Source: Shutterstock
Summary
- QX Resources is a Queensland-focused gold explorer with equity stake in Zamia Resources, which owns four tenement licences in the region.
- The explorer has applied for another highly prospective tenement package in the Drummond Basin.
- QXR is all set to undertake a maiden drill program at the Lucky Break mine during Q1.
- The explorer also plans to drill the Red Dog and Ibis gold targets.
QX Resources Limited (ASX:QXR) is making significant strides at the Central Queensland gold projects in the highly prospective Drummond Basin. The region has a gold endowment of more than 6.5 million ounces complemented by a long heritage of gold mining. An action-packed 2021 is on the cards for the ASX-listed mineral exploration company, with a maiden drilling program planned shortly at the Lucky Break mine.
Last year, the gold explorer entered an agreement with Zamia Resources Pty Ltd, a wholly owned subsidiary of Zamia Metals Limited, which owns four tenement licences stretching over ~115km2 in the Central Queensland goldfields.
QX Project location map, Drummond Basin QLD
Source: QXR ASX update, 29 January 2021
The licences include two historical open pit gold mining centres at the Belyando and Lucky Break gold mines, in addition to several unexplored targets. The Lucky Break gold mine was historically mined to produce 90 kilotonnes of oxide ore with a gold grade of 2.4 g/t at a depth of 15 to 20 metres.
In October 2020, QXR finalised an earn-in agreement with Zamia Resources to acquire a 50% equity stake in the company with the issue of 40 million ordinary shares. QXR is entitled to acquire another 40% stake, boosting its interest to 90% in Zamia Resources, on achieving certain exploration and development milestones.
Also Read: QX Resources (ASX:QXR) on right track in its quest for Australian gold
Soil Sampling Program at the Ace Gold Project
In October 2020, QXR undertook an extensive infill soil sampling program at the highly prospective tenements of Belyando and Disney. The technical team has been involved in reviewing the historical drill results and the soil sampling reports to delineate numerous highly prospective targets.
Good Read: How QX Resources (ASX:QXR) can rev up Australian gold production?
Red Dog Prospect: QXR identified a 675-metre-long gold in soil anomaly at tenement EPM 17703 (Disney tenement) in November last year. The soil survey program targeted areas of infill and soil sampling targets identified during 2013, 2014 and 2015 programmes. The extensive infill soil sampling campaign collected over 250 samples from the Big Red area at the Disney tenement. The samples were assayed by 30g fire assay for a 0.001 ppm detection limit.
The Red Dog anomaly is 675 metres long and 255 metres wide with coincident arsenic, antimony, and silver anomalies, just 440 metres along the strike from the Big Red mineralisation zone. The samples from the Red Dog anomaly resulted in gold grades of up to 2.89 ppm.
Must Read: QX Resources (ASX:QXR) Identifies 600m-Diameter Gold Anomaly at Ibis
Ibis Prospect: The soil sampling program at the Ibis prospect (EPM 15145) infilled previous sampling work undertaken by Zamia. A total of 140 samples were added to the existing 1,160 sample local soil geochemistry database, which revealed a distinct 600-metre diameter gold anomaly through soil cover. The gold anomaly coincides with arsenic anomalies.
Ibis Prospect (Source: QXR Presentation)
QXR is planning to undertake the maiden drilling program at the Lucky Break mine during the current quarter. The decision to commence the drilling program follows an extensive assessment and recovery of historical drill data on the 560-metre-long strike at the Luck Break gold mine.
Detailed Discussion at: QX Resources (ASX: QXR) to Get Drill Rods Spinning at Lucky Break
In its quarterly update for the period ended 31 December 2020, the explorer highlighted that it was well cashed up for the coming two quarters with expenditure commitments for planned exploration activities in Central Queensland.
QXR traded at AUD 0.018 on 24 February 2021.
