QIMC Expands Phase 1 Winter Hydrogen Drilling Program in Nova Scotia to Over 5,000 Metres Following New INRS Geophysical Advances

Executive Summary

• QIMC expands its Phase 1 winter natural‑hydrogen drilling program in Nova Scotia to >5,000 m, the largest to date, enabled by new geophysical data from INRS.
• The company signs a definitive agreement to sell its 100% interest in the River Valley Silica Project to Sila Mining Corp., receiving cash, equity (6 M Sila shares) and a 2 % royalty, with closing expected ≤ 16 Jan 2026.
• QIMC will attend the Reuters Energy Live Conference in Houston on Dec 8‑9 to showcase its hydrogen portfolio.

Key Details

• Drilling Program Expansion
• Phase 1 winter program now >5,000 m of drilling in the Advocate–Cumberland Basin corridor (Nova Scotia).
• Geophysical advances: gravimetry, tomography, LiDAR structural mapping, integrated modeling by INRS.

• New priority drill targets identified; improved fault‑mapping resolution.

• Conference Participation

• Reuters Energy Live Conference – Houston, Texas, Dec 8‑9, 2025.

• Dedicated booth in hydrogen & emerging‑energy section to present QIMC’s multi‑jurisdiction natural‑hydrogen portfolio (NS, QC, ON, MN).

• River Valley Silica Project Sale

• Buyer: Sila Mining Corp.
• Consideration:
  • 6 M common shares of Sila (valued at C$0.20 per share).
  • Up‑to‑C$500,000 cash.
  • 2 % gross‑sales royalty on all silica products from the project.
  • Right to nominate one director to Sila’s board.
• Closing deadline: on or before 2026‑01‑16, subject to customary conditions and regulatory approvals.

• Post‑sale ownership: QIMC retains 100 % of Charlevoix Silica Project (QC).

• Strategic Context for River Valley

• High‑purity quartz (98.74 % SiO₂) – suitable for HPQ/ultra‑HPQ production.
• Resource parameters: 442,000 m³ quartz; 1.06 Mt tonnage; 98.74 % SiO₂ purity.

• Intended use in semiconductors, solar PV, advanced glass/optics/electronics, silicon‑enhanced battery anodes.

• Sila’s Planned Development (12‑hole drilling program)

• Objectives: confirm mineralized continuity, validate structural controls, identify expansion zones.
• Timeline: 12–18 months for drilling, metallurgical testing, partner engagement, and scaling to a critical‑minerals consolidator.

Notable Quotes

• “As the first mover and pioneer of natural hydrogen exploration in Nova Scotia… we are expanding our Phase 1 winter drilling program to over 5,000 metres…” – John Karagiannidis, President & CEO, QIMC.
• “This transaction crystallizes significant value for QIMC while giving our shareholders exposure to one of the most strategically important silica assets in Canada.” – John Karagiannidis, President & CEO, QIMC.