Mr. John Karagiannidis reports

QIMC LOOKS TO ACCELERATE QUEBEC'S HYDROGEN AMBITIONS FOLLOWING KEY MEETING WITH GOVERNMENT REPRESENTATIVES

Quebec Innovative Materials Corp. has made progress in its efforts to establish hydrogen as a primary energy source in Quebec, aligning with the province's mandate to reduce emissions by 38 per cent by 2030 and achieve net-zero emissions by 2050.

Following a strategic meeting with the Ministry of Economy, Innovation and Energy (le Ministere de l'Economie, de l'Innovation et de l'Energie) on Feb. 12, 2025, in Quebec City, Quebec Innovative is advancing its development initiatives to support Quebec's transition to a low-carbon economy through clean natural hydrogen.

"Clean natural hydrogen is poised to play a transformative role in Quebec's energy transition, and Quebec Innovative is at the forefront of this movement," said John Karagiannidis, chief executive officer of Quebec Innovative. "Our recent discussions with the government of Quebec reinforce how we see the critical role of natural hydrogen in achieving the province's ambitious energy independence goals. As we move forward, we remain committed to the highest standards of environmental responsibility. Social acceptability is at the heart of our approach -- we are actively engaging with the municipality, local producers, Temiskaming First Nations and environmental stakeholders to ensure that our project aligns with all values and priorities. With our latest findings, we are now in a position to quantify our hydrogen potential and advance our project towards commercialization in a sustainable and inclusive manner."

Low environmental footprint

"Beyond its significant economic potential, it is essential to highlight the exceptionally low environmental footprint of natural hydrogen production. Unlike other energy sources, hydrogen extraction requires minimal land use and has a negligible impact on surface ecosystems, making it a highly sustainable solution for Quebec's energy independence transition. To put this into perspective, a single hydrogen well producing 100 kg per day delivers the equivalent energy output of approximately 3,500 solar panels. This scalability underscores hydrogen's viability as a primary energy source, offering a reliable, continuous and land-efficient alternative to intermittent renewables."

Advancing hydrogen exploration and production with social acceptability

• Gas analysis results confirming near-zero carbon dioxide and methane in Quebec Innovative's samples, reinforcing the clean and sustainable nature of its clean natural hydrogen.
• A comprehensive 153-page INRS (Institut National de la Recherche Scientifique) report presented to the Quebec Ministry of Economy, Innovation and Energy outlines a clear pathway from exploration to extraction, integrating recent drilling, geological mapping and rock sampling data (Richer-LaFleche, 2025).
• Magnetite has emerged as a critical component in Quebec Innovative's hydrogen generation strategy. Based on SIGEOM (MRNF) data, two major iron formations have been identified, measuring 12,000 metres and 3,200 metres in length, with banded iron formation (BIF) thicknesses ranging from nine to 45 metres. The estimated vertical continuity of 4,000 metres with 22.5-per-cent magnetite content suggest an approximate 2.59 billion kilograms of magnetite. In total, four to five identifiable iron formations within the Baby Group further reinforce Quebec Innovative's vast hydrogen potential.

Hydrogen model -- St. Bruno property

As outlined in the INRS Ministerial presentation and referencing the IFP Energies geometric model, preliminary estimates based on the assumption that reservoir porosity is fully saturated with pure hydrogen suggest significant production potential at Quebec Innovative's St. Bruno-de-Guigues property. Within a five-square-kilometre area at depths ranging from 500 to 2,000 metres, the estimated hydrogen yields are:

• 1-per-cent porosity leads to 17,000 tonnes of hydrogen, valued at approximately $171-million (U.S.) (at $5 (U.S.)/kilogram). * Green hydrogen price in December, 2024.
• 2-per-cent porosity leads to 34,000 tonnes of hydrogen, valued at approximately $342-million (U.S.) (at $5 (U.S.)/kg). * Green hydrogen price in December, 2024.

