Canadian Phosphate Extends Wapiti Strike to 9km, Expands Drill Program
Key Takeaways
- Canadian Phosphate has completed 18 drillholes totalling 2,638m at Wapiti, demonstrating approximately 9km of strike continuity of the phosphate-bearing seam along the eastern limb of the Red Deer Syncline.
- Eight of nine new holes (WP26-009 to WP26-017) intersected the Main Zone, with all 2026 intersections based on visual logging and pXRF only — assay confirmation is expected during the September 2026 quarter.
- The company has expanded beyond its original 3,000m program, committing additional capital to extended drilling, field mapping, and a high-resolution LiDAR and orthoimagery survey across the property.
- Exploration focus has pivoted to the western limb of the Red Deer Syncline, where WP26-018 has already intersected the Main Zone, supported by historical drilling data from Esso Resources (1980) and Fertoz/Canadian Phosphate (2012–2013).
- The Barnes bulk sample extraction has been rescheduled to Q2 2027, with approximately 30,000 tonnes of Montana inventory providing a near-term customer supply bridge at a lower gross margin than future Canadian-mined product.
Wapiti drilling extends phosphate strike to ~9km as CP8 expands program
Canadian Phosphate Limited has completed 18 drillholes totalling 2,638m at its Wapiti Phosphate Project in British Columbia, Canada, demonstrating approximately 9km of strike continuity of the phosphate-bearing seam along the eastern limb of the Red Deer Syncline. An additional nine drillholes (WP26-009 to WP26-017) have been completed since the company’s previous update, with the Main Zone intersected in eight of the nine new holes.
It is important to note that all 2026 intersections are based on visual logging, pXRF and downhole gamma surveys only and are not assay confirmed. Laboratory analyses are required to confirm grade and true widths, with assay results expected during the September 2026 quarter.
The drilling campaign is progressing on budget, and the geological information gathered has materially improved the company’s understanding of seam continuity, structure and geometry across the deposit. WP26-016 was abandoned prior to reaching the target horizon due to thick overburden and associated drilling difficulties.
| Hole ID | Northing | Dip (°) | Length (m) | Survey Method |
|---|---|---|---|---|
| WP26-001 | 6,038,786.4 | -45 | 162.63 | Trimble DA2 |
| WP26-002 | 6,038,785.1 | -75 | 177.52 | Trimble DA2 |
| WP26-003 | 6,037,973.1 | -60 | 178.00 | Trimble DA2 |
| WP26-004 | 6,037,299.2 | -45 | 151.99 | Trimble DA2 |
| WP26-005 | 6,037,298.7 | -75 | 78.00 | Trimble DA2 |
| WP26-006 | 6,036,450.2 | -45 | 89.97 | HH-GPS |
| WP26-007 | 6,036,450.2 | -75 | 94.05 | HH-GPS |
| WP26-008 | 6,035,012.7 | -45 | 118.00 | Trimble DA2 |
| WP26-009 | 6,035,012.1 | -75 | 166.04 | Trimble DA2 |
| WP26-010 | 6,035,659.2 | -45 | 223.00 | Trimble DA2 |
| WP26-011 | 6,036,450.2 | -75 | 85.07 | HH-GPS |
| WP26-012 | 6,034,396.7 | -45 | 162.90 | Trimble DA2 |
| WP26-013 | 6,034,395.5 | -85 | 137.06 | Trimble DA2 |
| WP26-014 | 6,033,581.0 | -45 | 130.06 | HH-GPS |
| WP26-015 | 6,033,581.0 | -75 | 197.00 | HH-GPS |
| WP26-016 | 6,032,097.0 | -45 | 29.00 | HH-GPS |
| WP26-017 | 6,032,097.0 | -75 | 71.00 | HH-GPS |
| WP26-018 | 6,037,055.0 | -45 | 387.00 | HH-GPS |
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What is strike continuity and why does it matter for a phosphate project?
Strike continuity refers to the lateral extent of a mineralised horizon along its geological trend — in simple terms, how far a mineralised seam can be traced along the surface in one direction. For sedimentary phosphate deposits like Wapiti, this matters more than it might for some other deposit types.
