QEM announces significant resource upgrade

QEM Limited (ASX: $QEM) has announced a substantial increase in the size and grade of the Julia Creek vanadium deposit, along with a significant upgrade in the confidence of the oil Resource at the Company's flagship Julia Creek Project. The updated JORC Mineral Resource Estimate encompasses a 28% increase in Indicated vanadium Resource of 461Mt and 2,406Mt in the Inferred category. Additionally, the updated PRMS (2018) resulted in a maiden 1C resource of 6.3 MMBBL's, a 32% increase of the 2C oil shale estimate to 94MMBBls, and a 3C oil shale estimate of 654 MMBBls. The company is also exploring the potential of base metals and cement products as by-products of the Vanadium processing, which could significantly contribute to the overall value of the project.

Executive commentary on resource upgrade

QEM Managing Director Gavin Loyden expressed his satisfaction with the Resource upgrade at Julia Creek, highlighting the 28% and 32% increases in Indicated Vanadium and 2C oil resources respectively. He emphasized the significance of the upgrade, enabling the integration of new findings into the upcoming Scoping Study, marking a major step forward for the Company's production ambitions. Mr. Loyden also mentioned the Company's focus on developing Australia's critical minerals resources and delivering innovative energy solutions to aid in meeting the country's energy transition targets. He further outlined plans for QEM's 2024/5 exploration campaign, indicating a positive outlook for the future.

Summary of resource upgrade and outlook

The resource upgrade at Julia Creek represents a significant milestone for QEM, positioning the company for further development and growth. With the increase in vanadium and oil shale resources, QEM is on track to release a new Scoping Study in 2Q 2024, signifying progress towards its production ambitions. The company's exploration campaign for 2024/5 is expected to build on the encouraging Resource upgrade. Additionally, the potential for base metals and cement products as by-products of the Vanadium processing presents an opportunity for enhanced project value. QEM's focus on critical minerals and innovative energy solutions aligns with global energy transition targets, indicating a promising outlook for the company's future endeavors.