Lac Otelnuk Iron Project Reaches An Important Milestone With The Completion Of A Technical Gap Analysis
(TheNewswire)
February18th, 2026 –TheNewswire - Rockport, Ontario–MetalQuest Mining (TSXV:MQM)(“MQM” or the “Company”), a strategic and critical metals Company developing oneof North America’s largest high purity iron projects with ahistorical NI 43-101 resource estimate (https://minedocs.com/19/Lac-Otelnuk-FS-03252015.pdf), is pleased to announce the completion of a technical gap analysis (“Gap Analysis”).Conducted by AtkinsRéalis, a world-class engineering services andnuclear company, the Gap Analysis focused on validating theproject’s development potential, permitting viability andengineering completeness in alignment with current environmental andindustry regulations. AtkinsRéalis was the lead author of theHistoric 2015 Feasibility Study on the Lac Otelnuk Project.
Chairman and CEO Harry Barr stated, “We are pleasedto receive AtkinsRéalis’ Gap analysis for the Lac Otelnuk IronProject. Importantly, thereview did not identify any issues that would preclude continuedadvancement of the Project. The Gap Analysisoutlined recommended next steps for the Lac Otelnuk IronProject.”
Key priorities highlighted in the GapAnalysis include:
Refinement of the mineplan, including evaluation ofproductivity-enhancing technologies such as IPCC and autonomousmining
Assessment of modernprocessingimprovements and equipment upgradesimplemented across the industry over the past decade
Advancement of infrastructure andlogistics planning, including product deliveryfrom site to port
Strengthen ESG readiness, permitting progress, andstakeholder engagement through updated environmental and socialassessments Update of projecteconomics and financial modeling to reflectcurrent market conditions and technological advancements
Harry Barr, Chairman andCEO, further stated,“FollowingAtkinsRéalis’ review of the technical work completed by prioroperators, the Company now has a clearly defined pathway to advancethe Lac Otelnuk Project toward the next stage of feasibility work.
Management intends toprogress subsequent phases of the Project in alignment with applicableenvironmental, social, regulatory and market requirements, with theobjective of creating long-term value for stakeholders, including but not limited to First Nation Communities, theProvincial Government and Federal Government.
We are advancing theproject through a phased approach by re-assessing the project’sgo-forward plan with stakeholders, optimizing the delivery system andmarket analysis through trade-off studies, with the objective ofintegrating the results into an updated Feasibility Study.”
Lac Otelnuk High PurityIron Project
The LacOtelnuk Iron Project, 100% owned by MetalQuestMining, is one of NorthAmerica’s largest historical NI 43-101 Technical Reports. TheProject is , located in the Labrador Trough —a globally recognized iron district. (https://metalquestmining.com/news/metalquest-mining-lac-otelnuk-iron-ore-project-overview/)
The Labrador Trough hosts the major operations such asthose held by Rio Tinto,Arcelor Mittal, and mid-tier producers like Champion Iron. The regioncontinues to attract significant investments as evidenced by NipponSteel, Sojitz, and Vale’s recent investments:
Champion Iron,in partnership withNipponSteel and Sojitz, announced uptoC$245 million in combined investment to advance the Kami Iron Mine (July2025).
Vale S.A. committed up to US$138 million to earn a 75% stakein Cyclone Metals’ IronBear Project through a staged joint venture(February 2025). For an update on Cyclone Metals, please readinteresting Quarterly ActivitiesReport for the Period Ended 30 September 2025.
Table 1.Historical 2013 Categorized Mineral Resource Estimate for Lac OtelnukIron Project (Cut-Off of 18 % DTWR)
Amid recent geopolitical developmentsthat are reshaping global supply chains for critical metals,high-quality jurisdictions like Quebec are drawing increasedattention. As a result, our Company and theProject are seeing stronger interest from potential financingpartners.
