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Focused on gold exploration and mining opportunities, Alice Queen Limited (ASX: AQX) is backed by an experienced team of mining executives, targeting to achieve long-term value creation for its shareholders.
AQX has a diversified project portfolio, with major projects located in Queensland and New South Wales.
Torres Strait Projects – Exciting Intrusion Related Gold Systems (IRGS) Potential
In the Torres Strait region, Queensland, AQX has two projects, namely Horn Island and Kaiwalagal, covering an area of approximately 300km2.
AQX holds an 84.5% stake each in its flagship asset Horn Island Gold Project and Kaiwalagal Project, which consists of 5 additional islands that form part of the Kaurareg archipelago.
Alice Queen Continuing Drill Target Generation and Exploration at Horn Island
Horn Island is the flagship property of the Company, blessed by sound infrastructural advantage such as, airport, dam, crushing plant, quarry, ferry terminal, port, water supply, 4G telecommunications and Township of Wasaga in its vicinity.
At the project, the Company is continuing drill target generation and exploration under a joint venture with established gold miner St Barbara Limited (ASX: SBM).
SBM and AQX signed the multi-stage earn-in joint venture agreement in June 2019, as part of which they are undertaking the target generation program for large-scale IRGS at the project.
The JV excludes some portion, allowing AQX to continue progressing the existing mineral resource, ore stockpiles, waste dumps and alluvial targets.
Exploration program as part of the JV has defined new anomalous soil and rock chip gold zone to the northwest of the existing open pit area, with a DDIP (dipole dipole induced polarisation) survey completed during late-December 2019.
The Company is continuing studies of the Horn Island pit resource to progress towards Bankable Feasibility Study (BFS).
New South Wales Projects – Exceptional Copper-Gold Results in Vicinity
In the NSW region, the Company has two projects - Yarindury Project and Mendooran Project, each with a 90.0% stake, in the Northern Molong Belt (NMB).
The projects cover a total area of ~700 square kilometres of the highly prospective ground of NMB. They are located in vicinity to the recent discovery by Alkane Resources Limited. Moreover, the projects are in north along strike from the Cadia-Ridgeway mine, representing 50 million ounces of gold (Au), in addition to 9 million tonnes of copper (Cu).
Following AKM’s Boda discovery, Alice Queen informed regarding the enhanced project prospectivity.
AQX Focusing on Large-Scale Copper/Gold Porphyry Targets at Yarindury Project
Recent key highlights of Yarindury project:
- Nine diamond core holes for ~2,000 metres completed with core sampling in progress
- Ongoing target review and generation work
- Additional target areas have been identified
- Permitting and access arrangements are continuing for additional target areas
- Arrangements to obtain access to the Boda East prospect are underway
At the Mendooran (including North and South) Project, Alice Queen is working towards the completion of access arrangements and recommencement of exploration drilling.
Interesting Read: Alice Queen Releases Update on Northern Molong Belt Porphyry Projects
Recently, the Company announced to have received binding commitments for a capital raising program. Proceeds worth approximately A$3.88 million expected to be raised from professional and sophisticated investors and planned to be used for funding the Company’s drilling activities at its New South Wales assets.
Capital raising program details can be read here.
Market Opportunity – Gold Prices Rallying
The year 2019 witnessed a tremendous increase in the LME gold price by ~19% from 2 January 2019 to 31 December 2019. The bull rally is continuing during 2020, with a surge of ~8% from 2 January 2020 to US$1646.3/oz on 21 February 2020.
Gold is considered as a safe-haven asset and it provides shield against the global uncertainty. With the ensuing global uncertainty caused by coronavirus, gold is yet again providing a hiding place for those seeking protection of alpha.
On 24 February 2020, the stock of Alice Queen Limited closed the day’s trade at AUD 0.032. The Company had a market capitalisation of AUD 28.36 million. The stock delivered a return of 150% in the last six months.
The Company’s progress with its key prospective projects and high returns to its investors, in addition to increasing gold price and opportunities in the global market, are expected to aid AQX towards further delivering shareholder returns.