"These estimates, presented for informational purposes, highlight the theoretical resource potential within the fault-associated fracturing porosity of the Lake Timiskaming graben, with a particular focus on the municipality of St-Bruno-de-Guigues," said John Karagiannidis. "As we progress with our work program, this model reinforces the significant commercial opportunity for scalable natural hydrogen production in Quebec, supporting the province's energy transition with a low-impact, high-value resource."

Economic and employment impact

As Quebec Innovative advances its hydrogen initiatives, the company is actively working with its partners Record Resources and Q Precious and Battery Metals to expand its modelling approach to additional properties, positioning Quebec as a global leader in hydrogen production.

Quebec Innovative's vision is to establish a hydrogen hub in Quebec, leveraging its natural hydrogen resources and Quebec's clean energy infrastructure to drive economic growth while supporting the province's net-zero goals.

Continuing exploration and expansion

Quebec Innovative is moving forward with several key exploration initiatives to further validate and quantify its hydrogen resources:

• Feb. 24, 2025 -- A three-week geophysics and geochemical program will begin at St. Bruno, focusing on holes five and eight areas.
• Additional exploration will take place on Lake Temiskaming, including extensive work on the Ontario side of the lake, in partnership with Record Resources.

Appointment of Andre Turmel to the Quebec Innovative board of directors

Quebec Innovative is also pleased to announce the appointment of Andre Turmel to its board of directors effective immediately. Mr. Turmel, a partner at the law firm Fasken LLP, is a recognized expert in renewable energy, natural resources and climate change law. His expertise is sought by both national and international clients looking to capitalize on emerging opportunities in renewable energy and green technologies.

As part of his appointment to the board, Mr. Turmel will receive 1.75 million stock options at an exercise price of 25 cents for a period of three years.

Quebec Innovative extends its gratitude to Hani Zabaneh, who is stepping down from the board after years of dedicated leadership and strategic contributions.

"With Andre's extensive experience in energy law and policy, we are strengthening Quebec Innovative's leadership in the hydrogen sector," said John Karagiannidis, chief executive officer of Quebec Innovative. "His strategic insights will be instrumental in advancing our projects, ensuring regulatory alignment and supporting our long-term vision of hydrogen becoming Quebec's primary energy source."

About the INRS and Prof. Marc Richer-LaFleche, PGeo

The Institut National de la Recherche Scientifique (INRS) is a high-level research and training institute. Prof. Richer-LaFleche's team has exceptional geological, geochemical and geophysical experience specifically in the regions of Quebec Innovative's newly acquired claims. They have carried out over six years of geophysical and geochemical work and collected thousands of C1-C4 soil-gas analyses.

Prof. Richer-LaFleche also holds an FRQNT grant, in partnership with Quebec MRN and the mining industry, to develop and optimize a soil-gas method for the direct detection of mineralized bodies and faults under quaternary cover. In addition to sulphide gases, hydrogen was systematically analyzed in the numerous surveys carried out in 2023 in Abitibi, Temiscamingue and also in the Quebec Appachian. Prof. Richer-LaFleche is the qualified person responsible for the technical information contained in this news release and has read the information contained herein.

Prof. Richer-LaFleche is a professional geologist registered with the Ordre des geologues du Quebec and is the qualified person responsible for the technical information contained in this news release and has read the information contained herein.

About Quebec Innovative Materials Corp.

Quebec Innovative Materials is a mineral exploration and development company dedicated to exploring and harnessing the potential of Canada's abundant resources. With properties in Ontario and Quebec, Quebec Innovative is focused on specializing in the exploration of white (natural) hydrogen and high-grade silica deposits. Quebec Innovative is committed to sustainable practices and innovation. With a focus on environmental stewardship and cutting-edge extraction technology, the company aims to unlock the full potential of these materials to drive forward clean energy solutions to power the AI (artificial intelligence) and carbon-neutral economy and contribute to a more sustainable future.

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