The Clermont Gold Project is situated to the south, west and northwest of the town of Clermont in central Queensland. Diatreme is exploring for porhyry and stratabound bulk tonnage copper/gold targets over four exploration permits covering over 860 sq km. The project area covers numerous prospects including the old Peak Downs Copper Mine which is significant for its past copper production.

Previous metalliferous mining activity in the region included gold mining predominantly from placers in Permian conglomerates and from Tertiary and Cainozoic alluvial deposits. Gold was discovered in gullies to the south of Clermont township in 1861. By 1862 mining extended from McDonalds Flat in the southeast to Hurley's Lead in the northwest. The main centres of alluvial mining were in the area adjacent to the Clermont township. Between 1877 and 1901, recorded gold production amounted to 5 458 kg from deep leads and other alluvial sources and only 308 kg from quartz lodes. Production peaked in 1898 when the Wild Cat Lead was the principal producer. Production from the Clermont Goldfield during the period 1862 to 1901 is documented as 8 200 kg of gold.

Mining activity declined after 1910 and by the 1920s had almost ceased. In 1931 a new lead, discovered at Miclere, sparked a revival of mining, which continued through to the mid 1950s. During the 1980s and early 1990s small to medium-scale alluvial mining was carried out at McDonalds Flat, Bathampton, and Expedition Creek. Total gold production for the Clermont area to 1993 is estimated to be about 14 000 kg.

Copper was mined at the Peak Downs Copper Mine following its discovery in 1863 and during the period to 1877, 17 000 tonnes of copper (100 000 tonnes @ 17% copper ore) is reported to have been produced from the mining and smelting operations on site. The Peak Downs mine workings lie within the Bathampton Metamorphics.