Alkane Resources Limited has reported positive results from extension and infill drilling at the Björkdal Gold Mine in Sweden, including high-grade intercepts that extend known mineralisation to a depth of 762 m below surface. The drilling program, comprising 29 holes totaling 15,568 m, targeted the Eastern and Northern extensions of the underground mine. The results indicate the mineral system remains open at depth and along strike, supporting potential increases in production and mine life.

The Eastern Extension program delivered the deepest intercept recorded at the mine to date, with drillhole MU25-021 returning 3.5 g/t gold over 3.20 m at -976 RL (-762 m elevation). The program also yielded the best result from drillhole MU25-030, which returned 86.1 g/t gold over 1.25 m. Other significant results from the Eastern Extension included 81.3 g/t gold over 4.40 m in MU25-022 and 78.3 g/t gold over 0.30 m in MU26-005.

In the Northern Extension, drilling confirmed mineralised veins up to approximately 600 m from existing underground development. The best result from this area was 31.5 g/t gold over 0.85 m in drillhole MU26-002. Additional highlights included 25.2 g/t gold over 0.60 m in MU25-027 and 15.4 g/t gold over 4.00 m in MU25-032.

Alkane Managing Director & CEO, Nic Earner, stated that the positive results indicate the mineral system is still strong and open at depth. He noted that these results, together with the new resource at Storheden, support confidence in the potential to increase production and the longevity of the operation.

Assay Highlights

Eastern Extension

Northern Extension

The Björkdal Gold Mine is located on the eastern margin of the Skellefte Belt in northern Sweden. The operation became wholly owned by Alkane Resources following its merger with Mandalay Resources in August 2025. Since production began in 1988, the mine has produced approximately 1.69 million ounces of gold.

Alkane Resources has reported full-year production of 168,337 gold equivalent ounces (AuEq) for the period ending 30 June 2026, achieving the top half of its guidance range of 160,000 to 175,000 AuEq ounces. The company recorded a quarterly production of 42,491 AuEq ounces for the three months ended 30 June 2026. Alkane's cash, bullion, and listed investment balance totaled $454 million at the end of the quarter, representing a $104 million increase from the previous quarter and a $214 million increase from December 2025.

The company's three operating mines contributed to the consolidated output, with total gold production reaching 163,912 ounces and antimony production totaling 1,298 tonnes for the financial year. Alkane remains debt-free except for equipment finance of $17 million as of 30 June 2026. Pro forma liquidity stands at $549 million, including an undrawn $110 million revolving credit facility.

Production and Sales Summary

The following table details the production and sales figures for the Group for the quarter and year-to-date periods:

Operational Highlights

Alkane Managing Director & CEO, Nic Earner, stated that the company had another solid quarter of production from its three operating mines. He highlighted the continued balance sheet strengthening, noting the $454 million in cash, bullion, and listed investments at quarter end. During the quarter, the company filled hedging for 8,500 ounces of gold and made tax instalments of $16 million.

The merger with Mandalay Resources, which completed on 5 August 2025, influenced the basis for FY2026 statutory reporting. While Group YTD production reflects 100% contribution from Tomingley, Costerfield, and Björkdal, Alkane's statutory reported production for FY2026 reflects production from Costerfield and Björkdal only from the merger completion date. Attributable guidance for FY2026 was set at 155,000 to 168,000 AuEq ounces.