Quantum Helium (AIM: QHE) Commences Sagebrush-1 Mobilisation

Quantum Helium (AIM: QHE) Commences Mobilisation for Major Sagebrush-1 Stimulation Programme

Quantum Helium Limited (AIM: QHE; OTC: QHELF) is pleased to announce that mobilisation and site preparations are underway for the planned larger-scale fracture stimulation programme at its Sagebrush-1 well in Colorado, USA, where the Company holds a 90% working interest.

The programme represents a significant operational milestone for Quantum and follows several months of detailed technical evaluation, engineering design and preparation aimed at unlocking stronger, more sustainable gas flow from the helium-bearing Leadville Formation.

Highlights

• Mobilisation underway at Sagebrush-1, with the workover rig on location and specialist equipment being assembled for the stimulation programme.
• New 3.5-inch tubing has been installed in the well, with preparations progressing for the deployment of additional surface equipment, storage tanks and specialist stimulation services.
• The larger stimulation programme is designed to create and maintain conductive fractures within the Leadville Formation, improving connectivity to the helium-bearing reservoir.
• Programme follows extensive engineering analysis and optimisation, incorporating lessons from the earlier extended production test.
• Sagebrush-1 has previously demonstrated helium concentrations of approximately 2.5% during recent testing, with historical drill stem testing recording 2.76% helium.
• Mobilisation coincides with the recent designation of helium as a critical material by the US Department of Energy, reinforcing the strategic importance of developing new domestic helium supplies.

Sagebrush-1 – Operational Update

Quantum confirms that mobilisation is progressing at Sagebrush-1, with the workover rig now on location and preparatory operations underway. (Figure 1)

New 3.5-inch tubing has been installed in the well, while preparations are advancing for the installation of additional equipment and the mobilisation of specialist stimulation services.

The planned operation will utilise a gelled foam fracture stimulation treatment, incorporating nitrogen to create the foam and proppant to maintain conductive pathways within the Leadville Formation. The use of nitrogen is designed to assist the subsequent flowback process, helping to recover treatment fluids from the well and support the evaluation of gas flow from the reservoir.

The objective is to improve reservoir connectivity and overcome the flow restrictions identified during previous testing, enabling gas contained within the helium-bearing formation to flow more effectively into the wellbore.

The programme follows an extensive technical review undertaken with specialist fracture stimulation engineers, including analysis of the earlier acid stimulation programme and the geological and reservoir characteristics of the Leadville Formation.

Importantly, Sagebrush-1 historically flowed gas to surface from the Leadville Formation during drill stem testing, confirming the presence of a helium-bearing gas accumulation. The current programme is therefore focused on improving the flow characteristics of an established gas-bearing formation rather than identifying a new accumulation.

The Company believes the planned treatment represents an important next step in assessing the potential commercial deliverability of Sagebrush-1.

Following completion of the stimulation, the well is expected to undergo an initial flowback and clean-up phase, followed by evaluation of reservoir response, gas flow rates and pressures. Subject to operational results, further extended testing may subsequently be undertaken.

The timing and outcome of these operations remain subject to final operational and regulatory requirements, weather conditions and the performance of the well.

Quantum will provide further updates as appropriate.

Figure 1: Workover rig on location at Sagebrush-1

Strategic Importance and Helium Market

The commencement of mobilisation comes at a particularly significant time for the US helium industry.

As previously announced by Quantum on 26 October 2026, the United States Department of Energy formally designated helium as a critical material on 23 October 2026, recognising its essential role in semiconductor manufacturing, quantum computing, advanced technologies and national security.

The designation reinforces the strategic importance of developing secure domestic helium supplies at a time of heightened global supply concerns and strong helium pricing.

Quantum’s Colorado portfolio comprises 1.104 billion cubic feet (Bcf) of independently assessed 2U gross helium resources across Sagebrush and Coyote Wash, as evaluated by Sproule ERCE.

Based on what the Company considers to be a conservative illustrative helium selling price assumption of US$500 per thousand cubic feet (Mcf), Quantum’s independently assessed gross helium resource represents a potential gross sales value of approximately US$552 million. This figure is illustrative and does not represent a project valuation or an estimate of future revenue, which would depend on successful development, commercial recovery and prevailing market conditions.

The Company believes the combination of its independently assessed resource base, established infrastructure at Sagebrush and the increasing strategic importance of US domestic helium supply provides a compelling foundation for future development.

Howard McLaughlin, Chief Executive Officer of Quantum Helium, commented: “We are extremely excited to be moving forward with this major stimulation programme at Sagebrush-1. Following months of detailed technical evaluation, engineering and planning, it is hugely encouraging to see equipment mobilised and operations progressing on site.

“This is an important moment for Quantum. We have always known that helium is present within the Leadville Formation, and our focus has been on identifying the most effective engineering solution to unlock its production potential. We believe this larger stimulation programme represents our best opportunity to achieve the stronger, more sustainable flow rates we are targeting.

“The timing is also particularly exciting. With the US Government having recently designated helium as a critical material, and the growing importance of secure domestic supply, we believe Quantum is exceptionally well positioned with its substantial independently assessed helium resource base in Colorado.

“Our entire team is firmly focused on delivering this programme. We recognise its importance to our shareholders and the potential significance of a successful outcome for the wider development of Sagebrush. We are delighted to have reached this stage and look forward to providing further updates as operations progress.”

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 publication via Regulatory Information Service (‘RIS’), this information is now in the public domain

Enquiries:

Updates on the Company’s activities are regularly posted on its website: www.quantum-helium.com

Notes to editors

Quantum (AIM: QHE) is a helium and hydrocarbon exploration, development, and production company with projects in the US. Quantum’s strategic objectives remain consistent: to identify opportunities which will provide operating cash flow and have development upside, in conjunction with progressing exploration. The Company has several projects in the US, in addition to royalty interests in Australia.