QIC invests in ASX-listed miner, becomes majority shareholder

QIC has committed $15 million via its QIC Critical Minerals and Battery Technology Fund to ASX-listed QMines to become the largest shareholder of the company.

QMines is a Queensland-focused copper and gold development company, owning 100% of the Mount Chalmers and Develin Creek deposits, located within 90km of Rockhampton.

The investment is expected to accelerate development of the company's Mount Chalmers copper and gold project in central Queensland and represents a significant milestone in QMines' transition toward production, QMines said.

The $15 million funding package comprises two components, including a $5 million equity investment via the issue of fully paid ordinary shares and a $10 million royalty investment in exchange for a 2% net smelter return (NSR) royalty.

The equity component will result in QIC becoming QMines' largest shareholder, providing strong institutional backing, QMines said.

"[QIC's] support brings institutional strength, credibility and long-term alignment as we execute on our strategy to become a near-term copper and gold producer in Central Queensland," QMines chair and managing director Andrew Sparke said.

Meanwhile, the funding will also support the completion of the definitive feasibility study (DFS), FEED study and construction readiness, and the progression toward a final investment decision (FID).

Sparke said this positions QMines to advance Mount Chalmers without the need for near-term equity raisings.

"The level of due diligence undertaken by QCMBTF has been extensive, and their decision to invest is a strong validation of the quality of the Mt Chalmers Project and its long-term development potential," Sparke said.

"Importantly, the structure of this transaction significantly reduces dilution for our shareholders while de-risking the development pathway."