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QIMC Reports Record 24.3% Clean Natural Hydrogen at Bennett Hill DDH-26-04 and Begins Technical Evaluation of Pilot-Scale Development Pathway and Clean Energy Generation

Corporate Updates

QIMC Reports Record 24.3% Clean Natural

Hydrogen at Bennett Hill DDH-26-04 and

Begins Technical Evaluation of Pilot-Scale

Development Pathway and Clean Energy

Generation

Multiple Percent-Level Hydrogen Readings and a Consistently Clean, Near-Zero Methane Gas

Signature Across Four Drill Holes at Two Drill Centres 15 Kilometres Apart Support QIMC's

District-Scale Natural Hydrogen Energy Model

Peak mud-gas reading of

24.3% H

recorded at 707 metres in DDH-26-04 - the highest single

hydrogen reading yet recorded across QIMC's four-hole 2026 Advocate Area drilling program

Six readings ≥ 10% H

and 46 readings ≥ 1% H

recorded across the newly reported 250 m to

818 m interval of DDH-26-04, out of 284 mud-gas samples collected across the full hole

Percent-level hydrogen sustained to within 39 metres (from 764 to 803 m) at the end of hole DDH-

26-04 (11.4% H

at 779 m); methane recorded at approximately 0%, CO

at or below 0.2% and

SO

at 0.01% ± 0.01% throughout, consistent with the low-methane signature reported at DDH-26-

01, -02 and -03

DDH-26-04 completed to a final depth of 818 metres at Bennett Hill, Nova Scotia

Combined with DDH-26-01, DDH-26-02 and DDH-26-03 at Eatonville Road, results support a

working model of a hydrogen system extending across at least 15 kilometres of the Cobequid-

Chedabucto Fault Zone

Company beginning technical evaluation of the pathway toward pilot-scale characterization and

clean energy generation of the Advocate Area clean hydrogen system

Montreal, Quebec--(Newsfile Corp. - July 20, 2026) -

Quebec Innovative Materials Corp. (CSE:

QIMC) (OTCQB: QIMCF) (FSE: 7FJ) ("QIMC" or the "Company")

today reported new mud-gas

geochemical results from the 250-metre to 818-metre interval (final depth) of diamond drill hole DDH-26-

04 at Bennett Hill, Nova Scotia, including a peak reading of 24.3% H

at 707 metres. The results build

on the Company's June 29, 2026 disclosure of a 16.0% H

peak at 236 metres over the 100 m to 250 m

interval of the same hole, and complete the DDH-26-04 hydrogen dataset from surface to final depth.

Taken together with previously reported results from DDH-26-01, DDH-26-02 and DDH-26-03 at the

Eatonville Road area — approximately 15 kilometres from Bennett Hill — the Company considers the

DDH-26-04 results to be an important data point supporting its working geological model of a district-

scale, structurally controlled clean natural hydrogen system across the Advocate Area and Canada's

longest reported clean natural hydrogen corridor and system.

Highlights – DDH-26-04 (250 m – 818 m Interval, Final Depth)

Peak and repeated high-range readings.

A peak reading of 24.3% H

at 707 metres, together

with 19.2% H

at 674 m, 18.1% H

at 671 m, 12.4% H

at 665 m, 11.9% H

at 287 m, 11.4% H

at 779 m, and 9.8% H

at 668 m.

Broadly elevated, not isolated.

Of 284 co-collected IsoJar mud-gas samples across the

full

hole

(14 m-815 m), 104 returned readings at or above 1% H

, 23 at or above 5% H

, and 10 at or

above 10% H

— consistent with the Company's characterization of repeated, rather than single,

elevated readings.

Sustained toward final depth.

Percent-level readings continued to within 39 metres of the

bottom of the hole (11.4% H

at 779 m; 8.3% H

at 776 m), indicating the system remained open

and did not weaken toward the base of DDH-26-04.

