Expanding Presence in North Queensland
Pacgold Limited (ASX: PGO, ‘Pacgold’ or ‘the Company’) has signed a farm-in agreement to acquire 100% interest in the St George Gold-Antimony Project in North Queensland. The agreement marks a significant milestone for the Company, as it strengthens its position in the Hodgkinson Province, a region rich in gold and antimony.
The tenement package covers 905 km2, including 5 granted licences and 2 applications. This project lies only 70 kilometres west of Mt Carbine and sits within a province long known for its historic goldfields.
The Significance of St George
The St George Mine is a brownfield mine with a historic production of approximately 60T of antimony grading 60% in 1965-1968. Despite this, the site has never seen modern drilling.
Recent due diligence has confirmed the project’s potential. Rock chip samples returned standout grades. Such results highlight the mineralisation strength across structurally controlled veins within the tenements:
- SG250704 returned 49.4% Sb and 0.05g/t Au
- HRX10212 returned 66.6% Sb and 0.01g/t Au
- HRX10086 returned 16.35% Sb and 10.1g/t Au
- HRX10161 returned 28.1% Sb and 0.01g/t Au
- HRX10208 returned 51.9% Sb, NSA for Au
- HRX10151 returned 8.82% Sb and 2.05g/t Au
Market Dynamics Supporting Growth
Antimony has become a mineral of global importance. Used in flame retardants, energy storage, and defence applications, its demand continues to rise. Global antimony production has declined since 2011, with limited new supply coming online. China’s dominant control of supply has raised concerns for downstream industries, particularly defence and energy.
Figure 1: Antimony Production by Country Between 2010 And 2023
Pacgold’s Managing Director, Matthew Boyes, said, “Antimony prices surging to US$60,000 per tonne, fuelling renewed exploration interest worldwide. By securing St George, Pacgold gains valuable exposure to this critical mineral alongside its gold prospects.”
With prices reaching record highs, investors are increasingly attracted to companies exploring for antimony outside China. The Company’s entry into the St George Project places it well within this growing global conversation.
Figure 2: Unprecedented Surge in Antimony Price in 2023-2025
Multiple High-Grade Targets
Exploration has already identified several high-grade gold and antimony prospects across the tenement package. Notably, the Poppy Prospect, 2 km west of the St George mine, recorded samples up to 112g/t gold and 17.5% antimony. Other prospects, including Rolley and Jestah, also display impressive grades. The distribution of targets across regional structures suggests broad exploration upside and multiple drill-ready zones.
Figure 3: Map Of The St George Tenement Package, Showing Gold And Antimony Occurrences
Heritage Clearance and Community Engagement
Heritage clearance at the St George mine has now been completed, allowing drilling to progress. With the clearance now secured, exploration can move forward promptly while honouring heritage considerations.
“We’re looking forward to working with local stakeholders and traditional owners and creating partnerships that benefit all parties as we move toward full-scale exploration.” – Matthew Boyes, Managing Director.
The Farm-In Agreement Explained
The Company struck the agreement with Hardrock Mineral Exploration Pty Ltd (‘Hardrock’). Under the terms, the Company will pay Hardrock $200,000 in cash and issue 10 million Pacgold shares. Once the Company secures Stage 2, Hardrock will also receive a royalty on production—2.5% for antimony and 1.5% for gold—with the Company retaining buyback rights.
The deal will progress in three stages:
- Stage 1: Earn 51% interest by spending not less than $250,000 within 12 months and $1.5 million within 24 months from the Settlement Date;
- Stage 2: Earn an additional 29% interest (an aggregate of 80%) by completing a bankable feasibility study proving more than 200,000 oz AuEq or on before 22 August 2031;
- Stage 3: Move to full ownership by purchasing the remaining 20% interest within a year from the date the Company acquires the Stage 2 interest and by paying an amount determined by an independent expert agreed by all parties.
Next Steps for Exploration
The Company plans to start first-pass exploration immediately. Activities include mapping, soil geochemistry, and geophysics. Heritage-approved areas are already drill-ready, with drilling planned before the end of Q4. Follow-up trenching, rock chips, regional surveys, and geological mapping will be performed of existing known prospects to build a pipeline of ranked targets. These steps should generate steady exploration newsflow in the coming quarters.
Meanwhile, the Company will continue drilling at its flagship Alice River Gold Project, located nearby. Results from both projects could complement each other, positioning the company as a key player in Queensland’s gold-antimony sector.
Investor Outlook
Pacgold Limited (ASX: PGO) is trading at $0.067 per share, giving the company a market capitalisation of $14.47 million as of 18th August 2025. The 52-week range of $0.053–$0.150 highlights both volatility and upside potential for investors willing to back early-stage resource plays. Progress at the St George and Alice River projects will be critical in shaping sentiment. Any strong exploration results could drive renewed investor interest and impact valuations positively.
