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Evolution Mining is throwing its weight behind another Central Queensland gold project.

The gold producer has entered into an earn-in agreement with private entity Basin Gold over the Crush Creek project, 10km north-west of Collinsville.

The exploration project is about 30km south-east of Evolution’s Mount Carlton gold mine.

“Crush Creek hosts low sulphidation epithermal gold mineralisation which Evolution believes has significant potential to provide mine life extensions at Mount Carlton,” the company said in a statement.

The new earn-in agreement comes within a week of Evolution Mining committing to Stage 2 of the Drummond gold joint venture, which will see it spend a further $4 million on an exploration project about 50km south-west of Mount Carlton.

The Crush Creek agreement will see Evolution make an initial cash payment to Basin Gold of $2 million on grant of the Mineral Development Licence.

Evolution will earn a 70 per cent interest in the project by providing $7 million of exploration expenditure over a two-year period.

Once the earn-in is met, either party has the option to elect for Basin Gold’s 30 per cent interest to be sold to Evolution for $4.5 million and a 10 per cent Net Profit Interest (NPI) on any production above 100koz of gold.

Evolution today also announced it had entered into an earn-in joint venture agreement with Musgrave Minerals over the Cue Project in central Western Australia.

“We are excited to be adding two new quality projects to our portfolio which have the ability to generate new drill results that extend previously identified mineralised zones,” Evolution vice-president discovery and business development Glen Masterman said.

“These earn-in agreements are consistent with our strategy of focusing on orogenic and epithermal deposit styles that can create value through future discovery.”

Evolution backs new gold venture in Mount Carlton neighbourbood