Renamed Miner To Work Cloncurry

Sydney Morning Herald

Saturday February 6, 1993

By BRUCE HEXTALL Resources Writer

The level of market enthusiasm for Queensland's Cloncurry district as a place for base metals exploration will be gauged next week when reconstructed and renamed Pegasus Mines NL returns to the boards.

Its return follows $2.73 million being raised through a 25c a share issue to new and existing shareholders made just before Christmas to fund a concentrated exploration effort in the Cloncurry district.

Before the issue, Pegasus, now renamed Cloncurry Mining Co NL, assembled a package of exploration prospects within a 50km radius of the town of Cloncurry.

The tenements were acquired by the company's managing director, Mr Malcolm Mayger, ahead of a rush for land in the area. This followed a series of promising discoveries, including Western Mining Corp Holdings Ltd's major gold/copper find - the Ernest Henry deposit.

Cloncurry owns 100 per cent of all its prospects, including the Great Australia prospect, which was continuously mined from 1871 to 1918.

Mr Meagher sought $4.6 million from existing and new shareholders with the support of Melbourne broker McIntosh and Company's corporate arm, which underwrote the issue to the tune of $2 million.

Although failing to gain the full amount sought, McIntosh corporate manager Mr Neil Watson said the level of support was sufficient to allow an active program of drilling to get underway this year.

Cloncurry Mining chairman Mr Ian Winlaw said drilling initially would concentrate on the Paddock lode of the Great Australia prospect. This program is designed to test several shallow gold/copper mineralisation targets in the hope that this will lead to early production.

© 1993 Sydney Morning Herald

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