Quantum Helium Limited advancing helium, hydrogen and hydrocarbon projects in the USA, is pleased to announce that it has increased its working interest in the Sagebrush Helium Project from 82.5% to 90% following the acquisition of Jackal Oil Company's minority interest. The Company is also pleased to report on progress across its helium portfolio in Colorado.
Highlights
· Quantum increases its working interest in the Sagebrush Helium Project from 82.5% to 90%
· Sagebrush 3D seismic acquisition now in its final stages, with initial processed results expected in January.
· Sproule ERCE independent resource report for Coyote Wash expected within a week, following completion of technical assessment.
· Positive engagement with the BIA following cessation of government shutdown, with flow testing of Sagebrush-1 expected to commence early in the New Year upon receipt of final approvals.
Increase in Working Interest at Sagebrush
The Company has increased its working interest in the Sagebrush Helium Project in Colorado from 82.5% to 90% through the acquisition of Jackal Oil Company's minority interest. The remaining 10% working interest is owned by Quantum's Chief Executive, Howard McLaughlin and is not carried.
The interest was acquired for a cash consideration of US$85,000. Jackal elected to streamline its portfolio through a clean exit, and both parties agreed terms that facilitated a straightforward restructuring of ownership. The Board regards this as a highly favourable outcome for Quantum, consolidating ownership in a project where the Company already holds a drilled and cased helium discovery well that is being advanced towards production testing.
This transaction further strengthens Quantum's strategic position at Sagebrush as the Company enters a pivotal phase of operational activity.
There are no profits or losses attributable to the working interest being acquired.
Sagebrush 3D Seismic Survey
The high-resolution 3D seismic acquisition programme at Sagebrush is now in its final stages, with field operations expected to conclude within a week. Once completed, the dataset will move into processing, with initial results anticipated in January
The survey is designed to:
· Refine the geometry and extent of the Leadville helium structure intersected in Sagebrush-1
· Improve imaging of additional algal mound targets across the field
· Support placement of future development and appraisal wells
· Integrate seamlessly with existing 3D seismic coverage at Coyote Wash
These results will directly inform the Company's 2026 drilling and development planning.
Coyote Wash - Sproule Independent Resource Report
Sproule ERCE has now completed the majority of its technical work for the independent resource evaluation of the Coyote Wash Helium Project, including seismic reinterpretation, petrophysical review and volumetric assessment of mapped structures.
The Company expects to receive the final report within the next week. The evaluation is expected to provide an independent assessment of the resource potential across Coyote Wash, where the Company has announced an internal best estimate of 1,072 MMcf (million cubic feet) of 2U gross prospective helium resource, and will play a central role in shaping Quantum's forward work programme.
Regulatory Approvals - BIA Engagement and Timeline to Testing
Progress towards final approvals for the extended flow test at Sagebrush-1 continues. This week, Quantum held high-level meetings with senior Bureau of Indian Affairs (BIA) officials, with very positive engagement and clear forward progress.
While the Company had originally anticipated approvals earlier in the year, timelines were impacted by the recent U.S. government shutdown, which delayed federal administrative processes.
Upon receipt of the remaining approvals, Quantum intends to commence flow testing at Sagebrush-1 early in the New Year, targeting confirmation of deliverability from the known helium-bearing interval.
Quantum Helium Chairman, Carl Dumbrell, commented: "Consolidating our ownership at Sagebrush at this stage of the project is a very positive and strategic outcome for Quantum. We were able to agree terms that benefit both parties while strengthening our position in what we regard as one of the region's most compelling helium opportunities.
Operationally, momentum is building. The 3D seismic programme is nearly complete, we expect to receive the Sproule report soon, and our meetings with the BIA this week were constructive and encouraging. Once approvals are finalised, we plan to initiate flow testing of Sagebrush-1 early in the New Year.
Both Andrew Scott and I have recently added to our shareholdings, and we are pleased to be invested alongside our fellow shareholders. We appreciate their ongoing support as we move the business forward, with meaningful operational milestones and a busy 2026 ahead."
Market Abuse Regulation (MAR) Disclosure
The information contained within this announcement is deemed by the Company to constitute inside information as stipulated under the Market Abuse Regulations (EU) No. 596/2014 ('MAR') which has been incorporated into UK law by the European Union (Withdrawal) Act 2018. Upon the publication of this announcement via Regulatory Information Service ('RIS'), this information is now considered to be in the public domain.