Karnalyte Resources Inc. posted a net and comprehensive loss of $656,000 for the second quarter ended June 30, 2026, compared to a loss of $511,000 for the same period in 2025.

Total shareholders’ equity stood at $3.73 million at the end of the quarter, down from $4.53 million a year earlier. Karnalyte reported cash of $0.6 million, positive working capital of $0.6 million, and no debt as of June 30, 2026.

During the quarter, Karnalyte advanced the Wynyard Project by initiating a rail study to evaluate infrastructure requirements, including the design of a rail spur connecting the project site to the Canadian Pacific Kansas City Limited main line. Remaining work on the study is scheduled for completion in the third quarter of 2026, culminating in a best option design including an overall layout, a CPKC rail connection layout, and a highway layout.

Karnalyte owns the Wynyard Project, which carries planned Phase 1 production of 675,000 tonnes per year of high-grade granular potash and a total planned capacity of 2.175 million tonnes per year across three phases. Gujarat State Fertilizers & Chemicals Limited serves as Karnalyte’s strategic partner and single largest shareholder, maintaining an existing offtake agreement for the project.

Asset sales during the quarter generated net proceeds of $1.6 million from three parcels of land in the Wynyard area. Karnalyte obtained options on these parcels to plan, develop, and lease areas necessary for well pads and related solution mining facilities, with additional farmland sales intended under an exemption order received from the Saskatchewan Farm Land Security Board.

In corporate developments, shareholders elected Dr. Pujan Vaishnav to the board at the annual meeting. Dr. Vaishnav serves as Vice President of Research and Development at GSFC and brings over 25 years of chemical sector experience. The board also appointed Dilip Pathakjee as Chair following the resignation of Sanjeev Varma, who stepped down to become Managing Director at Indian Potash Limited.

Nearby, BHP Group Limited reported an update for its Jansen potash project in June 2026, confirming that the total investment estimate for Jansen Stage 2 increased from US$4.9 billion to US$6.9 billion, with first production estimated in late fiscal 2031.

Read the full announcement: KARNALYTE RESOURCES INC. ANNOUNCES 2026 SECOND QUARTER RESULTS AND CORPORATE HIGHLIGHTS