Published: February 24, 2020 |

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NQ Minerals PLC has struck a deal to buy the Beaconsfield gold mine in Tasmania for an initial fee of A $2 million.

The property, described as “historically one of the richest gold mines” in the region, previously produced some 3 million ounces of gold between 1887 and 2012, and, prior to its close, was estimated to host 1.01mln tonnes of resources at a gold grade of 10.35 grams per tonne, for a total of 336,514 ounces.

It includes a 350,000 tonne per year processing plant, tailings dam, infrastructure, property rights, mining leases and permits. The package also has some 593 hectares of mining leases over the ‘Tasmanian reef’.

Beaconsfield is located some 200 kilometers from the company’s Hellyer base and precious metals operations.

David Lenigas, NQ’s chairman, described the acquisition as an “exciting opportunity”.

“Acquiring an established gold processing plant for a fraction of the cost to build and permit a new one, not to mention the typical lead time associated with permitting a new facility in Tasmania, is an exciting opportunity which provides our shareholders with exposure to the potential near term re-opening of a high-grade gold operation in Tasmania,” Lenigas said in a statement.

“Recent notable successes in re-assessing new potential around historic high-grade gold mining centers has seen significant value add for investors at projects like Fosterville in Victoria and Bellevue in Western Australia. In this regard, we believe that Beaconsfield offers a genuine opportunity for the company to develop a high-quality gold asset,” added Lenigas.

“As from today, NQ and its engineering consultant teams commence an extensive due diligence program on Beaconsfield as part of the acquisition agreement. NQ will be working with its consultants and relevant Government Departments in Tasmania to assess and ascertain what is required to re-open Beaconsfield as soon as possible,” concluded Lenigas.

Source: Proactive Investors

About NQ Minerals
NQ Minerals is an expanding base and precious metals production and exploration company with its operations centered around its Hellyer Operations in Tasmania, Australia.

In 2015, the company listed in London based on a portfolio of historically proven gold and silver exploration assets in Northern Queensland. In 2017, the Company acquired the Hellyer Gold Mine in Tasmania and subsequent to proving a Reserve of over 8 million tonnes, commenced reprocessing of high grade tailings. During late 2018, the Company commenced production of lead, zinc and precious metal concentrates. Hellyer has now achieved commercial production, exceeding originally anticipated metallurgical performance and plans are in place for further expansion.

The Company is currently focused on further exploration, mining and processing opportunities in Tasmania. These include the proposed development of a new nickel/cobalt mine and processing facility, that will enable further commercialization of the residual material from the reprocessing of Hellyer-tailings. At the same time the Company is advancing the development of its Northern Queensland properties to bring these into commercial operation.

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