Low-methane, low-CO

signature maintained.

Methane (CH

) was recorded at approximately

0% and carbon dioxide (CO

) at or below 0.2% across the 250-818 m interval, consistent with the

hydrogen-dominant, low-methane and low-CO

gas signature reported at DDH-26-01, DDH-26-02

and DDH-26-03.

Corroborating headspace data.

Companion 2-litre bottle headspace sampling across the 281-

818 m interval returned hydrogen enrichment in similar intervals (for example,

1.3

% H

-equivalent

at 371 m), at generally lower absolute values consistent with the greater dilution inherent to the

headspace method as described in prior Company disclosures.

Hole complete.

DDH-26-04 was completed to a final depth of 818 metres.

Geological and Structural Observations – DDH-26-04

DDH-26-04 was collared on or about June 9, 2026 at a planned azimuth of 355° (northwest) per the

Diamond Drill Report header and completed at a final downhole depth of 818 metres. Downhole survey

measurements filed with the updated Diamond Drill Report record hole bearings of approximately 356°

to 012° (true north) along the hole and a dip of approximately -69° at the first survey station (-14 m),

progressively flattening to approximately -51° by 794 m. All depths in this release are downhole (core-

length) measurements; owing to this deviation, true vertical depths are shallower — on a preliminary

minimum-curvature basis, approximately 705 metres at end of hole and approximately 620 metres at the

707 m peak reading. The hole intersects a structurally complex package dominated by variably

deformed syenogranite intruded by mafic dykes and, in its upper 43 metres, mafic volcanic rock, with a

discrete zone of faulted sedimentary screens (siltstone, argillite and polymictic sedimentary breccia)

between approximately 409 m and 425 m - interpreted as a fault-bound block consistent with the

Company's R2G2™ (Reactivated Rift and Graben Geostructure) exploration model.

Pervasive brittle structure, not a single fault.

The updated Diamond Drill Report records 32

intervals of fault breccia (between approximately 132 m and 538 m) and 86 discrete intervals of

broken core (between approximately 48 m and 652 m), together with a discrete fault zone and

associated fault gouge at 17.1-17.8 m — indicating that roughly the upper 650 metres of DDH-26-

04 is affected by distributed faulting and fracturing rather than a single, isolated structure, with the

most intense fracturing concentrated above approximately 250 metres.

The highest hydrogen interval sits within a healed structural corridor.

The 665-707 m

interval hosting the hole's strongest readings, including the 24.3% H

peak at 707 m, lies within a

variably deformed mafic dyke-syenogranite complex described in field logs as containing

hydrothermal, quartz- and hematite-healed breccia and fracture sets oriented over a wide range of

angles to the core axis — consistent with a repeatedly reactivated structural corridor. Core quality

(RQD) through this interval remains generally high (75-100%), indicating the fracture network here

is substantially healed rather than open rubble.

A direct structural-gas correlation at 776-779 m.

Core-quality data show the only interval of 0%

RQD logged in the hole at 776-779 m — where the field log records near-total core loss

(approximately 20 cm of core recovered over the 3-metre run) and queries a possible open void —

and where magnetic susceptibility also falls to approximately 0 SI×10

³ over 777-778 m against a

local background of 3-5 SI×10

³ - both consistent with a discrete, more intensely broken structural

break. This interval directly brackets two of the strongest readings in the lower part of the hole

(8.3% H

at 776 m and 11.4% H

at 779 m), providing one of the clearest direct correlations yet

observed on the project between a specific structural feature and elevated hydrogen.

Pressurized water zone at approximately 617 m.

Company field personnel have reported a

pressurized water interval at approximately 617 m encountered during drilling of DDH-26-04, with

water observed overflowing at surface at the wellhead. The Diamond Drill Report logs a mm-scale

fault gouge at 618.9 m and an associated pyrite clot at 616.65 m in this same interval, consistent

with a hydraulically active structure at this depth.

