QMines’ Resource Growth Hinges on Pending Drilling and PFS Outcomes

Strong Drilling Results at Develin Creek

QMines Limited has delivered encouraging progress in its June 2025 quarter, highlighted by maiden drilling at the Sulphide City prospect within the Develin Creek copper-zinc project. The company completed 27 reverse circulation drill holes totaling 5,861 metres, with assays from 13 holes revealing high-grade mineralisation. Notable intercepts include 9 metres grading 2.63% copper and 4.2% zinc from 178 metres, and 6 metres at 2.2% copper and 3.0% zinc from 239 metres. These results confirm continuity of massive and semi-massive sulphide mineralisation consistent with historical data, underpinning an updated resource estimate of 4.2 million tonnes at 1.07% copper and 1.16% zinc, with 70% now classified as Indicated.

Mount Mackenzie Acquisition Expands Gold and Silver Footprint

In a strategic move, QMines completed the acquisition of the Mount Mackenzie gold project for $2.5 million in cash and shares. This addition significantly enhances the company’s resource inventory, with an upgraded Mineral Resource Estimate of 3.3 million tonnes grading 1.4 grams per tonne gold and 8.4 grams per tonne silver, equating to approximately 151,000 ounces of gold and 900,000 ounces of silver. The project’s high-sulphidation epithermal system offers shallow, high-grade mineralisation with exploration upside along strike and at depth, complementing QMines’ existing copper-gold assets near Rockhampton, Queensland.

Advancing the Mt Chalmers Pre-Feasibility Study

QMines is progressing an updated Pre-Feasibility Study (PFS) that integrates its three wholly owned projects – Mt Chalmers, Develin Creek, and Mount Mackenzie. The study will evaluate scaling up the processing plant at Mt Chalmers from 1 million tonnes per annum to 2 million tonnes per annum, incorporating a Carbon-in-Leach circuit to enhance gold and silver recovery from oxide ores. COMO Engineers have been engaged to refine the process plant design and flow sheet parameters, with metallurgical test work on blended concentrates from Develin Creek and Mt Chalmers showing improved recoveries, copper at 98.1%, gold at 88.7%, zinc at 92.6%, and silver at 88.6%, supporting the feasibility of a centralised processing hub.

Corporate and Financial Position

To support its growth initiatives, QMines secured a $1 million convertible note from a major shareholder, convertible at a 30% premium to the 30-day volume-weighted average price, alongside a $500,000 standby facility. Shareholder approval for the Mount Mackenzie acquisition was overwhelmingly positive, with over 93% voting in favour. The company maintains a stable cash position of $3.5 million at quarter-end and has extended loan facilities totaling $2.5 million. Investor engagement remained active, with presentations at key mining conferences and investment showcases.

Outlook and Next Steps

With ongoing drilling at Sulphide City and further assay results pending, QMines is poised to continue expanding its resource base. The integration of Mount Mackenzie into the broader Mt Chalmers project and the PFS update scheduled for the first half of 2026 will be critical milestones. These developments position QMines to advance towards sustainable copper and gold production, leveraging improved metallurgical processes and a larger-scale operation.