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Ausmex has released the global mineral resource estimate for its Mount Freda gold complex near Cloncurry, saying the results back a potential multi-pit mining hub.

The estimate stands at 1.7 million tonnes at 2.06 g/t gold, containing 113,000 oz of gold.

Ausmex unveils 1.7Mt resource estimate for gold hub

It covers Ausmex’s Mount Freda site as well as the Falcon, Shamrock, Comstock and Little Duke mines within its Golden Mile joint venture project, in which Round Oak Minerals holds a 20 per cent stake.

The company says it has a strong cash position to advance the project following the sale of the Gilded Rose mine last weekin a $4 million deal.

Ausmex says the resource estimate highlights that gold mineralisation extends from surface, with the potential to develop a multi-pit gold mining hub.

It says the numbers for the Mount Freda pit have additional upside as numerous historical high-grade gold drill holes did not meet the JORC (2012) reporting requirements and were not used in the estimate.

In an announcement to the ASX today, the company said it was now focused on completing scoping studies to assess mining and processing options.

It is focusing on near-term gold production to fund additional drilling to upgrade and potentially extend known mineralisation.