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A favourable Land Court ruling has paved the way for Ausmex to progress its Golden Mile project near Cloncurry.

An update to the market authorised by managing director Aaron Day described the planned transition to gold production at Golden Mile and the Mount Freda tenements as extremely frustrating due to unanticipated holdups on the regulatory front.

“After completing exhausting regulatory and landowner compensation agreements, including having a recent favorable determination for compensation by Land Courts, the company can now move a giant step towards the commencement of mining,” he stated.

Ausmex expects the mining lease (MLA 100201) for Golden Mile to be granted shortly.

“The company can now complete and submit the final plan of operations for approval by the Queensland Government” Mr Day said.

“Following completion of these regulatory requirements, the company plans to commence mining and production as soon as physically possible.”

The Golden Mile project consists of eight historical gold mines within a 2km wide mineralised zone, with a combined strike length of about 8km.

The first three sites Ausmex plans to mine as open-cut operations are the Comstock, Falcon and Shamrock mines, which all produced at an average grade greater than 45g/t gold and have lain dormant since the early 1900s.

Pit optimisation studies are complete, awaiting the final feasibility study.

The ore is to be processed at the CIP plant at Cloncurry’s Great Australia Mine under a binding JV agreement with plant owner Round Oak Minerals.