Competent, low-porosity relatively undeformed syenogranite above the deep hydrogen

zone.

On a preliminary basis, the Company interprets the thick, dominantly syenogranitic block

between approximately 250 m and 640 m as a competent, low-porosity interval with the potential to

act as a comparatively impermeable cap above the deeper 665-818 m hydrogen-bearing zone.

Diamond Drill Report data support a tight rock-mass characterization of this block: core recovery

is logged at 100% throughout, with Rock Quality Designation (RQD) averaging approximately 90%

(median 93%) and no logged sub-interval falling below approximately 57% — markedly more

competent than the pervasively faulted upper 250 metres of the hole. Field logs repeatedly

describe the block as massive and silicified — including "texturally and mineralogically constant"

from 486.1 m to 535.3 m and an "overall silicified section" at 575-577 m — with fracture and

breccia sets dominantly healed by quartz, hematite and silica infill, including, in the brecciated

syenogranite toward the base of the block, the explicit observation that "quartz-filled fractures do

not extend into the matrix." Notably, open porosity (vugginess) is essentially absent from the field

logs across the 250-640 m block — in sharp contrast to the vug-rich, altered interval below

approximately 700 m — consistent with a low-porosity fractured granitic mass. Petrophysical

samples of the block (PSQIMC-26-136 through PSQIMC-26-140, between approximately 484 m

and 579 m) have been collected and laboratory porosity and permeability results are pending.

Diamond Drill Report additionally records four petrophysical samples through the deeper altered

zone (PSQIMC-26-144 through PSQIMC-26-147, approximately 694 m to 782 m), which will allow

direct laboratory comparison of the proposed sealing block against the vuggy, altered interval

beneath it.

Increasing alteration intensity from approximately 690 m to final depth.

Field logs for the

690-818 m interval repeatedly note increasing vugginess (open porosity) with depth — including at

700-702 m (logged as "core locally very vuggy"), 718-719 m, 741-752 m, 767 m, 773-776 m, 783-

785 m, 791-803 m and 804-806 m — together with increasing hematization (for example, 742.0-

745.7 m is logged as "intense K-spar to hematitic alteration resulting in a salmon-pink color," with

further hematization at 768.7-769.7 m and 804-806 m), increasingly intense brecciation from

approximately 741 m to 759 m, and, at 801-803 m, vugs explicitly associated in the field log with

"removal of 'dark' mineral (likely magnetite) from breccia matrix." Taken together, these

observations are consistent with progressive, structurally controlled magnetite-to-hematite (Fe²

-

to-Fe³

) redox alteration and increasing rock porosity with depth toward final hole depth, in a

package of granite that field logs otherwise describe as increasingly fractured and "tortured" -

texturally consistent with rock that has undergone repeated interaction with an actively altering fluid.

Preliminary IOCG-style alteration analogy — assays to be submitted for laboratory

analysis.

The combination of pervasive structural and hydrothermal brecciation, hematite-rich

alteration, and localized magnetite destruction/redistribution documented in DDH-26-04 is

texturally similar to alteration styles observed in Iron-Oxide-Copper-Gold ("IOCG") mineral systems

elsewhere. In particular, the Diamond Drill Report documents a long, continuously altered interval

from approximately 690 m to final depth at 818 m in which iron-oxide minerals are more

concentrated than elsewhere in the hole: interstitial and elongated magnetite (mm-wide, cm-long

grains aligned along the fabric) is logged throughout the host syenogranite, together with pervasive

K-spar-to-hematite alteration — including 742.0-745.7 m, logged as "intense K-spar to hematitic

alteration resulting in a salmon-pink color," further hematization at 768.7-769.7 m and around 805

m, and, at 801-803 m, vugs associated in the field log with removal of a dark mineral from the

breccia matrix. Core samples spanning this altered interval, including lithogeochemical samples

K685299 through K685302 (approximately 694 m to 783 m), will be submitted to the laboratory for

assay analysis.

