A method of continuously forming a multilayer panel includes making a gypsum slurry, then dividing the gypsum slurry into at least a primary gypsum slurry and a secondary gypsum slurry. An additive slurry having water and an intumescent material is created, then added to the secondary gypsum slurry to make an expandable layer slurry that is spread over at least a portion of a facing material. The primary gypsum slurry is distributed over the secondary gypsum slurry over the facing material and the expanding layer slurry to form a core. Optionally, another layer, an edge coating, is applied to the expanding layer for additional fire protection. The edge coating includes a second intumescent material. During a fire, the expanding layer expands to increase the thickness of the fire exposed gypsum panel and the edge coating expands to seal the gap between adjoining gypsum panels.