MetalQuest Mining Engaged in Discussions with Leading Engineering Firms for Development of Lac Otelnuk Project
Rockport, April 15th, 2025 - MetalQuest Mining Inc. (TSXV: MQM) ("MQM" or the "Company") is pleased to announce that its management team has been actively engaged in obtaining formal proposals and cost estimates with five internationally recognized engineering firms, each with extensive experience in iron ore, green steel production, infrastructure and mining development in Northern Quebec. MQM is focused on receiving quotations to support the next phase of technical and strategic development of the Lac Otelnuk Iron Ore Project, one of North America's largest undeveloped iron ore projects. The firms under consideration are in the process of submitting detailed proposals outlining their scope, pricing, and execution strategies.
Chairman and CEO Harry Barr states, "We are taking a disciplined and strategic approach in selecting the right engineering team to support the Lac Otelnuk Project. This is not just about cost-it's about vision, innovation, and long-term alignment. We want a partner who understands how to build a mine of the future-one that meets the demands of the green steel economy, respects the environment, the local communities and their culture. It is important that we build on the 2015 Feasibility Study and update key reports so that we have a clear plan to further Project development."
Scope of Engineering Reports
As MQM works toward initiating a modern, low-emissions iron ore operation capable of producing DR-grade pellets and/or Hot Briquetted Iron (HBI), the Company has asked for proposals based on the following;
| Focus Area | Description | |
| 1 | Gap Analysis | Evaluation of the 2015 Feasibility Study and identification of missing or outdated technical studies. Recommendations for regenerating data and preparing for a new PEA or PFS. |
| 2 | Processing Technology Assessment | Analysis of modern beneficiation technologies such as Magnetic Resonance ore sorting and Coarse Particle Flotation, alongside hydrogen-based reduction methods like Circored, HYFOR, and HY4SMELT. |
| 3 | Energy Strategy | Assessment of power generation options-including SMRs, hydro, wind, LNG, and geothermal-tailored to meet Lac Otelnuk's industrial-scale energy demands with ultra-low emissions. |
| 4 | Hydrogen and Ammonia Infrastructure | Preliminary design and siting strategy for hydrogen (H?) and ammonia (NH?) production facilities, aligned with green steel objectives and energy availability. |
| 5 | Port & Transportation Logistics | Evaluation of high-throughput port sites and transport infrastructure to support the shipment of up to 110 Mtpa. Includes slurry pipelines, autonomous haulage, rail, and overland conveyors. |
| 6 | GIS and Infrastructure Mapping | Development of a centralized, interactive GIS platform to visualize and analyze site logistics, energy routes, Indigenous territories, environmental features, and infrastructure corridors. |
| 7 | Scorecard-Based Site Selection | Use of a scorecard methodology to evaluate and rank options for plant locations, transportation routes, and energy systems based on ESG factors, scalability, cost, and regulatory considerations. |
| 8 | Mine Planning and Resource Strategy | Review and update of mineable resources to support a 30+ year mine life for up to110 Mtpa production. Evaluation of mining fleet strategies aligned with decarbonization targets. |
| 9 | Energy and Cost Modelling | High-level estimates of thermal and electrical energy requirements, hydrogen/ammonia demand, and related CAPEX/OPEX assumptions to inform strategic planning and future PFS documentation. |
| 10 | Roadmap to Phase 2 | A set of actionable recommendations for field campaigns, permitting, First Nations and stakeholder engagement, and engineering studies required to advance the project through the next phase of technical de-risking. |
Further updates in regard to the phase 1 technical studies will be forth coming.
About Lac Otelnuk Iron Ore Project
The Lac Otelnuk Iron Ore Project, situated in the prolific Labrador Trough region of Quebec, is one of North America's largest undeveloped iron ore deposits. A historic feasibility study, completed in 2015, highlights a measured and indicated resource of 20.64 billion tonnes of iron ore with an average TFe grade of 29.8%. According to the study, the project may be capable of producing a high-purity iron concentrate with over 68.5% Fe and less than 4% SiO2, potentially making it an ideal candidate for green steel production.
Highlights of the Historic Mineral Resource Estimate and 2015 Feasibility Study
To learn more about the 2015 Historic Mineral Resource Estimate and Historic 2015 Feasibility study, please refer to May 16th, 2023 press release. https://metalquestmining.com/news/metalquest-mining-lac-otelnuk-iron-ore-project-overview/
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About MQM
MetalQuest Mining (MQM) owns a 100% of Otelnuk and is further looking to develop one of the largest Iron ore projects in North America. The Lac Otelnuk Iron Ore Project is located in Quebec's Labrador Trough and is approximately 165 km by air northwest of the Town of Schefferville, and 1200 km northeast of Montreal by air. The Quebec government has recently transferred the claims into MQM's name and management is accumulating a vast amount of technical data as approximately $150 million has been expended on the project to date. Going forward, one of our primary objectives will be to continue to work with Naskapi First Nation of Kawawachikamach with whom we have an Exploration and Pre-Development Agreement as of November 2023. Management is continuing to develop its in-house Iron ore database to enable the Company to secure an Option/Joint Venture partner from the Iron ore industry. The Company owns 2.2 million shares and 2.5 million warrants of Canadian Copper (CCI) and two NSR royalties totaling 1% in Murray Brook PEA Stage Zinc-Polymetallic Deposit, situated in the famous Bathurst Mining District, New Brunswick, Eastern Canada. Canadian Copper Inc. (CCI) has the right to purchase half of a 0.33% royalty for $1 million dollars and must pay MQM a pre- production cash payment of $1 million after the project goes into production. The Company is apparently completing a Preliminary Economic Assessment (PEA) on processing the Murray Brook deposit at the Caribou Processing Complex. Release date is expected in the first half of 2025.
Investors are invited to visit the MetalQuest Mining website at www.metalquestmining.com where they can review the company and its corporate activities. Any questions or comments can be directed to Harry Barr at Hbarr@mqmining.com or Farid Mammadov at faridm@mqmining.com or call 613 659 2773.
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On behalf of the Board of Directors
"Harry Barr"
Harry G. Barr
Chairman and CEO
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release. Cautionary Note Regarding Forward Looking Statements: This release contains forward-looking statements that involve risks and uncertainties. These statements may differ materially from actual future events or results and are based on current expectations or beliefs. For this purpose, statements of historical fact may be deemed to be forward-looking statements. In addition, forward-looking statements include statements in which the Company uses words such as "continue", "efforts", "expect", "believe", "anticipate", "confident", "intend", "strategy", "plan", "will", "estimate", "project", "goal", "target", "prospects", "optimistic" or similar expressions. These statements by their nature involve risks and uncertainties, and actual results may differ materially depending on a variety of important factors, including, among others, the Company's ability and continuation of efforts to timely and completely make available adequate current public information, additional or different regulatory and legal requirements and restrictions that may be imposed, and other factors as may be discussed in the documents filed by the Company on SEDAR (www.sedar.com), including the most recent reports that identify important risk factors that could cause actual results to differ from those contained in the forward-looking statements. The Company does not undertake any obligation to review or confirm analysts' expectations or estimates or to release publicly any revisions to any forward-looking statements to reflect events or circumstances after the date hereof or to reflect the occurrence of unanticipated events. Investors should not place undue reliance on forward-looking statements.
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