The second batch of diamond core holes at Mount Freda have proven fruitful for the Ausmex Mining Group.
Mt Freda lies 39 km southeast of Cloncurry.
Ausmex is undergoing intensive exploration focusing on gold, copper and cobalt targets in the Cloncurry region.
Their second batch of holes have returned more high grade gold and copper mineralisation, they told the ASX on Wednesday .
Ausmex has discovered gold deposits are improving at depth at the an old open cut mine.
Ausmex managing director Matt Morgan said results confirmed historical high grade gold and cobalt.
“Diamond core drilling results continue to indicate that Mount Freda has the potential to host a large gold and cobalt complex, with indications that the mineralisation extends from the current pit floor, increasing in grade at depth,” Mr Morgan said.
Mr Morgan said the he project “has potential for significant scale” and said there are kilometers of mineralised drill targets defined extending to the north west of the Mount Freda.
Mount Freda encompasses 120.28 hectares and includes a 200,000 tonne stockpile of gold, copper and cobalt mineralisation.
The previous owner, Diversified Mineral Resources produce about 350kg of gold from the mine.