District Metals Corp. has completed its inaugural diamond drilling program at the Österkälen and Malgomaj mineral licenses, successfully intersecting graphitic black shale in all 15 completed drill holes.

The 1,943-metre campaign across the company’s 100% owned Alum Shale Properties in central Sweden followed up on conductive anomalies identified by a helicopter-borne Mobile MagnetoTellurics survey conducted in 2025. The drilling comprised 787 metres across seven holes at the Österkälen license and 1,156 metres across eight holes at the Malgomaj licenses. Three additional holes at the Malgomaj nr 1002 license were abandoned due to weathered and unconsolidated bedrock that caused total core loss.

Observed shales were visually differentiated into strongly graphitic black shales with abundant calcite veining and pyrite concretions alongside weakly to moderately graphitic grey to dark-grey laminated shales. Down-hole thicknesses of the interpreted Alum Shale formation ranged from 50.5 to 65.0 metres in the Österkälen holes, 87.5 to 141.0 metres in holes at Malgomaj nr 1003, and 79.0 to 86.5 metres in holes at Malgomaj nr 1002. Handheld scintillometer measurements returned background to weak radioactivity across all intervals.

District Metals is currently logging, sampling and conducting analytical work on the core. Geochemical and assay results are required to establish the presence, grade and continuity of mineralized horizons.

While we await geochemical results to determine the metal content and geological characteristics of the intersected graphitic black shale, the consistent intersection of the conductive target horizon in every drill hole is an excellent outcome, especially for an area which has not seen any historic exploration work. The geological information obtained from this drill program will help to further constrain the interpretation and modelling of the MobileMT data, enabling us to refine the geological model and more effectively delineate and prioritize targets for future exploration.

— Garrett Ainsworth, CEO

The company’s flagship Viken Property hosts the world's largest undeveloped Mineral Resource Estimate of uranium, alongside significant resources of vanadium, molybdenum, nickel, copper and zinc. Regional activity has also advanced in the jurisdiction, where Swedish legislation removing the municipal veto on uranium mining was approved for the nearby Duobblon project. District Metals plans to pause drilling activities during September for the moose hunting season before resuming field work at the Viken Property in October.

Read the full announcement: District Confirms MobileMT Geophysical Anomalies by Intersecting Graphitic Black Shale in Every Drill Hole at the Alum Shale Properties in Sweden