Quantum Helium Advances Commercial Oil Production at Sagebrush Project and Seeks OTC Markets Secondary Listing

Quantum Helium Targets US Capital Markets Through OTC Secondary Quotation

Quantum Helium Limited has taken a pivotal step by approving an application for secondary quotation on the OTC Markets in the US, aligning with its strategic focus as a US-centric helium and energy company with all operations based in Colorado and other US jurisdictions. This secondary quotation complements the company’s existing AIM listing on the London Stock Exchange’s alternative market, without necessitating new share issuance or additional reporting burdens.

The board views the OTC Markets listing as a natural progression, given that Quantum Helium’s production assets, development projects, and growth prospects are all US-based. This move is designed to broaden exposure to North American investors and enhance trading accessibility for US shareholders. Existing ordinary shares traded on AIM will become eligible for US dollar trading via OTC Markets, enabling investors to transact during US market hours. The application process is expected to finalize within approximately four weeks, subject to standard OTC Markets procedures. Additionally, the listing will open doors to wider North American investor engagement opportunities, including participation in OTC investor programs, virtual conferences, market opening ceremonies, and podcasts.

Commercial Oil Discovery Bolsters Sagebrush Project Economics

The Sagebrush-1 well has yielded a significant commercial oil discovery during helium testing operations. The company plans to complete its first commercial sale of Leadville oil from this well in July 2026, marking a key milestone for the Sagebrush Project. Geological analyses suggest the oil may have migrated from younger formations into the naturally fractured Leadville reservoir. Ongoing oil typing studies aim to deepen understanding of the oil’s source and migration patterns.

This commercial oil discovery enhances the economic outlook for the Sagebrush development while supporting Quantum Helium’s primary helium strategy. Both oil and helium appear to flow through the same extensive fracture system in the Leadville formation, strengthening confidence in the field’s long-term development potential. The company’s existing oil production portfolio remains robust, with seven of eight producing wells online and generating revenue, providing valuable cash flow to support helium asset development. This unexpected commercial oil production offers an additional value opportunity for investors as the company advances its Colorado acreage.

Helium Concentrations at 2.5% Surpass Commercial Production Thresholds

Extended production testing at Sagebrush-1 has confirmed helium concentrations of 2.5%, significantly exceeding typical commercial thresholds. This validates the geological prospects that attracted Quantum Helium to the Sagebrush Project and reinforces management’s confidence in the helium resource’s commercial viability. The well continues to produce oil, helium-bearing gas, and water, with ongoing efforts focused on optimizing long-term performance through reservoir optimization and pressure build-up testing.

Helium’s critical industrial role and limited global supply underscore the importance of these findings. The helium produced meets quality standards that support economically viable commercial sale and processing. Reservoir pressures are nearing virgin conditions after pressure build-up testing, indicating strong pressure support capable of sustaining extended production. The company has also implemented paraffin treatments in the wellbore as part of its optimization strategy. These technical achievements establish a solid foundation for the next development phase and demonstrate that the Sagebrush Project possesses essential characteristics for commercial-scale helium and oil production.

Extensive Natural Fracture Network Enhances Field Development Prospects

Production testing at Sagebrush-1 has revealed a highly connected natural fracture system in the Leadville formation, critical for supporting future field development. This geological feature facilitates hydrocarbon movement and indicates the reservoir’s natural infrastructure can sustain multi-well development. Combined with reservoir pressures approaching virgin conditions, this strengthens the case for a multi-well drilling program across Quantum Helium’s Colorado acreage.

Planning for the next development phase includes evaluating follow-up drilling locations at Sagebrush and several additional low-risk helium and oil prospects across existing acreage. This strategy leverages detailed geological and reservoir insights gained from Sagebrush-1 to identify and develop further commercial opportunities. Management has engaged positively with the US Bureau of Land Management on permitting requirements and remains optimistic about the regulatory pathway for advancing development activities. The natural fracture system and supportive regulatory environment position the company well for expanding production across multiple wells and locations.

