Funds flow for QMines with $7.5m set to boost copper push at Queensland projects

• QMines raises $7.5m in recent two-tranche placement to investors
• Funds will be used to fast track drilling, focusing on infill and extensional work at Mt Mackenzie
• The company is pleased with the strong demand for the placement

Special Report: QMines just scored a $7.5 million vote of confidence from investors, giving the green light to ramp-up drilling across its Mt Mackenzie, Mt Chalmers, and Develin Creek projects in Queensland.

QMines (ASX:QML) is gearing up for a major drilling program across its Queensland copper portfolio – and a recent placement, which attracted significant support from existing and new investors, is helping it get boots back on the ground.

The company has received $7.5m in funds by way of a two-tranche placement following the issue of more than 136m fully paid ordinary shares at 5.5c per share, with the second tranche being subject to shareholder approval.

QML is now funded to fast-track exploration and development at the Mt Mackenzie (gold/silver), Mt Chalmers (gold/copper) and Develin Creek (gold/copper/zinc/silver) assets.

The funds raised will go mainly toward the planned infill and step-out drilling at the high-grade Mt Mackenzie gold and silver project, where intersections including 8m at 69.41g/t gold and 17g/t silver from 6m were recently reported.

Head-turning intersections

QML executive chairman Andrew Sparke believes Mt Mackenzie represents one of the most exciting high-grade gold and silver drilling programs he has seen in a very long time.

“The deposit has grade, it has width and remains completely open both down plunge and along strike,” he said.

“Historical drilling has already delivered spectacular results such as 8m at 69.4g/t gold, 26m at 12.8g/t gold, 12m at 14.9g/t gold and 100m at 2.86g/t gold – these are the types of intersections that can transform a company.”

On the placement, he said it is pleasing to see such strong demand.

“The company will shortly commence a large drilling program at its Mt Mackenzie project where the company has two high-grade gold and silver deposits that have the potential to grow the scale of a potential mining operation at Mt Chalmers,” he added.

Two drill rigs are now on site, with each hole offering the chance to expand the resource, extend mineralisation and deliver results that could excite the market.

Watch more from QMines: High-Grade gold and silver hits at Mount Mackenzie

This article was developed in collaboration with QMines, a Stockhead advertiser at the time of publishing.

This article does not constitute financial product advice. You should consider obtaining independent advice before making any financial decisions.