Doyle himself was formerly at York-focused Potash miner Sirius Minerals.
Regarding the target itself, he argued that ‘the area itself has a lot of history and I think was the place where gold was first discovered in Queensland’.
Doyle – a veteran of the mining industry – noted that it is ‘somewhere that was first known as a gold target and then somewhere that became well known for its silver deposits’.
He explained that in the past there were ‘numerous stop-starts, with a break due to the war, and in the 1960s there was a lot of interest in its silver reserves’.
Regarding the current progress of Ukalunda, he remarked that ‘there are mining stockpiles on site, with records of those being shipped off at $1,000 a tonne’.
Moving ahead with the site, he said that the company is ‘filing a mining lease which is necessary in order to process that stockpile’. He added that it ‘contains silver/lead/zinc in high quantities’.
As far as financing is concerned, he opined that ‘if we have a low budget then we will do nothing and wait for the mining licence for the silver to be granted and then process a stockpile’.
Another potential ‘low-budget idea’ mooted by Doyle would be to ‘twin some of the old holes, and that could potentially create an inferred resource’.
Once this was achieved he insisted the company could then ‘create a sizeable inferred resource and expand on this potentially by stepping out a bit subject to JORC-compliant drilling’.
He emphasised, ‘The drilling is not extensive and will be to find the extent of the resource’.
State of the mining sector
It has been a difficult time of late for the mining sector, and Doyle acknowledged that ‘exploration money is very difficult’, but commented that the company was in a different situation as it ‘was not exploring’.
Instead, he said the group was ‘re-proving historic resources’ – something that he said was a ‘slightly different kettle of fish’.
He argued that ‘the real value comes not in companies that are producing’, but rather ‘the biggest equity uplift’ comes from those companies that ‘use the resource that is there and prove it’.
Doyle declared that NQ has ‘an opportunity to go along and do extra drilling on holes that have already been drilled so that we can prove under JORC standards what is there and put it to an indicated resource’.
He noted that he was ‘offering the chance for investors to get in on this early stage’.
He added, ‘There is a potential lack of interest among some in the market, but there will always be interesting opportunities, even if market conditions are down’.
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