Fortune - Tlicho Joint Venture to Receive up to $50 Million From Government of Canada First and Last Mile Fund
Fortune secures conditional $50m road funding for its northern projects, though execution risks and capital gaps persist.
On June 26, 2026, Fortune Minerals Limited and the Tlicho Government received conditional approval from the Government of Canada, specifically Natural Resources Canada, for up to $50 million from the First and Last Mile Fund (FLMF). This funding is designated for the construction of the NICO Project Access Road (NPAR), a 51-kilometre all-season road that will connect the NICO mine and concentrator in the Northwest Territories to the NWT highway system near Whati.
The FLMF will reimburse 75% of the construction costs, with an additional $200,000 allocated to the Tlicho Government for community engagement and Traditional Knowledge studies. This approval follows the company’s April 29, 2026 announcement, in which it applied for up to $50 million in government funding for the same road project. The funding is intended to offset northern infrastructure deficits, lower construction costs, and advance the vertically integrated NICO Project toward a final investment decision.
Fortune Minerals Limited (FT) received approval for a funding application submitted in April 2026, an incremental step that de-risks the infrastructure component of the NICO Project, which has historically posed a major capital expenditure hurdle for northern developments. The approval is conditional and covers only 75% of the road construction costs, leaving the company to secure the remaining 25% and fund the vast majority of the project, including the mine, concentrator, Alberta refinery, and remaining road costs. While this aligns with management's strategy of leveraging public funding to improve project economics, it does not eliminate the need for substantial private project financing or equity raises. Consequently, execution risk and dilution risk remain elevated due to the conditional nature of the funding and the company's ongoing cash burn.
Fortune Minerals Limited (FT) is developing the NICO Project, a vertically integrated critical minerals asset located in the Northwest Territories and Lamont County, Alberta. The 100%-owned flagship project comprises an open-pit and underground mine with a concentrator in the NWT and a hydrometallurgical refinery in Alberta. The company is currently progressing an updated Feasibility Study and Front-End Engineering Design (FEED), having already secured environmental assessments and major mine permits in the Northwest Territories.
The NICO Project holds 33.1 million tonnes of mineral reserves, supporting a projected 20-year mine life. These reserves contain 1.1 million ounces of gold, 82.3 million kilograms of cobalt, 102.1 million kilograms of bismuth, and 27.2 million kilograms of copper. The operation targets the production of battery-grade cobalt sulphate, bismuth ingots and oxide, copper cement, and gold doré.
Strategically, the NICO project holds approximately 12% of global bismuth reserves. The initiative aims to enhance North American supply chain security for critical minerals, aligning with G7 initiatives and U.S. and Canadian government funding programs.