QMines engages potential investors with data room after active June quarter
QMines (ASX:QML) is holding discussions with potential investors to allow in-depth analysis of the company’s potential upside.
In releasing its June 2024 quarterly report, QMines revealed it had undertaken talks with multiple groups including royalty, private equity and metals traders.
As part of the discussions, QMines opened a data room to assist these groups in better understanding the company.
Active quarter
During a highly active June quarter, the Queensland-based copper and gold development company made significant progress at two advanced projects.
At QMines’ flagship Mt Chalmers project, the company successfully completed a pre-feasibility study in late April that included a maiden ore reserve of 9.6 million tonnes with analysis identifying a pre-tax net present value of $373 million and a 54% internal rate of return.
QMines also undertook the pre-lodgement of a mining lease application for the project during the quarter, which has subsequently received positive feedback from the Queensland Department of Resources.
Critical metal mining
QMines is confident the proposed Mt Chalmers development presents an opportunity for it to establish and grow a critical metal mining and processing business.
It has identified an attractive risk-return profile and clear potential to further enhance project returns through the expansion of production rates and the addition into the mine plan of other known deposits including Sulphide City, Scorpion (Develin Creek) and Woods Shaft (Mt Chalmers).
A Mt Chalmers open pit has been designed as a three-stage mining operation, with each stage of the mine schedule delivering between 2.8Mt and 3.9Mt to the proposed process plant located on site.
Artillery Road advances
The company also advanced the Artillery Road prospect during the quarter with additional geochemical modelling, field mapping and petrographic analysis of reverse circulation drilling samples.
Artillery Road is a priority exploration target generated from the regional versatile time-domain electromagnetic survey flown by the company in 2023.
A cluster of targets originally identified and upgraded through induced polarisation modelling has produced a significant new target interpreted as a large, deep, strong conductive anomaly that is coincident with a mapped quartz felsic porphyry intrusive.