QMines Ltd: Expanding Copper-Zinc Potential at Develin Creek

Key Highlights

• High-grade results from the maiden drilling program at Develin Creek, including 20m @ 2.94% Cu and 30m @ 1.58% Cu.
• Significant resource potential with broad hydrothermal alteration identified at the Window prospect.
• Updated Mineral Resource Estimate expected soon to incorporate new drilling results.

Advancing Copper and Zinc Exploration

QMines Limited (ASX: QML), a Queensland-based copper and gold development company, has announced promising results from its maiden drilling campaign at the Develin Creek project, located approximately 90 km northwest of Rockhampton. This milestone reinforces QMines’ (ASX: QML) focus on developing high-grade deposits to bolster its portfolio and create long-term value.

The campaign at Develin Creek included 43 drill holes totaling 5,034 meters, aimed at verifying historical data, testing resource extensions, and upgrading the resource classification. Notably, the Scorpion and Window deposits have shown exceptional potential with significant copper, zinc, gold, and silver intersections.

Impressive Drilling Results

At the Scorpion deposit, recent results include:

• 20m @ 2.94% Cu, 0.42g/t Au, 20g/t Ag, 1.4% Zn from 46m, including 6m @ 4.16% Cu from 57m.
• 30m @ 1.58% Cu, 0.45g/t Au, 23g/t Ag, 2.82% Zn from 61m, including 5m @ 3.63% Cu from 68m.
• 15m @ 2.54% Cu, 0.45g/t Au, 18.3g/t Ag, 1.54% Zn from 83m, including 8m @ 3.87% Cu from 86m.

Drilling at the Window deposit also revealed exciting prospects, including 61m @ 0.75% Cu from 49m, with mineralization hosted in a distinct white clay unit.

Hydrothermal Alteration: A Game Changer

The identification of broad hydrothermal alteration beneath the Window prospect adds significant upside potential to the project. This alteration indicates the presence of a large mineralizing system, which could host additional high-grade resources beyond the currently defined deposits.

Executive Chairman Andrew Sparke noted, “The completion of our maiden drilling program at Develin Creek is a significant achievement. The consistent high-grade intersections at Scorpion and Window highlight the potential for resource expansion, and we are optimistic about the upcoming Mineral Resource Estimate.”

Develin Creek: A Strategic Asset

The Develin Creek project comprises several Volcanic Hosted Massive Sulphide (VHMS) copper-zinc deposits within the Rookwood Volcanics. The project’s maiden Mineral Resource Estimate (MRE), completed in September 2023, outlined:

• Total Resource: 3.2 Mt @ 1.05% Cu, 1.22% Zn, 0.17g/t Au, and 5.9g/t Ag.
• Resource classification: 53% Inferred, 47% Indicated.

With the inclusion of recent drilling data, an updated MRE is expected shortly, which may further enhance the project’s profile.

Market Performance and Outlook

QMines’ (ASX: QML) shares closed at $0.058, up 20.83% during the last trading session, reflecting investor enthusiasm following the drilling updates. Despite a challenging year with a 27.50% decline in one-year returns, the company’s strategic progress at Develin Creek could bolster its market appeal.

The current market capitalization of $19.93 million positions QMines (ASX: QML) as a mid-tier player in the ASX Basic Materials sector, ranked 516th of 1,040 companies. The company’s focus on high-grade, scalable deposits aligns well with long-term demand for critical minerals like copper and zinc.

Next Steps: Growth and Resource Expansion

QMines (ASX: QML) plans to:

• Conduct follow-up drilling to explore extensions of the Scorpion and Window deposits.
• Finalize and release an updated MRE for Develin Creek.
• Expand exploration activities to test other identified targets within the project area.

The company’s strategic acquisition of Develin Creek from Zenith Minerals further consolidates its position in the region. With a robust drilling program and promising results, QMines (ASX: QML) is well-positioned to capitalize on the growing demand for copper and zinc, driven by renewable energy and electrification trends.

Looking Ahead

QMines Limited’s (ASX: QML) continued success at Develin Creek underscores its commitment to advancing high-grade resource projects. The exceptional drilling results and identification of hydrothermal alteration enhance the project’s growth potential. As the company progresses toward an updated resource estimate, it stands poised to deliver significant value to shareholders and stakeholders alike.

By focusing on strategic resource development and operational excellence, QMines (ASX: QML) is on track to become a key player in Australia’s critical minerals sector.