75.0 million (“Tranche 1A”), (ii) Tranche B in an amount equal to A$14.9 million
(“Tranche 1B”) and (iii) Tranche 2 in an amount equal to A$89.9 million (“Tranche 2”). The Syndicated Facility remained
available for funding as of December 31, 2025, which was available at the Group's election. The Syndicated Facility
Agreement is secured by the following guarantees:
a guarantee given by the NT Government, up to A$75.0 million, in respect of Tranche 1A and Tranche 1B (the
“Tranche 1 Guarantee”). The Tranche 1 Guarantee will be released upon certain conditions being met relating to the
completion of the SPCF and production of commercial volumes of gas (such date, the “Tranche 1 Guarantee Release
Date”);
a guarantee given by the Company and its wholly-owned subsidiaries, Tamboran (West) Pty Limited and Tamboran
Resources Pty Ltd in respect of Tranche 1A and Tranche 1B (the “Deed of Guarantee”); and
a guarantee given by Formentera Australia Fund 1, LP and certain of its affiliates, related parties of the Group in respect
of Tranche 2.
pursuant to which each relevant entity agrees, among other things, to unconditionally guarantee, in full, the repayment
obligations of the Obligors in respect of Tranche 1A, Tranche 1B and/or Tranche 2 (as applicable).
In consideration for providing the Tranche 1 Guarantee, SPCF Financing agrees to pay the NT Government a
guarantee fee of 4% per annum on the lesser of (a) the Guarantee Limit, and (b) the daily balance of the principal
outstanding under Tranche 1A and Tranche 1B (the “Guarantee Fee”). The Guarantee Fee only becomes payable on the
termination of the gas sales agreement, payment by the NT Government under the Tranche 1 Guarantee or the purchase by
the NT Government from the Lenders of all amounts outstanding under Tranche 1A and Tranche 1B.
Any outstanding principal on the Syndicated Facility will accrue interest at a rate equal to Australian Bank Bill Swap
(“BBSW”) Rate plus a margin. Prior to the Tranche 1 Guarantee Release Date, the margin for Tranche 1A is 4% per annum
and the margin for Tranches 1B and 2 is 12% per annum. Following the Tranche 1 Guarantee Release Date, the margin for
all the Tranches will be 8% per annum. Interest payments are made in arrears depending on the interest selection period,
which can be 1-3 months following the funding of a Syndicated Facility Tranches. The Syndicated Facility will terminate
four years after financial close under the Syndicated Facility Agreement, September 29, 2029, and all the principal
payments on the outstanding balance of Syndicated Facility Tranches will be paid at that date.
The total amount of debt issuance costs incurred was $3.5 million consisting of $2.4 million being paid upfront to
original lenders and $1.1 million to the agent, Security Trustee and third party legal fees.
During the six months ended December 31, 2025 drawdowns of $14.0 million, $2.8 million, $16.8 million were
made from the Syndicated Facility for Tranches 1A , 1B and 2, respectively.
The Group is also required to pay a commitment fee of 1.6% per annum for Tranche 1A, and 4.8% per annum for
Tranches 1B and 2 on any undrawn principal balance of the Syndicated Facility up to the end of the availability period.
The Syndicated Facility may be prepaid early in accordance with the terms of the Syndicated Facility Agreement,
subject to an agreed prepayment premium. If prepayment occurs within the first 12 months after the date of the first
utilization, the prepayment premium is 3% of the amount being prepaid. If prepayment occurs within 12 – 18 months after
first utilization, the prepayment premium is 2% of the amount being prepaid. If prepayment occurs within 18 – 24 months
after first utilization, the prepayment premium is 1% of the amount being prepaid. After 24 months after first utilization, no
prepayment premium applies.
The Syndicated Facility Agreement also contains customary events of default, including among other things, our
failure to make any principal or interest payments when due, non-compliance, change of Obligor ownership, events which
have a material adverse effect and the occurrence of certain bankruptcy or insolvency events. Upon the occurrence of an
event of default, the Lenders may, among other things, accelerate our obligations under the Syndicated Facility Agreement.
As of December 31, 2025 the total gross amount of borrowings under our Syndicated Facility Agreement was
$33.5 million. Interest expense on the Syndicated Facility Agreement was $1.7 million for both the three months and six
months ended December 31, 2025, respectively.