In his address at the World Economic Forum in Davos onJanuary 20, 2026, Canadian Prime Minister Mark Carney emphasized thestrategic importance of critical minerals as a pillar ofCanada's economic security and industrialpolicy, particularly in response to a "rupture" in theglobal order and the weaponization of supply chains. [4]
Figure 1. Prime Minister MarkCarney is seen at the World Economic Forum in Davos, Switzerland, onTuesday. Photo: Reuters / Denis Balibouse
Prime Minister Mark Carney said that “multilateralismand the architecture of collective problem-solving has beendiminished,” meaning countries should expect to “go it alone moreoften than in the recent past.”
He added that many governments are reaching the sameconclusion: they need greater strategic autonomy—across energy,food, critical minerals, finance, and supply chains. In his view, “acountry that cannot feed itself, fuel itself or defend itself has fewoptions,” and when rules no longer offer protection, countries mustbe prepared to protect themselves.
Carney warned that a more isolationist “world offortresses” would make countries poorer, more fragile, and lesssustainable—but argued it is emerging, nonetheless. He said Canadashould work with like-minded allies where possible to push backagainst domination by larger, wealthier, and better-armedpowers.
“This is not naive multilateralism,” he said, norreliance on weakened institutions. Instead, he described buildingpractical coalitions—issue by issue—with partners who share enoughcommon ground to act together. As he put it: middle powers mustcooperate, because “if you are not at the table, you are on themenu.”
In support of our long-term objective to secure anexperienced joint venture partner in the iron industry with strongfinancial capacity and sector expertise, Harry Barr, accompanied byMax Kaczmer, Exploration Manager, will be travelling to Japan duringthe week of February 16–20 to meet with major mining, metals trading, and manufacturingcompanies. For Mr. Barr, thiswill be his second visit in the past four weeks. Discussions to datehave been productive, and the project has been well received.
Figure 2. Map and Location of LacOtelnuk Iron Ore Project.
Figure 3. Aerial view of LacOtelnuk
AtkinsRéalis, a world-classengineering services and nuclear company with extensive experience inlarge-scale mining and infrastructure development, was engaged to complete the Gap Analysis focused onidentifying gaps in the 2015 Feasibility Study (“FS”) for the LacOtelnuk Iron Ore Project in June 2025. This was done in view of timeelapsed as well as changes in the environmental, technological, andeconomic progress in the region and industry.
Previous project owners invested approximately $120million in resource delineation and the original FS. MQM intends to build on this substantialtechnical foundation through a cost-effective and targeted approach.
The Gap Analysis confirmed thatextensive metallurgical and geometallurgical work has been conductedhistorically and provides a strong technical foundation for the LacOtelnuk Project. The identified next steps represent standardvalidation and optimization activities typical of projects advancingtoward updated feasibility and development.
Next Steps/Path Forward
A path forward has been outlined to address thefindings and recommendations. The basis of this path forward is thefollowing:
Address the main points in a logical sequence and avoidspending on engineering before fundamental questions have beenresolved
Strive to optimize the cost (fit for purpose scope andcost for each phase)
Define a path forward that can best attract potentialinvestors by using a staged approach.
A flowchart showing a schematic view of the proposedpath forward is shown below.
Figure 4. Flowchart of the proposedGo-Forward Plan for Lac Otelnuk Iron Ore Project.
Chairman and CEO Harry Barrstated, “Thisanalysis underscores what we’ve long believed: Lac Otelnuk is aproject of generational importance to Canada. We’re now poised toresponsibly advance this world-class deposit along with a strategicpartner in a manner that aligns with modern environmental, social, andmarket expectations and create long-term value for ourstakeholders.”
Qualified Person
The scientific and technical information contained inthis press release has been reviewed and approved by AlexandrBeloborodov, P.Geo., an independent Qualified Person as defined byNational Instrument 43-101 – Standards of Disclosure for MineralProjects. Mr. Beloborodov has reviewed the Gap Analysis prepared byAtkinsRéalis and has relied on their engineering and technicalexpertise in respect of engineering, infrastructure, and relatedtechnical matters.