District-Wide Context: Four Holes, One Structural Corridor

DDH-26-04 is located at Bennett Hill, approximately 15 kilometres from the Eatonville Road drill area

where DDH-26-01, DDH-26-02 and DDH-26-03 were completed earlier in the 2026 program. Previously

disclosed results from DDH-26-01, DDH-26-02 and DDH-26-03 are described in the Company's news

releases dated March 10, March 19, May 20, June 18 and June 29, 2026; depth references reflect

measurements recorded at each hole and are not equivalent calibrated values between holes.

The Company considers the combination of (i) percent-level hydrogen at two structural centres 15

kilometres apart, (ii) a consistent low-methane, low-CO

gas signature across all four holes, and (iii)

hydrogen concentrations that remain elevated or increase with depth in every hole drilled to date, to be

supportive of a district-scale, rather than point-source, natural hydrogen system along the regional

Cobequid-Chedabucto Fault Zone. The 24.3% H

reading at 707 metres in DDH-26-04 is, on a

preliminary basis, the highest single mud-gas hydrogen reading reported by the Company to date

across the Advocate Area.

Toward Commercial Development

QIMC is evaluating what a hydrogen system of this apparent scale and consistency could mean for a

longer-term pilot or commercial development pathway at the Advocate Area. This evaluation includes

ongoing monitoring of, and engagement with, evolving provincial and federal frameworks applicable to

natural hydrogen exploration, pilot testing and future production in Nova Scotia, Québec and Ontario as

well as evaluation of potential technical and development partnerships to advance any future pilot-scale

production model.

Management Commentary

"DDH-26-04 is a milestone hole for QIMC — and, we believe, a meaningful moment for clean natural

hydrogen in North America. We set out this season to answer one question: is the Advocate Area a

single anomaly, or a district? Four holes in, the data increasingly point to a district. We now have

percent-level hydrogen at two drill centres 15 kilometres apart, a peak reading of 24.3% H

- the

strongest number we have ever recorded - hydrogen that holds or strengthens with depth in every

hole, and a remarkably clean, low-methane gas signature throughout. Just as important, DDH-26-04

is starting to reveal the architecture of the system itself: a thick, competent granitic block sitting directly

above the deepest and richest hydrogen zone we have drilled to date. Every hole this year has

materially advanced the story, and we move into the next phase with the strongest dataset in the

Company's history and a clear line of sight on what a pilot pathway could look like. This is systematic,

science-led exploration, and we believe it is exactly how durable, long-term value gets built for our

shareholders,"

John Karagiannidis, President & Chief Executive Officer of QIMC.

Scientific Review and Commentary

DDH-26-04 drill hole, located at the summit of Bennett Hill, was designed to continue evaluating the

Advocate natural hydrogen corridor, and more specifically its presumed northeastward extension along

the deformation corridor situated between the South Cobequid and North Cobequid faults in Fraserville

area. This area of the Cobequid Highlands is characterized by a predominantly igneous geology,

dominated by felsic intrusive rocks associated with the Carboniferous Apple River pluton. The igneous

rocks in the vicinity of the drill site are highly deformed and altered, and they coincide with strong

hydrogen soil-gas anomalies identified during the initial 2025 survey. Together with Soil-Gas

geochemistry and drilling results from West Advocate, these anomalies demonstrated the presence of a

multi-kilometre natural hydrogen system, thereby validating the R2G2™ model originally applied to

prioritize exploration in this part of the Maritimes.

