First Atlas Resources Corp. Expands Application of QIMC's Play-Based Natural Hydrogen Targeting

14:00 Uhr  |  Newsfile

Framework Across Springhill and Southampton Assets Following QIMC's 10.77% H2 Drill Result

HHE Programs to Be Targeted Using Play-Scale Footprint, Stacked-Domain and Structural-Continuity Criteria; Builds on 2025 Springhill Soil-Gas Programme (Peak 1,652 ppm H₂, 230 Samples)

First Atlas Resources Corp. (CSE: HHE) (OTC Pink: BTKRF) (FSE: 0NB0) ("First Atlas" or the "Company") is pleased to provide an update on its Nova Scotia Natural Hydrogen program. Building on the Company's March 24, 2026 adoption of the Reactivated Rift and Graben Geostructure (R2G2™) exploration model developed by Québec Innovative Materials Corp. (CSE: QIMC) (OTCQB: QIMCF) (FSE: 7FJ) ("QIMC"), First Atlas will now apply QIMC's broader play-based hydrogen assessment methodology to its Springhill and Southampton-adjacent licence packages along the northern margin of the Cumberland Basin.

This evolution is informed by QIMC's most recent drill result at the West-Advocate project, which returned a peak mud-gas reading of 10.77% H₂ at 848 m depth in DDH-26-03, with five stacked percent-level H₂ readings within a 69-metre interval and a methane-free, CO₂-free gas signature consistent with a natural-hydrogen system (see QIMC press release dated May 20, 2026). QIMC has characterized the West-Advocate hydrogen occurrence as a play-scale system rather than a localized anomaly, with lateral continuity demonstrated over approximately 2.5 km along the Cobequid-Chedabucto structural corridor. First Atlas intends to apply the same play-based framework - emphasizing footprint, net structural thickness, and stacked-domain density - to its own assets.

Highlights

• Program evolution: First Atlas to apply QIMC's play-based assessment methodology - footprint, net structural thickness, and stacked-domain density - across Springhill and Southampton-adjacent licences. The methodology applies system-scale structural and continuity analysis concepts commonly used in large-area subsurface exploration programs.

• 2025 Springhill soil-gas baseline: 230 soil-gas samples collected in 2025 returned 17 results above 400 ppm H₂, three above 700 ppm, and a peak of 1,652 ppm H₂, with the strongest values where the Athol syncline intersects the Oxford Fault - a crustal-scale structure (see HHE/QMET press release dated September 17, 2025).

• October 2025 verification: Detailed radon-thoron verification and follow-up hydrogen soil-gas testing confirmed multiple fault-controlled degassing corridors, with radon readings reaching up to 85,000 Bq/m³ and hydrogen values to over 1,662 ppm (see HHE/QMET press release dated October 29, 2025).

• QIMC validation reference: QIMC has reported a peak H₂ mud-gas reading of 10.77% at 848 m in DDH-26-03, methane-free, supporting the interpretation of a structurally controlled natural hydrogen system within the Cobequid-Chedabucto corridor (see QIMC press release dated May 20, 2026).

• Targeting work plan: HHE and QIMC are integrating the 2025 soil-gas, radon-thoron and structural datasets into a play-scale targeting framework for Springhill and Southampton-adjacent areas, in advance of First Atlas's funded drilling programme being prepared with QIMC (initial holes targeting the Salt Spring and Apple River corridors, as previously disclosed).

Why the Play-Based Approach Matters for HHE

The play-based assessment framework, as adopted from QIMC's West-Advocate work, shifts the unit of analysis from discrete drillhole responses to system-scale characterization of structurally pervasive hydrogen occurrences. Under this framework, system-scale prospectivity is evaluated using:

• Areal footprint - the lateral extent of structurally controlled hydrogen anomalies along defined fault corridors;

• Net structural thickness - the cumulative thickness of fault-and-fracture-controlled architecture interpreted to host hydrogen migration and accumulation;

• Stacked-domain density - the number of vertically separated, fault-controlled domains within a given vertical section.

QIMC has demonstrated, at West-Advocate, lateral continuity over approximately 2.5 km along the Cobequid-Chedabucto corridor, multiple vertically stacked hydrogen-bearing zones, and a methane-free, CO₂-free gas signature in DDH-26-03 (QIMC press release, May 20, 2026). QIMC has further interpreted the West-Advocate system as "structurally pervasive along the Cobequid-Chedabucto corridor, with hydrogen generation, migration and accumulation coupled within the same fault architecture."

HHE's Springhill and Southampton-adjacent licences sit within the same basin (Cumberland Basin) and are interpreted by the Company to share key elements of the R2G2™ structural architecture - including reactivated graben margins, crustal-scale fault intersections (notably the Oxford Fault in the Springhill area), and demonstrated surface hydrogen anomalies. The reader is cautioned, however, that geological continuity and hydrogen concentrations on QIMC's properties are not necessarily indicative of similar results on HHE's properties.

