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ECR Minerals #ECR – Lolworth Project Exploration Update and Drilling Plans
ECR Minerals plc (AIM: ECR), the gold exploration company focused on Australia, provides an update on the latest exploration results from the Lolworth Gold and Critical Minerals Project, located in North Queensland, Australia (the “Lolworth Project”) as well as ECR’s 2025 field season plans for the Lolworth Project.
Highlights
- Total of 165 pan concentrate samples collected from alluvial sources
- 9 samples returned gold values greater than 9 ppm Au
- 5 samples returned values greater than 1,000 ppm (0.1%) Niobium-Tantalum
- Discussions advancing with contractors for a proposed maiden Lolworth drilling programme
Programme Overview (see Map 1)
A total of 165 pan concentrate samples were gathered from alluvial sources in the Eastern Area of EPM27903, covering creeks located north of the Uncle Terry Prospect, east of the Gorge Creek Prospects and southeast of the Dagwood Prospect. These pan concentrate samples mark an initial phase of exploration, extending eastward beyond the previously examined regions of Gorge Creek and Dagwood.
Summary of Gold Results (See Table 1)
- Nine samples yielded gold values exceeding 9 ppm Au.
- Three high-grade samples reported concentrations of 1,275 ppm, 175.5 ppm and 127 ppm Au.
The most significant results came from creeks in the headwaters of Fat Hen Creek, situated one mile east of the Dagwood Prospect. These findings indicate the potential presence of undiscovered gold sources in the surrounding hills.
Additional high-grade results were identified in streams draining from the ridgeline east of the Gorge Creek Prospects, reinforcing evidence of further gold-bearing sources in the area.
A high gold anomaly detected in creeks north of the Uncle Terry Prospect area suggests that mineralisation extends beyond the currently mapped prospect boundaries.
Summary of Niobium-Tantalum Results (See Table 2)
- Five samples yielded Niobium-Tantalum concentrations exceeding 1,000 ppm of Nb (0.1%).
These samples were taken from streams along the northwestern margin of what is interpreted to be a Pegmatitic Intrusional Complex. The southern boundary of this intrusion remains untested and is a priority for future sampling.
Lolworth 2025 Field Season Plans
Building on the successful exploration campaign in 2024, ECR is refining its focus on five key gold prospects including Gorge Creek West, Butterfly Creek, Uncle Terry, Gorge Creek Diggings and Woolshed Creek.
These prospects have been identified for sub-surface evaluation by drilling, with discussions currently underway with drilling contractors. Further announcements will be made in due course.
Adam Jones, ECR’s Chief Geologist, said: “These latest results from the Lolworth Project reinforce our confidence in the Project’s gold and critical minerals potential. The discovery of high-grade gold samples in new areas, along with potentially significant niobium-tantalum values, highlights the untapped potential of this under-explored region. We look forward to further defining these targets through drilling in 2025.”
Nick Tulloch, ECR’s chairman, said: “Although Lolworth was not on the itinerary for my recent visit to Australia, it featured prominently in discussions during the week. The scale of the project area and our ongoing very promising results from the work we are undertaking there gives us considerable optimism for our forthcoming drilling plans. Our partnerships with Geological Survey of Queensland and James Cook University at Lolworth are a further reminder of the widening interest of a project that is prospective for both gold and critical minerals.”