Independent Reserves Update Planned After Production Stabilization

Quantum Helium plans to re-engage independent reserves auditor Sproule ERCE to update its certified resource assessment once reservoir clean-up and production stabilization allow for representative sustained production rates. This update will incorporate the commercial oil discovery and latest Sagebrush-1 production data, offering investors an independently verified evaluation of the company’s resource base. The timing is strategically important to reflect operational achievements and provide a comprehensive view of the field’s development potential.

This updated resource assessment underscores management’s commitment to transparent reporting and delivers verified insights into the scale and quality of Quantum Helium’s resource portfolio. The company already holds one of the largest independently certified helium resource portfolios among London Stock Exchange-listed companies, and the update is expected to highlight additional value from the Sagebrush-1 discoveries and operational progress.

Ongoing Operational Optimization and Extended Production Testing

The Sagebrush-1 well continues an extended clean-up and optimization program following stimulation. Oil, helium-bearing gas, and water production persist as pressure build-up testing and stimulation fluid recovery advance. This program aims to maximize long-term production and deepen reservoir understanding before production data is deemed representative of long-term performance. Such methodical reservoir characterization is vital for accurate production forecasting and optimizing future development.

Reservoir optimization includes ongoing pressure build-up testing and paraffin treatment of the wellbore to address operational challenges. The company acknowledges that sufficient time is required to establish sustained production rates before making final development decisions. Management will provide further operational updates as optimization progresses and production data better reflects reservoir characteristics. This cautious approach highlights the company’s dedication to fully understanding Sagebrush’s potential before committing to large-scale multi-well capital expenditures.

Expanded Development Strategy Across Colorado Acreage Positions Quantum Helium for Growth

With reservoir clean-up advancing and production stabilizing, Quantum Helium has begun planning the next development phase across its Colorado acreage, significantly expanding its operational footprint. This strategy includes evaluating follow-up drilling at Sagebrush and several additional low-risk helium and oil prospects within its acreage. This diversified development approach enables the company to pursue multiple opportunities while leveraging expertise gained from Sagebrush-1.

Management has held positive talks with the US Bureau of Land Management regarding permitting and remains encouraged by the regulatory pathway for future development. Regulatory engagement is critical to securing permits for the multi-well drilling program. Quantum Helium will provide further updates on its broader Colorado development strategy, including drilling opportunities and plans, as technical and permitting efforts progress. Operational success at Sagebrush-1, favorable reservoir conditions, and supportive regulation create an advantageous environment for expanding development across Colorado in the coming months and years.

Existing Oil Production Portfolio Provides Stable Cash Flow

Quantum Helium’s existing oil production portfolio remains strong, with seven of eight wells currently online and generating revenue. This performance is significant as revenues from oil production supply valuable cash flow supporting helium asset development. Although specific revenue figures were not disclosed, the majority of wells producing indicates a functioning, cash-generative asset base.

This revenue serves dual strategic purposes: providing immediate cash flow to fund operations and development without additional equity or external financing, and supporting the company’s broader US-focused helium and energy strategy by demonstrating operational capability across multiple hydrocarbon streams. This diversified revenue base, combined with the commercial helium opportunity at Sagebrush, positions Quantum Helium to build a sustainable, cash-generative business model while scaling production across its Colorado acreage.

Strong Competitive Position in Helium Market and London Stock Exchange

Quantum Helium holds one of the largest independently certified helium resource portfolios among London Stock Exchange-listed companies, a notable position given helium’s critical industrial role and limited commercial sources. The company’s substantial independent certification offers investors verified insight into the helium opportunity within its portfolio and supports its strategic positioning as a key potential helium supplier to North American markets.

The pursuit of an OTC Markets secondary quotation reflects recognition that North American investors are a natural and significant market for helium and energy securities. By expanding US investor access, Quantum Helium aims to attract investment from those focused on North American natural resources and energy infrastructure. The existing AIM listing provides access to UK and European investors, while the OTC Markets listing will broaden reach to the extensive US investment community. This dual-listing strategy enhances capital access from diverse geographies, potentially improving share liquidity and lowering future financing costs.