References
Risto, R.W., Kociumbas, M., MacFarlane, G.R., andD’Anjou, N. (2013). Technical Report and Updated Mineral Resource Estimate for the LacOtelnuk Iron Property, Labrador Trough, NortheasternQuébec. Prepared for Lac Otelnuk Mining Ltd.Effective Date: October 31, 2013. Toronto, Canada.
Risto, R.W., Kociumbas, M.W., Martinez, R., Lord, J.,Giroux, E., Côté, M., Buccitelli, S., Cassoff, J., and Bollard, A.(2015). Lac Otelnuk ProjectFeasibility Study – NI 43-101 Technical Report (FinalReport). Prepared for Lac Otelnuk Mining Ltd.Effective Date: March 25, 2015. Issue Date: April 23, 2015.
AtkinsRéalis Canada Inc. (2025). Lac Otelnuk Project – Gap AnalysisReport (Technical Report). Prepared forMetalQuest Mining. December 22, 2025. Project No. 706178;
Radio Canada International. (2026). “The Old Order Is Not Coming Back,”Carney Says in Provocative Speech at Davos.January 20, 2026. https://ici.radio-canada.ca/rci/en/news/2221954/the-old-order-is-not-coming-back-carney-says-in-provocative-speech-at-davos
About MetalQuest Mining
MetalQuest Mining (MQM) owns 100% of Lac Otelnuk and isworking to develop one of the largest Iron projects in North America.The Lac Otelnuk Iron Project is located in Quebec’s Labrador Troughand is approximately 165 km by air northwest of the Town ofSchefferville, and 1200 km northeast of Montreal by air. The Company has recently acquired a portion of the underlying netsmelter return (NSR) royalty on the Project, https://metalquestmining.com/news/metalquest-mining-amends-royalty-on-its-lac-otelnuk-iron-project-in-quebec/.
The Quebec government has transferred 100% of theclaims into MQM’s name and management is accumulating a vast amountof technical data as approximately $120 million has been expended onthe project to date. Going forward, one of our primary objectives willbe to continue to work with Naskapi First Nation of Kawawachikamachwith whom we have an Exploration and Pre-Development Agreement as ofNovember 2023. In June 2025, MQM signed an agreement withAtkinsRéalis, a engineering services and nuclear company with officesaround the world to conduct a comprehensive Gap Analysis of thehistoric 2015 Feasibility Study (FS) for the Lac Otelnuk IronProject. The new studies willidentify areas requiring updates to align the historic 2015Feasibility Study with current market dynamics, regulatory frameworks,engineering best practices, and environmental standards.
On December 3rd, 2025, MetalQuest Mining (MQM) announcedthe acquisition of the ROF-1 Project, a critical minerals land packagein Ontario’s Ring of Fire totaling 1,034 claims (~20,800 hectares,~52,000 acres). The Ring ofFire is one of Canada’s most important emerging critical mineralsdistricts, supported by growing infrastructure and governmentattention as the region advances toward potentialdevelopment. ROF-1 Project is locatedapproximately 10 km from major nearby deposits and has identifiedexploration potential for VMS-style mineralization and multipleuntested target corridors based on historic work and technicalreview. https://metalquestmining.com/news/metalquest-secures-critical-minerals-project-in-northern-ontarios-ring-of-fire-region/
The previously announced acquisitionof the Fishhook Polymetallic Project represents MetalQuest’s second step inbuilding a broader multi-project Ring of Fire strategy, with theCompany continuing to review additional opportunities in the region.https://metalquestmining.com/news/metalquest-acquires-a-second-22000-ha-property-in-the-ring-of-fire-northern-ontario-the-fishhook-polymetallic-project/
New Age Metals Inc., a significantshareholder of MetalQuest Mining Inc. withapproximately 9.63% undiluted and ~14.6% partially diluted, has recently advanced into the Ringof Fire throughthe acquisition of new exploration properties, reflecting increasingexploration momentum within the district. NewAge Metals’ activities are independent of MetalQuest’soperations.
New Age Metals is focused on the discovery andadvancement of platinum group metals and other critical mineralsprojects in North America and has identified the Ring of Fire as astrategic area for long-term growth. The expansion of its explorationportfolio within this emerging district highlights continued industryinterest in early-stage, district-scale opportunities supported byimproving infrastructure, government engagement, and regionalexploration activity.
