On January 27, 2026 at 1439 central standard time, a Diamond Aircraft Ind. Inc. DA-40 NG, N708BL, was substantially damaged when it was involved in an accident near Bay Minette, Alabama. The flight instructor and student pilot sustained minor injuries. The airplane was operated as a Title 14 Code of Federal Regulations Part 91 instructional flight. The purpose of the flight was a stage check in preparation for the student pilot’s private pilot checkride. Neither pilot reported any problems during preflight, taxi, runup, takeoff, climb or cruise to the designated practice area, about 12 nautical miles (nm) northwest of Pensacola International Airport (PNS), Pensacola, Florida. After performing an intentional slow flight maneuver and subsequently applying full power for recovery to normal flight, they noticed oscillations of the engine rpm and engine power load percentage. The flight instructor took control of the airplane and requested the student locate the checklist for oscillating engine rpm. The checklist was performed but it did not resolve the oscillations. The flight instructor then decided to divert to Bay Minette Airport (1R8), Bay Minette, Alabama. She made an announcement on the airport’s common traffic advisory frequency then declared an emergency with Pensacola terminal radar approach control. The pilots then performed the emergency procedure for a dual engine control unit failure, however that did not resolve the oscillations. Shortly thereafter, the flight instructor observed annunciations for low coolant level and low oil pressure, followed by a loss of engine power. She attempted to restart the engine but was unsuccessful. After securing the engine the flight instructor looked for an area to make a forced landing. She reported that there were no good options available and made a forced landing into dense brush 1 nm east of 1R8. A post-accident examination of the airplane by a Federal Aviation Administration inspector revealed substantial damage to the airplane’s wings and empennage. After removal of the engine cowling, an outward puncture in the engine case was found along with thermal damage to several engine accessories. A dark-colored liquid, consistent with the appearance of oil, was found on the underside of the fuselage and the empennage. Approximately 20 gallons of liquid, consistent with Jet-A fuel, were recovered from the airplane. The wreckage was recovered and retained for further examination.