Application to Springhill

The Springhill area, where the Athol syncline connects to the Oxford Fault, represents the highest-value HHE target under the play-based framework for three reasons disclosed by the Company to date:

1. Surface footprint already established - the 2025 soil-gas programme returned a peak of 1,652 ppm H₂ across 230 samples, with 17 results above 400 ppm. October 2025 radon-thoron verification confirmed fault-controlled degassing corridors with radon to 85,000 Bq/m³ - a strong vector for active subsurface hydrogen migration.

2. Structural correspondence with R2G2™ targeting criteria - the Athol-Oxford intersection is a major reactivated fault node analogous to the structural settings QIMC has been targeting along the Cobequid-Chedabucto corridor.

3. Disclosed forward programme - QIMC has previously disclosed it is finalizing drill hole locations for a planned drilling programme in the Springhill area to test priority advective hydrogen flow zones and fault-linked gas anomalies; collar locations and sequencing will be released when finalized (see HHE press release dated March 24, 2026).

Application to Southampton (HHE Licences Adjacent to QIMC's Southampton Area)

First Atlas's recent acquisitions include licences adjacent to QIMC's Southampton hydrogen exploration area. The Company intends to apply the same play-based framework to these licences in coordination with QIMC, prioritizing:

• Surface soil-gas and radon-thoron baseline surveying using the protocol developed by QIMC and INRS;

• Structural mapping of reactivated fault and graben elements identified through regional geophysics;

• Integration of HHE survey data with QIMC's adjacent Southampton dataset to define a contiguous targeting footprint along the corridor where licence boundaries permit shared interpretation.

CEO Commentary

Richard Penn, President & CEO of First Atlas, commented:

"QIMC's results at West-Advocate - and specifically the 10.77% mud-gas peak at DDH-26-03 with five stacked percent-level readings in a 69-metre interval - fundamentally advance the case for treating Nova Scotia's natural hydrogen occurrences as play-scale systems rather than isolated anomalies. Adopting the R2G2™ model was the first step. Applying QIMC's play-based assessment framework to our Springhill and Southampton-adjacent assets represents the logical next step, and it gives us a defensible, system-scale way to think about exploration and targeting on our own ground. Our 2025 soil-gas results at Springhill - peaking at 1,652 ppm H₂ with multiple fault-controlled degassing corridors confirmed through radon-thoron verification - gave us the surface footprint. The play-based framework gives us the methodology to translate that footprint into prioritized subsurface exploration targets."

John Karagiannidis, President & CEO of QIMC, added:

"DDH-26-03 has reinforced our view that the West-Advocate system is structurally pervasive along the corridor rather than a localized anomaly, and that a play-based assessment methodology - borrowing from the unconventional continuous-resource framework - is the right way to characterize system scale. We are pleased to extend that framework, alongside First Atlas and INRS, to the Springhill and Southampton-adjacent areas, where the 2025 soil-gas and radon-thoron results already define a credible surface footprint."

About First Atlas Resources Corp.

First Atlas Resources Corp. (CSE: HHE) (OTC Pink: BTKRF) (FSE: 0NB0) is a Canadian exploration company advancing a portfolio of natural hydrogen and critical mineral assets, with a strategic focus on the Cumberland Basin natural hydrogen district in Nova Scotia. The Company holds licences along the northern margin of the Cumberland Basin spanning the Springhill-Salt Springs-Oxford-Pugwash-Fox Harbour-Wallace region, as well as licences adjacent to QIMC's Southampton hydrogen exploration area.

About QIMC

Québec Innovative Materials Corp. (CSE: QIMC) (OTCQB: QIMCF) (FSE: 7FJ) is a North American exploration company advancing a portfolio of natural hydrogen and critical mineral projects across Québec, Ontario, Nova Scotia, and Minnesota, leveraging its proprietary R2G2™ framework. Further information at www.qimaterials.com.

Reliance on Information Disclosed by QIMC

This press release references publicly disclosed information by Québec Innovative Materials Corp. dated August 25, 2025, March 10, 2026, March 17, 2026, March 19, 2026, April 29, 2026, and May 20, 2026. First Atlas has not independently verified all technical information disclosed by QIMC and is relying on such information as reported. The reader is cautioned that geological continuity and hydrogen concentrations on QIMC's properties are not necessarily indicative of similar results on HHE's properties.

Forward-Looking Statements

This news release contains "forward-looking information" and "forward-looking statements" within the meaning of applicable Canadian securities legislation. Forward-looking statements include, without limitation, statements regarding the application of QIMC's R2G2™ model and play-based assessment methodology to First Atlas's Springhill and Southampton-adjacent licences; the interpretation of 2025 soil-gas and radon-thoron data; the timing and outcome of planned drilling; and the Company's exploration and business strategy. These statements are based on assumptions and expectations that First Atlas believes are reasonable as of the date hereof, but they are subject to known and unknown risks and uncertainties - including but not limited to commodity-price volatility, exploration risk, the risk that geological continuity may not exist between properties, regulatory and permitting risk, financing risk, and general market and operational conditions - which could cause actual results to differ materially. Readers are cautioned not to place undue reliance on forward-looking statements. The Company undertakes no obligation to update forward-looking statements except as required by law.

Disclaimer

Neither the Canadian Securities Exchange nor its Regulation Services Provider accepts responsibility for the adequacy or accuracy of this release.