With the acquisition of the FishhookPolymetallic Project in the Ring of Fire, on the January23rd, New Age Metals Inc. andMetalQuest Mining Inc. have assembled approximately 62,800 hectares(~155,200 acres), consisting of 3,067 mining claims, subject to a 1.0%NSR with a 0.5% buyback, forming a portfolio of early-stageexploration ground considered prospective for critical minerals. Thecompanies will continue to evaluate further acquisitions in thedistrict.
MetalQuest believes that thealignment of shareholder interest and regional exploration focusfurther supports the Company’s strategy of disciplined landacquisition and systematic exploration within the Ring of Fire.
The initial phase of work, planned for Winter/Spring2026, at the recently acquired Superior Iron Project will comprisesystematic ground truthing, detailed geophysical surveys, andcomprehensive environmental baseline studies. These programs aredesigned to enhance the geological model, refine the understanding ofmineralized zones, and delineate high-priority drill targets tosupport the next stage of exploration and project development.
The Company also owns ~1.8 million free trading shares and 2.5million warrants at a strike price of $0.125 ofCanadian Copper (CCI) as of the closing of trading on January30th, 2026, CCI shares were trading at $0.78.
Two NSR royalties totaling 1% in theMurray Brook PEA Stage Zinc-Polymetallic Deposit, situated in the famous Bathurst Mining District, NewBrunswick, Eastern Canada.
Canadian Copper Inc (CCI) must payMQM a pre-production cash payment of $1 million before the projectgoes into production and has the right to purchase half of a 0.33%royalty for $1 million dollars.
In the event that CCI purchases halfof the 0.33% royalty, MQM will retain 0.82% royalty inperpetuity.
The Company has indicated that it is completing aPreliminary Economic Assessment (PEA) on processing the Murray Brookdeposit at the Caribou Processing Complex. Release date is expected inthe first half of 2026. CCI recently secured a financing to acquirethe Caribou complex. TheCaribou Process Complex is approved and maintains all requiredoperating permits. See CCI’s website forfurther details.
Investors are invited to visit the MetalQuest Miningwebsite at www.metalquestmining.com where they can review the company and its corporateactivities. Any questions or comments can be directed to Harry Barrat Hbarr@mqmining.com or Max Kaczmer mkaczmer@newagemetals.com by telephone at 613 659 2773.
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If you have not done so already, we encourage you tosign up on our website (www.metalquestmining.com) toreceive our updated news.
On behalf of the Board of Directorsand Management, we thank you for your continued support and trust inMetalQuest Mining.
“Harry Barr”
Harry G. Barr
Chairman and CEO
Neither the TSX Venture Exchange norits Regulation Services Provider (as that term is defined in thepolicies of the TSX Venture Exchange) accepts responsibility for theadequacy or accuracy of this release. Cautionary Note RegardingForward Looking Statements: This release contains forward-lookingstatements that involve risks and uncertainties. These statements maydiffer materially from actual future events or results and are basedon current expectations or beliefs. For this purpose, statements ofhistorical fact may be deemed to be forward-looking statements. Inaddition, forward-looking statements include statements in which theCompany 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 theirnature involve risks and uncertainties, and actual results may differmaterially depending on a variety of important factors, including,among others, the Company’s ability and continuation of efforts totimely and completely make available adequate current publicinformation, additional or different regulatory and legal requirementsand restrictions that may be imposed, and other factors as may bediscussed in the documents filed by the Company on SEDAR+(www.sedarplus.ca), including the most recent reports that identifyimportant risk factors that could cause actual results to differ fromthose contained in the forward-looking statements. The Company doesnot undertake any obligation to review or confirm analysts’expectations or estimates or to release publicly any revisions to anyforward-looking statements to reflect events or circumstances afterthe date hereof or to reflect the occurrence of unanticipated events.Investors should not place undue reliance on forward-lookingstatements.
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