Sedimentary phosphate systems form in layered geological sequences, meaning the mineralisation tends to follow predictable, sheet-like geometry rather than irregular veins or pods. When drilling consistently intersects the same seam over a long lateral distance, it suggests the deposit has scale and continuity.
Key points for investors to understand at this stage:
- Strike continuity of ~9km indicates a laterally extensive mineralised horizon, which is a positive indicator of deposit scale
- Assay results (expected during the September 2026 quarter) will confirm grade and true widths — the data that ultimately determines economic potential
- True widths of the Main Zone have not yet been defined; all reported intervals are downhole lengths
- A larger, more continuous deposit generally supports a stronger Mineral Resource Estimate, the formal classification that underpins any future resource development
The ~9km strike result is encouraging geological progress, but it remains a precursor to the assay data that will provide the hard numbers.
Exploration pivots to western limb as program scope expands
Focus shifts to the western limb
With the eastern limb now traced across approximately 9km of strike, Canadian Phosphate has shifted its exploration focus to the western limb of the Red Deer Syncline. WP26-018 has already intersected the Main Zone on this limb, providing an early positive indicator for its prospectivity.
Historical drilling previously undertaken by Esso Resources in 1980 and by Fertoz/Canadian Phosphate between 2012 and 2013 will guide initial targeting on the western limb. Using this existing geological information as a foundation is expected to provide an efficient starting point for new drilling and help the company progressively build its understanding of seam continuity and geometry across this part of the project.
Additional investment committed to Wapiti
Based on results to date, the company has decided to expand beyond the previously announced 3,000m program. The Board considers continued advancement of Wapiti to represent a compelling use of capital, particularly while drilling contractors, personnel and associated infrastructure remain mobilised on site.
Additional investment will fund:
- Extended drilling beyond the 3,000m program to increase Mineral Resource growth potential
- Supplementary field mapping and sampling
- A high-resolution LiDAR and orthoimagery survey across the property
The LiDAR survey will provide a high-resolution topographic surface intended to underpin future geological, engineering and environmental studies. Combined with planned field mapping and sampling, it will support both desktop and field-based geological assessment to help refine future drill targeting.
Managing Director Daniel Gleeson
“Our focus has now moved to the western limb of the project, where historical drilling gives us a valuable starting point… we will allocate additional resources to Wapiti this year than initially planned, aiming to continue expanding the Mineral Resource Estimate while developing a much more comprehensive geological understanding of what we believe is a significant phosphate system.”
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Barnes bulk sample rescheduled — near-term supply secured from Montana inventory
The decision to expand the Wapiti program has a direct consequence for the Barnes asset: the Barnes bulk sample extraction has been postponed to Q2 2027. The company has addressed this directly, framing it as a capital allocation decision rather than an operational setback.
The key points in the revised approach:
- Barnes bulk sample extraction rescheduled to Q2 2027
- Approximately 30,000 tonnes of previously mined phosphate rock available in Montana provides near-term customer supply
- Montana product is expected to generate a lower gross margin than future Canadian-mined product — the company acknowledges this trade-off explicitly
- Revised timing is anticipated to allow key customers to transition from commissioning to continuous operations, which is expected to support larger and more consistent future product demand volumes
- The change frees capital to accelerate the successful Wapiti exploration program while drilling infrastructure remains active on site
The Montana inventory provides a genuine operational bridge. It means customer relationships can be maintained without the capital expenditure associated with mining and extracting the Barnes bulk sample at this point in time.
Managing Director Daniel Gleeson
“This also better aligns product availability with the anticipated increase in customer demand as a key customer transitions from plant commissioning to continuous operations. This timing is expected to support larger and more consistent product volume demand while maintaining disciplined working-capital management and minimising the need to hold excess inventory ahead of time.”
The near-term margin impact from Montana product is the honest cost of this decision. The strategic logic is that accelerating Wapiti exploration now — while the geological momentum and mobilised infrastructure make it efficient to do so — positions the company to develop a more comprehensive understanding of what it believes is a significant phosphate system before committing further capital to production-stage activities at Barnes.
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