Q2 Metals Announces $60 Million Private Placement

• On April 29, 2026, Q2 Metals announced a bought-deal private placement raising approximately C$60 million in gross proceeds.
• The offering consists of 16,327,000 common shares at $2.45 per share and 5,556,000 flow-through (FT) shares at $3.60 per share.
• An over-allotment option exists for an additional C$10 million in common shares.
• Proceeds are allocated to advancing the Cisco Lithium Project development, Canadian exploration expenses in Quebec, and general corporate purposes/working capital.
• Expected closing date is May 26, 2026, subject to regulatory approvals.
• Underwriter: Canaccord Genuity Corp. leading a syndicate.

• Capital Security: The financing secures the balance sheet for the next phase of development (PEA) following the April 20 Inferred Mineral Resource Estimate (MRE). This reduces immediate liquidity risk.
• Dilution Impact: The issuance represents approximately 11% dilution to existing shareholders based on current outstanding shares (196.2M). The common share price of $2.45 is at a discount to the recent market trading price (~$2.80-$2.83), which may exert short-term downward pressure on the stock.
• Execution Context: This financing was anticipated following the April 20 MRE announcement (Material - Positive). Companies typically raise capital post-resource to fund feasibility studies and PEA work. Therefore, while positive for solvency, it does not fundamentally alter the asset valuation established by the resource estimate itself.
• Flow-Through Component: The FT shares allow investors to claim tax credits, potentially supporting demand, but adds complexity to the capital structure.

• Company: Q2 Metals Corp. is a lithium exploration company focused on advancing hard-rock lithium assets in Quebec, Canada.
• Flagship Project: Cisco Lithium Project located in the Nemaska traditional territory of Eeyou Istchee James Bay region.
• Project Status: Exploration/Development phase. Inferred Mineral Resource Estimate announced April 20, 2026 (295 Mt @ 1.36% Li2O). PEA targeted for late 2026.
• Infrastructure: Located 6.5 km from the Billy Diamond Highway and ~150 km from railhead in Matagami. Access to St. Lawrence shipping routes via Bécancour battery hub proximity.
• Jurisdiction: Quebec, Canada (Tier-1 mining jurisdiction).