Björkdal – Near Mine Exploration Update
CONTACT: NIC EARNER, MANAGING DIRECTOR & CEO, ALKANE RESOURCES LTD, TEL +61 8 9227 5677
INVESTORS & MEDIA: NATALIE CHAPMAN, CORPORATE COMMUNICATIONS MANAGER, TEL +61 418 642 556
Level 4, 66 Kings Park Rd, West Perth WA 6005, AUSTRALIA (PO Box 768, West Perth WA 6872, AUSTRALIA)
Telephone: +61 8 9227 5677 alkres.com [email protected]
INVESTOR ANNOUNCEMENT and
MEDIA RELEASE
9 July 2026
Björkdal – Near Mine Exploration Update
Perth, Western Australia – Alkane Resources Limited (ASX: ALK; TSX: ALK; OTCQX: ALKRY) ("Alkane"
or "the Company") is pleased to report further positive results from extension and infill drilling at the Björkdal
Gold Mine in Sweden.
Program Summary
An additional 29 drill holes have been completed targeting the Eastern and Northern extensions of the
Björkdal mine since Alkane's previous release (ASX announcement 15 October 2025 titled ‘Björkdal
Resources and Reserves Statement FY25’)
The new drilling, completed in rolling phases of extension and infill across both target areas, has
significantly enhanced confidence in the understanding of vein geometry and grade- controlling
structures.
Grade continuity within both areas has been supported by the drilling with high-grade intercepts within
the eastern extension extending the known mineralisation to a depth of 762 m below surface which is
the deepest yet recorded in the field.
Current and planned exploration drilling will continue to target along-strike and down-dip extensions of
the known mineralisation, with the objective of further expanding mineral resources and supporting
future mine-life growth.
Assay Highlights
Eastern Extension
o 86.1 g/t gold over 1.25 m (ETW 0.80 m) in MU25-030
o 81.3 g/t gold over 4.40 m (ETW 2.20 m) in MU25-022
o 78.3 g/t gold over 0.30 m (ETW 0.21 m) in MU26-005
o 39.3 g/t gold over 0.50 m (ETW 0.41 m) in MU25-011
Northen Extension
o 31.5 g/t gold over 0.85 m (ETW 0.22 m) in MU26-002
o 25.2 g/t gold over 0.60 m (ETW 0.42 m) in MU25-027
o 17.1 g/t gold over 0.80 m (ETW 0.40 m) in MU25-016
o 15.4 g/t gold over 4.00 m (ETW 1.37 m) in MU25-032
Alkane Managing Director & CEO, Nic Earner, said:
“We are encouraged by the results coming from our near mine extension programs at Björkdal. The positive
results indicate that the mineral system is still strong and open at depth. These results, together with the
new resource at Storheden, support our confidence in the potential to increase production in addition to
the longevity of the operation.”
2/24
Björkdal – Near Mine Exploration Update – 9 July 2026
Björkdal Gold Mine
Alkane Resources Ltd 100%
The Björkdal Gold Mine is located on the eastern margin of the prolific Skellefte Belt in northern Sweden,
approximately 28 km northwest of Skellefteå and 750 km north of Stockholm (Figure 1).
The deposit was discovered in 1983 by Terra Mining AB through a glacial till sampling program that
identified anomalous gold values. Follow -up exploration led to the discovery of gold mineralisation in
bedrock in 1985, with resource definition drilling com mencing in 1986. Concurrent metallurgical test work
and feasibility studies delivered positive results, paving the way for the commencement of mining
operations in July 1988.
Since production began, Björkdal has undergone several changes in ownership while continuing to operate
as a significant gold- producing asset. Most recently, the operation became wholly owned by Alkane
Resources following its merger with Mandalay Resources in August 2025.
Production is supported by the 1.4 Mtpa processing plant, which has been progressively upgraded since
commissioning. Current ore feed is sourced from underground mining operations and surface low -grade
stockpiles.
Since the start of production in 1988, the Björkdal Mine has produced approximately 1.6 9 million ounces
of gold. Continued exploration success has delivered growth in both Mineral Resources and Ore Reserves,
with the current Ore Reserve reported, as of 30 June 2025, of 13.05 Mt grading 1.29g/t gold (ASX
announcement 15 October 2025 titled ‘Björkdal Resources and Reserves Statement FY25’)
Figure 1: Regional map showing the location of Björkdalsgruvan relative to the broader Skellefte Belt, highlighting known base
and precious metal occurrences (SWEREF 99TM).
3/24
Björkdal – Near Mine Exploration Update – 9 July 2026
Figure 2: Regional geological map showing the locations of the three main deposits in the Björkdal area and contiguous
exploration permits (SWEREF 99TM).
Deposit Geology
The Björkdal Gold Mine is located in the eastern part of the Paleoproterozoic Skellefte District in northern
Sweden. The Skellefte District constitutes a 1.89– 1.88 Ga volcanic arc and hosts numerous volcanic
massive sulphide (VMS) and lode gold deposits (Figure 1).
Mineralisation at Björkdal occurs primarily as free milling gold and is hosted within centimetre- to meter-
wide, subvertical quartz veins, predominantly beneath a marble horizon within a complex sequence of
volcano-sedimentary rocks belonging to the Upper and Lower Skellefte Groups (Figure 2). The mineralised
system plunges eastward and northward (mine grid), forming a 30– 60 metre thick zone of sheeted quartz
veins containing gold mineralisation (Figure 4).
