Highlights

• Turnstone Resources Ltd has released its September 2026 quarterly report, covering a copper-gold portfolio in Sweden, the Ohmgebirge.

• In Sweden's Värmland district, Turnstone holds seven licences covering about 100 square kilometres across the Glava, Klinten and.

• The surveys are intended to test a deep intrusive model beneath the Glava workings, whether historic copper workings.

• Transfer of all seven licences to Turnstone awaits approval from the Mining Inspectorate of Sweden, which the company.

Turnstone Resources Ltd (ASX:TSR) — has released its September 2026 quarterly report, covering a copper-gold portfolio in Sweden, the Ohmgebirge potash project in Germany, a change in chief executive and a small capital raising. The company reports a short funding runway and says it expects to raise further capital.

Central development

In Sweden's Värmland district, Turnstone holds seven licences covering about 100 square kilometres across the Glava, Klinten and Torsby West areas. They are held in trust by McKnight Resources AB pending transfer. In July the company flew drone magnetic surveys over about 670 line-kilometres, which it says were completed on schedule and within budget.

The surveys are intended to test a deep intrusive model beneath the Glava workings, whether historic copper workings at Torsby West are linked along a corridor of up to about 25 kilometres, and the structures controlling the vein system at Klinten. Geological mapping will come next, informing a first decision gate: whether to proceed to drilling or run targeted electromagnetic surveys first. Turnstone says it will drill only where an unambiguous target has been defined.

Transfer of all seven licences to Turnstone awaits approval from the Mining Inspectorate of Sweden, which the company expects in the December 2026 quarter.

German potash project

Ohmgebirge is a potash project held through three perpetual mining licences. Turnstone reports a Mineral Resource of 286 million tonnes at 13.1 per cent potassium oxide, of which 258 million tonnes is Indicated and 28 million tonnes is Inferred, and a Probable Ore Reserve of 83.1 million tonnes at 12.6 per cent. About A$30 million has been invested to date, including a 2024 pre-feasibility study.

Exclusivity with Deusa International GmbH over a potential purchase of the Sollstedt mine has been extended to 31 December 2027. The board is also reviewing strategic options, including spinning the potash assets into a new listed or unlisted structure or introducing a joint venture investor. The company says no decision has been made and that there is no assurance the review will result in a transaction.

Corporate changes

Richard Pearce became Non-Executive Chair in August. Len Jubber stepped down as Managing Director and chief executive on 22 September 2026 and becomes Board Advisor, Potash Strategy from 1 November 2026, a role without directorship or executive authority. The three non-executive directors are covering executive duties, and a chief executive search will begin as the new strategy progresses. The board is also looking for an additional critical minerals asset.

Funding

Turnstone raised A$1.1 million through a placement of 55 million shares at A$0.02. Tranche 1 of A$835,000 was issued on 9 September, and Tranche 2 of A$265,000, including A$165,000 from directors, was received in October after shareholder approval on 13 October. Part of the proceeds is earmarked for evaluating a new critical minerals opportunity.

Net operating outflow for the quarter was A$655,000, and exploration and evaluation spending was A$152,885. Cash at 30 September 2026 was A$557,483, which excludes the October tranche. The company estimates 0.85 quarters of funding and expects to raise further capital.

Subsidiary Südharz Kali GmbH owes Ercosplan about €474,911, with repayment deferred to 2031.

Risks and conditions

The Swedish licence transfers are not yet approved, and the potash review has no timetable. The Swedish exploration has no defined resource. The short funding runway means further financing is needed.

Next milestones

The company lists the Swedish licence transfers and a German research and development tax rebate determination, both expected in the December 2026 quarter. It also lists geological mapping and the drilling-or-electromagnetic decision, the potash review outcome, a chief executive search and evaluation of a critical minerals acquisition.