DDH-26-04 drill hole begins in basaltic rocks to the south and quickly intersects the felsic units of the

Apple River pluton. At Bennett Hill, the pluton is composed mainly of variably deformed syenogranite,

and it also contains aphyric mafic dykes. The dominant structural fabrics include tectonic and

hydrothermal breccias, zones of intensely fractured rock (low RQD), fault planes, and, more rarely, fault

gouge. As highlighted in the press release, the felsic rocks of the pluton are locally affected by strong

alteration characterized by hematite, magnetite, and chlorite, with additional zones of silicification and

carbonatization. Sulfides occur in several intervals, typically associated with intensely altered zones. The

style, mineralogy, and thickness of these alteration zones are consistent with an IOCG-type hydrothermal

system. It is worth noting that numerous IOCG-style occurrences have been documented along the

Cobequid Fault Zone over a strike length of approximately 300 km. However, the western segments of

the system, such as Advocate and Bennett Hill, were not previously recognized as hosting this type of

hydrothermal mineralization. In this context, both the location of DDH-26-04 and the substantial volume of

altered felsic rocks intersected in the drill hole are particularly significant.

Figure 1.

Diagram showing the changes in H

2

(ppmV) concentrations (drill mud) measured in hole

DDH-26-04 and the magnetic susceptibility measurements and RQD (%) measured on the drill core.

The main lithologies and some structural elements are also shown in the figure.

To view an enhanced version of this graphic, please visit:

https://images.newsfilecorp.com/files/7968/305760_89c578e76471ca65_001full.jpg

A redundancy analysis (RDA) was conducted to provide a preliminary assessment of the relationship

between hydrogen concentrations (H

, log

₁₀

-transformed) measured in the drilling mud from DDH-26-04

and the distance (in metres) separating each measurement point from the nearest breccia zone, fault

gouge, or fault mirror (slickenside), while also accounting for geological unit. The model explains 21.0%

of the variance in log

₁₀

(H

), a statistically significant result (p = 0.001). The distance to the nearest

breccia zone is the strongest predictor: H

concentrations decrease significantly with increasing

distance from breccia, supporting the interpretation that breccia zones act as preferential conduits for

gas migration. Distance to the nearest fault mirror is also significant, but in the opposite direction

because H

2

concentrations increase with greater distance indicating that these striated surfaces

represent sheared and sealed planes, not open pathways for hydrogen flow.

Geology contributes more modestly once structural distances are accounted for (partial R² = 5.1%, p =

0.016), with undeformed syenogranite showing significantly lower H

concentrations than deformed

syenogranite. These results reinforce the hypothesis of a direct structural control on H

migration

governed primarily by proximity to breccia zones. This observation is consistent with previous

interpretations from drill holes DDH-26-01, DDH-26-02, and DDH-26-03, which highlighted the

importance of intensely fractured competent rocks in the hydrogen emplacement process within the main

deformation corridor of the Cobequid Fault Zone. The correlation between hydrogen concentrations and

magnetic susceptibility is very weak, indicating that magnetite-rich intervals are not reliable indicators of

hydrogen presence. However, elevated magnetic susceptibility values do reveal an anomalous

abundance of magnetite in the Apple River granitoids, pointing to the influence of a powerful IOCG-type

hydrothermal system that affected the local igneous rocks. IOCG systems require high structural

permeability, breccia zones, reactivated faults, and a network of penetrative fractures in granitoids-the

same conditions necessary for natural hydrogen migration. Such systems create fractured, altered, and

permeable structural corridors that persist over geological time. Millions of years later, these inherited

corridors have become the preferred migration pathways for natural H

, as observed in the Advocate

and Bennett Hill areas.

About Québec Innovative Materials Corp. (QIMC)

Québec Innovative Materials Corp. (CSE: QIMC) (OTCQB: QIMCF) (FSE: 7FJ) is a North American

exploration and development company advancing a portfolio of natural hydrogen and critical mineral

interests. The Company is advancing its exploration model across Québec, Ontario, Nova Scotia and

Minnesota through the application of its proprietary R2G2™ (Reactivated Rift and Graben Geostructure)

framework. QIMC is focused on responsible exploration, technical innovation, and the advancement of

natural hydrogen opportunities that may contribute to future clean-energy development initiatives. The

Company's exploration at the Advocate Area involves no hydraulic fracturing and no reservoir

stimulation.