The principal vein set strikes east -west (070–090° in mine grid coordinates) and represents the primary
target for underground mining both above and below the marble horizon. Additional subordinate vein sets
occur at varying orientations and may also host economically significant gold mineralisation.
Vein geometry and distribution are strongly influenced by shearing, thrusting and folding. Variations in vein
orientation (Figure 3), mineralogy, wall-rock alteration and fluid inclusion characteristics indicate multiple
phases of veining and mineralising fluid activity.
Figure 3: Typical auriferous quartz veining observed at Björkdal. (A) Main Zone. (B) Lake Zone. (C) Lake Zone Above.
4/24
Björkdal – Near Mine Exploration Update – 9 July 2026
Figure 4: (A) Oblique view looking down and to the NE (Mine Grid) displaying known auriferous quartz veining at Björkdal. (B)
Cross section ± 30 metres along the Björkdal deposit looking to the NE (Mine Grid).
N
5/24
Björkdal – Near Mine Exploration Update – 9 July 2026
Drilling Results
Since the previous release, 29 growth and infill drill holes have been completed, totalling 15,568m of
diamond drilling. Drilling was focused on two target areas within the underground mine, the Eastern and
Northern Extension (Figure 5). Both target areas are situated stratigraphically below the marble unit that
extends throughout the mine area.
Figure 5: Mine Scale overview showing the location of the most recent drilling in relation to current underground development
(Mine Grid).
N
6/24
Björkdal – Near Mine Exploration Update – 9 July 2026
Eastern Extension
Thirteen holes have been drilled along the eastern flank of the mine since June 2025, totalling 6,304 m
with an average hole depth of 485 m. The program was completed in two phases of infill and extensional
drilling, targeting strike and depth extensions of veining within the Main Zone of the underground mine. A
total of 169 ore-grade intercepts have been identified within the target zone, including the best result from
drillhole MU25-030, which returned 86.1 g/t gold over 1.25 m (ETW 0.80 m). The program also delivered
the deepest intercept recorded at the mine to date, with drillhole MU25-021 returning 3.5 g/t gold over 3.20
m (ETW 2.45 m) at -976 RL (-762 m elevation) (Figure 6).
Figure 6: Oblique view to the WSW highlighting results from the most recent drilling campaign along the eastern flank of the
underground mine.
Figure 7: Core tray photograph from MU25-030, where the highest-grade interval of the drill program was intersected.
7/24
Björkdal – Near Mine Exploration Update – 9 July 2026
Northern Extension
Sixteen holes were drilled within the Northern Extension of the underground mine since June 2025,
totalling 9,264 m, with an average hole depth of 580 m. Building on the success of previous drilling
campaigns, the program was designed to improve the understanding of vein morphology and structural
controls on mineralisation, while testing the northern and western extensions of known veining.
The program successfully confirmed previously identified vein swarms and further enhanced
confidence in the geological interpretation of the area. Assessment of the western extent of the target
zone was constrained by the availability of underground drill platforms; however, the information
collected has enabled the development of a more robust structural model, which will support future
targeting and resource growth within the Northern Extension. A total of 68 ore- grade intercepts have
been identified within the target zone, including the best result from drillhole MU26-002, which returned
31.5 g/t gold over 0.85 m (ETW 0.22 m). Drilling has confirmed mineralised veins up to approximately
600 m from existing underground development (Figure 8).
Figure 8: Oblique view to the SW highlighting results from the most recent drilling campaign in the Northern extension of the
underground mine.
Figure 9: Drill core photos from MU25-027 showing an intercept grading 25.2 g/t gold over 0.60 m (ETW 0.42 m) (A) and a
close-up of mineralised quartz vein (B).
8/24
Björkdal – Near Mine Exploration Update – 9 July 2026
Future Plans
Mineralisation remains open at depth and along strike in both the Northern Extension and Eastern
Extension target areas. In FY27, underground drilling will continue in staged programs of infill and
extension drilling aimed at improving geological confidence and testing continuity of mineralisation.
At the Northern Extension, drilling will continue to test both depth and along-strike continuity, with western
extension drilling to be supported by the establishment of a dedicated underground drill platform. This will
enable improved drill orientations and reduce scheduling conflicts between drilling and mining activities.
At the Eastern Extension, mineralisation remains open at depth and along strike to the east. Future drilling
will focus on step- out extensional testing to assess the continuity of known vein swarms and refine the
structural controls on mineralisation in this area.
This document has been authorised for release to the market by Nic Earner, Managing Director
and CEO.
ABOUT ALKANE ‐ www.alkres.com ‐ ASX:ALK | TSX: ALK | OTCQX: ALKRY
Alkane (ASX:ALK; TSX:ALK; OTCQX:ALKEF) is an Australia -based gold and antimony producer with a
portfolio of three operating mines across Australia and Sweden. The Company has a strong balance sheet
and is positioned for further growth.
Alkane’s wholly owned producing assets are the Tomingley open pit and underground gold mine
southwest of Dubbo in Central West New South Wales, the Costerfield gold and antimony underground
mining operation northeast of Heathcote in Central Victoria, and the Björkdal underground gold mine
northwest of Skellefteå in Sweden (approximately 750 km north of Stockholm). Ongoing near-mine regional
exploration continues to grow resources at all three operations.
Alkane also owns the very large gold- copper porphyry Boda-Kaiser Project in Central West New South
Wales and has outlined an economic development pathway in a Scoping Study. The Company has ongoing
exploration within the surrounding Northern Molong Porphyry Project and is confident of further enhancing
eastern Australia’s reputation as a significant gold, copper and antimony production region.