Fortuna Metals Targets Resource Growth With Mkanda Aircore Drilling Expansion

Fortuna Metals Expands Aircore Drilling at Mkanda as Resource Growth Targets Take Shape

Fortuna Metals (ASX: FUN) has expanded its aircore drilling program at the Mkanda Project in Malawi from 5,000 metres to approximately 8,500 metres, according to an ASX announcement released on 25 August 2026. The Fortuna Metals Mkanda aircore drilling expansion in Malawi targets high-grade rutile and graphite zones and follows a review of the company's maiden inferred Mineral Resource Estimate (MRE). Management has pointed to material resource growth potential as drilling extends beyond previous depth limitations.

The expanded program, combined with an active metallurgical testing campaign and progressing QEMSCAN mineralogy work, represents a significant step in Fortuna's stated ambition to build a large-scale heavy mineral deposit on the Lilongwe Plain in Malawi.

Why Does This Announcement Matter?

According to the announcement, the decision to expand the aircore program reflects management's confidence following a detailed review of the maiden inferred MRE. Aircore drillholes completed to date have reached an average depth of 22 metres, well beyond the 8-metre depth that underpinned the original approximately 300 million tonne (Mt) resource estimate.

Fortuna CEO Tom Langley commented on the update:

"The ~300Mt resource is constrained to an 8m depth based on the hand auger drilling in 2025 and the assays we had as of the 30th May 2026. We have since had 125 drillhole assays returned that we can include in an updated MRE along with the results of the 5,313m of hand auger drilling already completed in 2026 and the ~8,500m of aircore drilling underway. We're confident the resource will grow in scale and quality."

Langley also referenced the nearby Kasiya project, operated by Sovereign Metals (ASX: SVM), where aircore drilling to approximately 20 metres depth is reported to have contributed to resource growth from around 600 Mt to approximately 1,800 Mt. Management has drawn on this precedent when discussing the potential implications of deeper drilling at Mkanda, though outcomes remain subject to confirmation through further assay results and resource modelling.

Drilling Program: What Has Been Done and What Comes Next?

The 2026 drilling campaign at Mkanda spans several completed and ongoing activities, summarised below.

The shift from hand auger drilling, limited to roughly 8 metres depth, to aircore drilling reaching an average of 22 metres is central to the company's resource growth thesis. This deeper method allows Fortuna to test the extent of the free-dig saprolite horizon — the zone where mineralisation can potentially be excavated without hard rock blasting.

Understanding the Key Concept: What Is Free Dig and Why Does It Matter?

For investors less familiar with mining terminology, the concept of free-dig depth underpins the significance of the 22-metre average aircore result.

Free dig refers to the depth of saprolite — a soft, weathered material sitting above harder bedrock — that can be excavated using standard earthmoving equipment such as excavators and bulldozers, without blasting or hard rock mining techniques.

This distinction matters for several reasons:

• Mining free-dig material is generally cheaper and operationally simpler than hard rock mining
• Deeper free-dig zones may allow more ore to be processed at lower cost per tonne
• The previous hand auger program was physically limited to roughly 8 metres, meaning the existing resource was effectively capped at that depth regardless of how far mineralisation actually extends
• Aircore drilling to 22 metres has confirmed mineralisation continues below the hand auger limit, suggesting the current approximately 300 Mt resource may represent only part of the total mineralised system, subject to further drilling and assay confirmation

Glossary of Key Terms

• Aircore drilling: A drilling method using a hollow drill bit to bring samples to surface via compressed air, effective in soft, weathered material
• Hand auger drilling: A manual or mechanised drilling technique using a screw-type bit, limited in achievable depth
• Saprolite (SAPL): Deeply weathered, soft rock near the surface that enables low-cost free-dig mining
• MRE (Mineral Resource Estimate): A formal estimate of the quantity and grade of mineralisation, classified under the JORC Code
• QEMSCAN: Quantitative Evaluation of Minerals by Scanning Electron Microscopy, used to determine detailed mineralogy of samples
• TiO2: Titanium dioxide, the primary commercial product derived from rutile, used in pigments, aerospace and titanium metal production

Metallurgical Results: Mkanda Rutile Compared Against Global Peers

Alongside drilling, Fortuna has advanced metallurgical test work to assess the commercial quality of Mkanda's rutile. According to the announcement, previous bulk sample processing at Mineral Technologies in Johannesburg produced a high-purity rutile concentrate assaying 96.66% TiO2.

Table 1: Rutile concentrate quality, Mkanda compared with global peers

Sovereign Metals' figures are derived from bulk testwork on samples representative of the first three years of mining at Kasiya, as disclosed in its Definitive Feasibility Study published 16 April 2026. Sierra Rutile and Kwale figures are sourced from a 2010 BGR assessment.

Three observations stand out from this comparison. Mkanda's reported TiO2 grade of 96.66% is the highest among the four projects listed. Furthermore, radioactive impurities, measured as combined uranium and thorium, sit at 17 ppm — the lowest of the group — a factor that can simplify handling and transport requirements. Zircon-related impurities of 0.18% are also among the lowest reported.

