QMines Limited provided the following results from the ongoing RC drilling program at its flagship Mt Chalmers copper and gold project, located 17km north-east of Rockhampton, Queensland. Further high-grade copper equivalent (CuEq) results were received from the ten most recent RC drill holes (MCRC021- MCRC030) reported from the June - July drilling program. Peak grades of 17.28% CuEq (MCRC029) and 7.25% CuEq (MCRC023) were returned.

RC drilling operations continue at Mt Chalmers with the Company completing a further two RC holes for 450 metres since returning to site. Multiple drill pads have also been prepared at the southern end of the Mt Chalmers West Pit in preparation for resource extension drilling to the south. The holes drilled to date and represent the continuation of the RC drilling program.

Planned holes and holes completed from the June-July drilling programs are summarised. Significant results from this recent Mt Chalmers drilling program. RC holes MCRC021 - MCRC027 were drilled along the western side of both the Main Pit and the West Pit and have closed off the mineralisation on this side of the project.

Holes MCRC028 - MCRC032 were drilled to the north of the Main Pit where mineralisation remains open. Results for holes MCRC021 - MCRC030 have been received and have returned high-grade results over broad intervals including 37m @ 2.9% CuEq in MCRC029 and 25m @ 1.65% CuEq in MCRC023. The Mt Chalmers drilling program will continue throughout 2022 with results expected to be announced on a regular basis throughout the remainder of the year.

The aim of the ongoing drill program is to expand (step-out) and upgrade the resource by infilling areas of low confidence. Mineralisation intersected in some holes is broader than expected, based on historic drilling. In addition to broader zones of mineralisation, stacked mineralisation horizons have been noted.

The Company has focussed drilling at the northern end of the project and will move the RC rig to the south end of the West Pit this month, where mineralisation also remains open. The Company has completed 10,581 meters of drilling (4,679 meters of RC and 5,902 meters of diamond) to date at Mt Chalmers. The increased drill density, together with deeper drilling, is delivering a more detailed geological and structural interpretation for the Mt Chalmers project.

The Company is drilling grouped holes from various prepared drill pads due to terrain and access. In June, the Company commissioned Mitre Geophysics Pty Ltd. to complete a downhole electromagnetic (DHEM) orientation survey to better understand the electromagnetic (EM) response of the Mt Chalmers mineralisation. The results of the downhole orientation survey are to be used to design a more extensive airborne EM survey over a large part of the Mt Chalmers tenement package.

Drillholes MCRC009 and MCDD005 were used as the first survey holes. The results from the downhole EM are not fully understood. The outcome of the survey showed a weak response returned from the mineralised intersections in the surveyed holes.

However, a strong off-hole response from drillhole MCRC009 was returned. Modelling of the response proved difficult and some unusual artifacts were noted in the data (however the quality of the raw data was deemed to be good). As a result of the DHEM survey results, the Company has reviewed historical drillhole data adjacent to the MCRC009 off-hole response and can confirm four historical holes intersected significant copper mineralisation in stringer zones including DDH0014 intersected 22.6m @ 2.05% Cu, DDH0013 intersected 15.8m @ 2.05% Cu, DDH0012 intersected 22m @ 1.49% Cu and DDH0009 which intersected 22m @ 1.02% Cu.

To confirm the veracity of the response and the suitability of EM as an effective exploration tool at Mt Chalmers, the Company plans to target the off-hole response with an angled RC hole, and if required complete an additional downhole EM survey. Airborne EM may prove to be a rapid assessment and targeting tool over the wider Mt Chalmers project, assisting in targeting the large Cu and Zn in soil anomalies at Tracker 1, 2 and 3.