- Hellyer mine makes first bulk shipment of precious metal pyrite concentrate
- Led by experienced mining and mining finance industry professionals
- Exploration on Queensland gold projects continues
What NQ Minerals does
NQ Minerals PLC (NEX:NQMI)(OTCQB:NQMLF) is a project developer and mining company with a focus on Australian mining assets. The company is led by a team of experienced mining and mining finance industry professionals, including chief executive Walter Doyle, an experienced venture capitalist who was responsible for the resurrection of Sirius Minerals PLC (LON:SXX). He has over 30 years’ experience of resources worldwide and in Australia.
What NQ Minerals owns
The principal asset is the Hellyer mine in Tasmania. This was commissioned at the turn of 2018/2019, when it delivered a maiden cash flow of £3.2mln from the production of three types of concentrate, lead, zinc and precious metals.
NQ also owns the Ukalunda project in north Queensland, on which it has identified 33 prospects for follow-up work, including the Sunbeam mine, for which it has secured a mining permit.
At SquarePost, also in north Queensland, NQ has identified both breccia and vein-hosted mineralisation.
- NQ commenced production at Hellyer in the fourth quarter of 2018. Hellyer now offers significant ongoing cash flow as the company works on its other projects, Ukalunda and Square Post.
- NQ recently made the first bulk shipment of precious metal pyrite concentrate from Hellyer. The shipment contained higher than forecasted grades for both gold and silver, meanwhile, the pyrite component had high sulphur and iron grades.
- Revenue for 2018 totalled £3.25mln, compared to zero revenues the year before. It is still early days for the company, however, and as might be expected for an outfit at this stage of its development, it is currently loss-making.
- NQ has agreed to invest in Tasmania Energy Metals with an option to buy all of the Australian mining firm's assets for £5.5mln. The miner will make an initial investment of £150,000 in Tasmania Energy Metals in the form of a convertible loan note. That will help finance the costs of the two companies assessing whether it would be commercially and financially viable to develop an integrated minerals processing facility for the Hellyer Mine in Tasmania.
Chairman Brian Stockbridge optimistic about outlook
The move from being a mining exploration company to a producer meant NQ chairman, Brian Stockbridge, could justifiably categorise 2018 as a "transformational year".
“The current environment poses ongoing challenges with respect to fundraising for junior mining companies; however, I am optimistic about the company's prospects going forward, and look forward to achieving our long term goals,” he said.