The next phase of metallurgical testing will focus on feed preparation for run-of-mine material, graphite recovery testing and flowsheet refinement. This work is intended to support future feasibility studies and engineering design, according to the company.

QEMSCAN Mineralogy: Building Toward Feasibility Studies

Fortuna has dispatched 86 samples from across the Mkanda project to Perth for detailed QEMSCAN analysis. The samples span multiple weathering horizons, including SOIL, FERP, MOTT, SAPL and PSAP domains, with three to four samples selected per hole.

The stated aim is to determine whether mineralogy varies materially across the project area and between weathering domains. Based on preliminary QEMSCAN work completed in 2025, the company expects mineralisation to be dominated by rutile throughout, with variation likely confined to secondary minerals such as zircon, ilmenite and monazite.

In addition, drilling has confirmed rutile mineralisation extending from surface to end of hole, with the company noting the mineralisation remains open at depth and that rutile is present into fresh rock in areas of enrichment.

The Multi-Commodity Angle: Graphite and Rare Earths Add Potential Upside

While rutile remains the primary focus, Fortuna is pursuing a multi-commodity approach at Mkanda that could add to overall project economics, according to the announcement.

The geological setting hosting rutile at both Kasiya and Mkanda is also known to carry coarse flake graphite, valued for battery and industrial applications. At Kasiya, graphite credits are reported to lift the ore reserve grade from 0.96% rutile to 1.51% rutile equivalent — an uplift Sovereign Metals has attributed to graphite by-product credits. Fortuna's metallurgical program includes graphite recovery testing with particular attention to recovery rates, grade and flake preservation.

Sovereign Metals has separately reported the identification of strategic heavy rare earths at Kasiya. Fortuna states it is conducting rare earth analysis in parallel across Mkanda, describing this as a priority focus area given the projects' shared geological setting. However, these additional commodity streams represent exploration upside rather than confirmed economic value at this stage.

Project Infrastructure: Logistics Considerations

Infrastructure access can present challenges for African mineral projects. According to the announcement, Mkanda's location offers several logistics advantages:

• Approximately 20km from Lilongwe, Malawi's capital city
• 25km from the Nacala rail corridor, as close as 11km at the northern boundary, connecting to the Nacala deep-water port in Mozambique
• 15km from high-capacity power lines
• Reported access to fresh water for potential future processing
• An in-country laboratory commissioned by Fortuna to handle initial heavy mineral separation steps, intended to reduce assay costs and turnaround times

Upcoming Catalysts and Timeline

The announcement outlines several near-term milestones for investors to monitor.

The updated MRE stands out as a significant near-term catalyst. With 125 additional drillhole assays already returned, 5,313 metres of 2026 hand auger results available, and approximately 8,500 metres of aircore drilling underway to an average depth of 22 metres, the inputs supporting a potentially larger resource estimate continue to accumulate.

Investment Considerations

Several factors are relevant to Fortuna's positioning within the sector.

Geological Setting

The Mkanda and Kampini projects sit approximately 20km south of Kasiya, described by Sovereign Metals as the largest rutile deposit in the world. The projects occupy the same broader Lilongwe Plain weathered gneiss formation, and the company reports that Mkanda's hand auger results show similarities to Kasiya in terms of grade, geometry and mineralisation style.

Resource Growth Potential

The existing approximately 300 Mt resource was constrained by hand auger drilling limited to 8 metres depth. Aircore drilling to 22 metres has confirmed mineralisation continues below that limit, though the extent of any resulting resource growth will depend on assay results and future MRE updates.

Product Quality

Mkanda's bulk sample result of 96.66% TiO2 and 17 ppm combined uranium and thorium places the project's rutile concentrate favourably against the peer comparison disclosed in the announcement, though commercial outcomes will depend on further test work and market conditions.

Multi-Commodity Potential

Graphite and rare earth analysis at Mkanda adds exploration upside that has not yet been incorporated into any resource estimate or economic study.

Infrastructure Position

The project's proximity to rail, port, power and water access, together with an in-country laboratory, may support more efficient project development relative to some peer-stage African projects, subject to future studies confirming development pathways.

Key takeaway: The Fortuna Metals Mkanda aircore drilling expansion in Malawi is advancing alongside metallurgical work, adjacent to Sovereign Metals' Kasiya deposit. With priority aircore assay results anticipated in November 2026 and an updated MRE expected to follow, the coming months represent a period of anticipated news flow for the company as it works to define the scale of its rutile, graphite and rare earth potential.

Ready to Follow Fortuna Metals' Progress at Mkanda?

With an expanded aircore drilling program underway, high-purity rutile metallurgical results in hand, and a potentially larger Mineral Resource Estimate on the horizon, Fortuna Metals (ASX: FUN) is advancing one of the more compelling early-stage heavy mineral projects on the Lilongwe Plain. Investors seeking to learn more about the company's Mkanda and Kampini projects, upcoming catalysts, and corporate strategy can visit the official Fortuna Metals website at fortunametals.limited.