The time has come for copper and gold explorer SQX Resources, who are scheduling to gear up for life on the ASX next Monday.
Focus is on Scrub Paddock and Ollenburgs near the coal mining town of Nanango in the South Burnett Region in Queensland, where SQX is hoping to reinvigorate the area with a potential gold and copper discovery.
With Queensland announcing it will be ending its reliance on coal-fired power by 2035 under a 10-year $62bn energy plan, SQX hopes to maintain the area’s foundation as a mining community with the potential discovery of a porphyry deposit.
As demand for traditional industrial commodities – coal, oil and gas – is set to slide, potential discoveries will bring about new opportunities for the mining community of Nanango as the coal mining town slowly faces the effects of a phase-down of the coal mining industry.
The company’s two tenements have historical mine workings, known gold and copper mineralisation and close to infrastructure.
In coal mining towns like these, where generations of locals have long been a part of the mines, potential porphyry deposit discoveries are what can keep Nanango’s proud mining community strong in the face of a country phasing out their reliance on coal.
SQX launched their IPO late last year, asking investors to tip in 20c a share for $5 million total with an expected market capitalisation of $6.25 million. The offer price included one-for-two option with a 30c strike price.
The company intends to drill high priority targets immediately upon listing, with the aim of defining an economic mineral resource.
From the same team that put together the recent success of TSXV listed Q2 Metals Corp (QTWO.v), SQX is the next venture for the MPX team and it’s time to get excited.
MPX identifies, acquires and invests in mineral exploration across Australia and have been behind the success of Q2 Metals, a Canadian mineral exploration company currently advancing exploration of a Lithium Project in Canada as well as two highly-prospective gold projects located in the historic goldfields of Queensland – where SQX’s Ollenburgs and Scrub Paddock prospects are based.
And just taking a quick look at QTWO’s recent strong stock price chart, the opportunity speaks for itself.
SQX Resources are focused on taking forward these two discovered prospects by the MPX team in QLD and MPX are promoting this as their new asset and opportunity.
SQX CEO Mark Purcell is a mining engineer who held operational roles at Rio Tinto and Peabody Energy before making the move into investment banking.
PAC Partners Securities are the lead managers for the IPO and Mark is available for comment at any time.
