Key Highlights

  • Cash balance of approximately $113 million at 30 September 2026, providing substantial capacity to advance Luni to and beyond the PFS
  • Diamond drill intercepts include LUDD-0162 returning 21.4m at 7.4% Nb2O5 from 91.3m and LUDD-0171 returning 38.0m at 3.8% Nb2O5 from 72.0m
  • Luni's existing Mineral Resource of 220Mt at 1.0% Nb2O5, including an Indicated MRE of 93Mt at 1.32% Nb2O5 with a high-grade subset of 35Mt at 2.57% Nb2O5
  • Airstrip commissioned at Luni in July 2026, with key 2026 field activities completed ahead of PFS requirements

Approaching a Defining Milestone

WA1 Resources (ASX:WA1) is closing in on the completion of its Pre-Feasibility Study for the Luni Niobium Project in Western Australia, with the PFS scheduled for delivery in the current quarter — Q4 2026. Luni sits within the broader West Arunta Project, approximately 590 kilometres west of Alice Springs, and has emerged over the past two years as one of the most closely watched critical minerals exploration stories on the ASX.

The September 2026 quarter consolidated the technical foundation ahead of the PFS, with two drill rigs operating throughout the period, approximately 93,000 metres of total drilling completed at Luni to date, and key field activities finalised. The cash balance of approximately $113 million at 30 September 2026 gives the company a runway well beyond PFS completion and into subsequent study phases.

Drilling Continues to Impress

Assay results from 18 diamond drillholes were announced during the quarter, with intercepts continuing to demonstrate the grade continuity and deposit geometry that underpin Luni's Tier-1 scale ambitions. Standout results included LUDD-0162, which returned 21.4 metres at 7.4% Nb2O5 from 91.3 metres — a high-grade intercept that confirms the presence of very rich niobium zones within the deposit. LUDD-0171 returned 38.0 metres at 3.8% Nb2O5 from 72.0 metres, and LUDD-0171 and LUDD-0166 between them demonstrated that grades above 6% Nb2O5 occur across multiple parts of the Luni carbonatite.

The drilling program has primarily targeted improved definition within the eastern Indicated MRE zone on a 25-metre by 50-metre staggered grid, designed to increase confidence in niobium mineralisation for potential conversion to the Measured resource category. This conversion is directly relevant to the PFS, which will model mine planning based on the highest-confidence resource categories.

Resource Scale and Grade Profile

The current Luni MRE stands at 220 million tonnes at 1.0% Nb2O5, encompassing an Indicated component of 93 million tonnes at 1.32% Nb2O5. Within that Indicated zone sits a high-grade subset of 35 million tonnes at 2.57% Nb2O5 — a concentration of high-grade material that is expected to anchor the early years of any Mining operation. The beneficiation testwork results reported earlier in the year showed excellent metallurgical performance for this high-grade zone, and the current drilling is further defining its geometry and grade distribution.

The potential for primary mineralisation in the deeper unweathered zone remains an open exploration question. Drilling to date has focused on the weathered zone, and management has identified the deeper unweathered carbonatite as a target for future programs. If primary niobium mineralisation proves economic, the resource upside at Luni could be substantial.

Infrastructure and Logistics Progress

The commissioning of an airstrip at Luni in July 2026 was a practical but significant milestone, enabling regular direct flights to site and materially improving the logistics of managing an active study and drilling program at a remote location nearly 600 kilometres from Alice Springs. Improved access facilitates faster turnaround of specialist consultants, metallurgical samples and geotechnical equipment — all of which are needed in Volume during PFS completion.

Key 2026 field activities are now complete and, according to management, extended beyond PFS requirements. This above-plan data collection creates a stronger platform for moving into the next phase of studies and field activities in 2027, including potential additional resource definition work and early mining studies beyond the PFS scope.

Risks

Niobium is a relatively niche critical mineral with a highly concentrated global Supply chain, currently dominated by Brazil. While this concentration creates a strategic opportunity for alternative suppliers, it also means that Luni will need to establish its own market access, processing pathway and customer relationships — a commercial development challenge that sits alongside the technical study work. The project's remote location in the West Arunta region adds to infrastructure Capital requirements. Metallurgical processing of niobium from a carbonatite source requires careful engineering, and the process design emerging from testwork will need to be translated into bankable capital and operating cost estimates.

What to Watch Next

The Pre-Feasibility Study, due this quarter, is the defining near-term catalyst for WA1. The PFS will establish indicative capital costs, operating costs, mine life, and project Economics — information that will allow the market to assess Luni's development viability for the first time in a comprehensive, bankable format. Any MRE update incorporating the latest drilling, and the conversion of Indicated resources to Measured status, will also be significant. Progress toward strategic partnerships, offtake discussions or project financing conversations will indicate how quickly the company intends to move beyond study phase.

Sector Context

Niobium is classified as a critical mineral by multiple major economies due to its essential role in high-strength steel production and emerging applications in battery technology and superconductors. Global supply is overwhelmingly concentrated in Brazil, with CBMM accounting for the majority of world production. The development of an alternative Tier-1 niobium source outside Brazil has strategic significance for steel-producing economies including Japan, South Korea and Europe — a consideration that could attract both government and industrial offtake interest in Luni's development pathway.