For Further Information

QUÉBEC INNOVATIVE MATERIALS CORP.

John Karagiannidis

President & Chief Executive Officer

Email:

[email protected]

Tel: +1 514-726-7058

Sampling, Methodology and Data Verification

Mud-gas readings reported in this release are preliminary and are based on co-collected IsoJar

headspace samples taken at regular depth intervals during the drilling of DDH-26-04, using a

portable EAGLE II gas analyzer fitted with a higher measurement range than the unit used in the

upper 100 metres, consistent with the methodology disclosed by the Company on June 18 and June

29, 2026. Companion 2-litre bottle headspace samples were collected using the Company's standard

headspace protocol (1,300 mL water / 700 mL air at room temperature and pressure) as described in

the Company's March 10, 2026 disclosure for DDH-26-01.

The results in this release below 250 metres have been compiled from the Company's original

handwritten field and laboratory data sheets.

They have been independently verified against

certified gas cylinder standards under the supervision of Prof. Marc Richer-LaFlèche, P.Geo., of

INRS, prior to any public disclosure.

Scientific and Technical Information

The scientific and technical information in this news release has been reviewed and approved by Prof.

Marc Richer-LaFlèche, P.Geo., of the Institut national de la recherche scientifique (INRS), a technical

consultant to the Company.

Natural hydrogen is a gaseous substance and is not a "mineral resource" or "mineral reserve" as

those terms are defined under National Instrument 43-101 - Standards of Disclosure for Mineral

Projects ("NI 43-101") and the CIM Definition Standards. The hydrogen readings disclosed in this

news release are provided as exploration-stage geochemical information and general corporate

disclosure. NI 43-101 mineral resource and mineral reserve definitions and classifications do not

apply to the hydrogen readings reported herein.

Cautionary Statement Regarding Mud-Gas Readings

Investors are cautioned that mud-gas and headspace gas readings are preliminary, exploration-stage

geochemical indicators only. They are preliminary laboratory measurements obtained from IsoJar

headspace samples. They are not mineral resources or mineral reserves, are not indicative of the

presence, volume, concentration, flow rate, deliverability or commercial recoverability of any natural

hydrogen accumulation, and should not be relied upon as such. There is no guarantee that elevated

hydrogen readings will be independently verified, calibrated, or translate into an economically

recoverable resource. References to "record," "highest," "strongest" or similar terms reflect the

Company's review of its own records and are not statements of independently verified fact.

Neither the Canadian Securities Exchange nor its Regulation Services Provider (as that term is

defined in the policies of the Canadian Securities Exchange) accepts responsibility for the

adequacy or accuracy of this release.

Forward-Looking Statements

This news release contains "forward-looking information" and "forward-looking statements" within the

meaning of applicable Canadian securities laws, including statements regarding the interpretation

and significance of hydrogen readings at DDH-26-04 and other holes; the existence, extent, continuity

or scalability of any hydrogen corridor or system; the relationship between Bennett Hill and the

Eatonville Road drill area; any potential pilot-scale or commercial hydrogen production pathway,

partnership or regulatory development; and results expected from continued sampling, drilling, and

laboratory calibration. Such statements are based on assumptions and are subject to known and

unknown risks and uncertainties — including that readings may not be confirmed by laboratory

analysis, that geochemical indicators may not reflect a recoverable resource, that no decision has

been made to proceed with pilot or commercial production, and risks relating to financing, permitting,

weather, markets and general economic conditions — that may cause actual results to differ

materially from those expressed or implied. Readers are cautioned not to place undue reliance on

forward-looking statements. Except as required by applicable law, the Company disclaims any

obligation to update or revise any forward-looking statements.

To view the source version of this press release, please visit

https://www.newsfilecorp.com/release/305760