QEM Reports $542k Exploration Spend and $1.7m Cash Amid Strategic Review

Heritage and Environmental Milestones

QEM Limited has taken a pivotal step forward in its Julia Creek Vanadium and Energy Project (JCVEP) by finalising and signing the Cultural Heritage Management Plan (CHMP) with the Wanamara People. This agreement is a crucial prerequisite for advancing the Environmental Impact Statement (EIS), a mandatory process for major developments under Queensland’s Aboriginal Cultural Heritage Act. The company also completed its first cultural heritage survey with the Wanamara, clearing the way for drilling activities without discovering significant artifacts, underscoring QEM’s commitment to respectful community engagement and environmental stewardship.

Drilling and Groundwater Monitoring Progress

In September 2025, QEM successfully concluded a five-hole drilling campaign alongside the installation of groundwater monitoring bores across the tenement. These efforts not only support environmental baseline studies essential for the EIS but also provide fresh core samples for ongoing metallurgical testing. The campaign was managed by experienced geological and hydrogeological teams, reflecting the company’s methodical approach to resource evaluation and environmental compliance.

Challenging Metallurgical Assumptions

Perhaps the most consequential update came from the receipt of comprehensive metallurgical test results from the University of Queensland and Core Resources. These studies revealed that vanadium is preferentially associated with calcite rather than kerogen, overturning earlier assumptions about mineral deportment. The findings indicate that direct kerogen recovery via flotation is not economically viable and that a more complex crushing-grinding-flotation process will be necessary. This new understanding has significant implications for the project’s processing flowsheet and economics, prompting QEM to initiate a strategic review to reassess development pathways and capital allocation.

Strategic Review and Leadership Transition

In response to these metallurgical insights, QEM has launched a strategic review focused on preserving capital and exploring all project and corporate opportunities. This review aims to refine flowsheet options and integrate new data before committing to further metallurgical testing or development expenditures. Concurrently, the company completed a leadership transition with Robert Cooper appointed as Managing Director and CEO, signaling a fresh phase of governance as QEM navigates this critical juncture.

Financial Position and Community Engagement

QEM reported exploration expenditure of $542,000 for the quarter and ended with a cash balance of $1.7 million. The company is pursuing legal action to recover unsettled placement funds, which could impact its financial flexibility. Meanwhile, QEM continues to foster strong community relations through sponsorship of local events and regular engagement in Julia Creek, reinforcing its ESG commitments aligned with the World Economic Forum’s Stakeholder Capitalism Metrics.