Map 1: Lolworth Project Sampling Areas
Table 1: Best Gold Results
| SAMPLEID | EASTING | NORTHING | AU (ppm) |
| LWSS1330 | 318676 | 7748810 | 1245 |
| LWSS1391 | 315624 | 7752864 | 175.5 |
| LWSS1332 | 318167 | 7749120 | 127 |
| LWSS1286 | 319047 | 7752681 | 66.3 |
| LWSS1293 | 318921 | 7750003 | 59.3 |
| LWSS1061 | 315287 | 7750587 | 39.7 |
| LWSS1346 | 311707 | 7752255 | 24.7 |
| LWSS1388 | 315222 | 7752953 | 24.1 |
| LWSS1287 | 318743 | 7753167 | 9.14 |
Table 2: Best Niobium-Tantalum Results
| SAMPLEID | EASTING | NORTHING | NB (ppm) | TA (ppm) |
| LWSS599 | 320857 | 7752191 | 1650 | 640 |
| LWSS1283 | 325152 | 7750992 | 1260 | 340 |
| LWSS1349 | 312097 | 7751890 | 1240 | 360 |
| LWSS1334 | 318139 | 7749781 | 1055 | 430 |
| LWSS1271 | 323775 | 7748669 | 1020 | 430 |
Review of Announcement by Qualified Person
This announcement has been reviewed by Adam Jones, Chief Geologist at ECR Minerals Plc. Adam Jones is a professional geologist and is a Member of the Australian Institute of Geoscientists (MAIG). He is a qualified person as that term is defined by the AIM Note for Mining, Oil and Gas Companies.
FOR FURTHER INFORMATION, PLEASE CONTACT:
| ECR Minerals Plc | Tel: +44 (0) 1738 317 693 | ||
| Nick Tulloch, Chairman
Andrew Scott, Director |
|||
| Email: | |||
| Website: www.ecrminerals.com | |||
| Allenby Capital Limited | Tel: +44 (0) 3328 5656 | ||
| Nominated Adviser
Nick Naylor / Alex Brearley / Vivek Bhardwaj |
info@allenbycapital.com
|
||
| Axis Capital Markets Limited | Tel: +44 (0) 203 026 0320 | ||
| Broker | |||
| Ben Tadd / Lewis Jones | |||
| SI Capital Ltd | Tel: +44 (0) 1483 413500 | ||
| Broker | |||
| Nick Emerson
|
|||
| Brand Communications | Tel: +44 (0) 7976 431608 | ||
| Public & Investor Relations | |||
| Alan Green | |||
Glossary
| Au: | Gold |
| km: | Kilometres (Metric) |
| km²: | Kilometre squared (Metric) |
| Nb: | Niobium |
| Pegmatitic Intrusional Complex: | Group of pegmatite veins that form within an intrusive igneous rock |
| ppm: | Parts per million (Metric) |
| Ta: | Tantalum |
ABOUT ECR MINERALS PLC
ECR Minerals is a mineral exploration and development company. ECR’s wholly owned Australian subsidiary Mercator Gold Australia Pty Ltd (“MGA”) has 100% ownership of the Bailieston and Creswick gold projects in central Victoria, Australia, has six licence applications outstanding which includes one licence application lodged in eastern Victoria (Tambo gold project).
ECR also owns 100% of an Australian subsidiary LUX Exploration Pty Ltd (“LUX”) which has three approved exploration permits covering 946 km2 over a relatively unexplored area in Lolworth Range, Queensland, Australia. The Company has also submitted a license application at Kondaparinga which is approximately 120km2 in area and located within the Hodgkinson Gold Province, 80km NW of Mareeba, North Queensland.
Following the sale of the Avoca, Moormbool and Timor gold projects in Victoria, Australia to Fosterville South Exploration Ltd (TSX-V: FSX) and the subsequent spin-out of the Avoca and Timor projects to Leviathan Gold Ltd (TSX-V: LVX), MGA has the right to receive up to A$2 million in payments subject to future resource estimation or production from projects sold to Fosterville South Exploration Limited.
MGA also has approximately A$75 million of unutilised tax losses incurred during previous operations.
ECR Minerals #ECR – Operational Update
ECR Minerals plc (LON: ECR), the exploration and development company focused on gold in Australia, provides the following update on its operations.
Highlights
- Preparations to bring the Blue Mountain Project into production
- Talks ongoing for sale of Mercator Gold Australia Pty Ltd with a target completion of 28 February 2025
- Proposed sale of surplus land expected to be agreed this month
- Sample results from the Lolworth Project are expected this month
Plans for commercial production at the Blue Mountain Project
As announced by the Company on 8 October 2024, Gekko Systems Pty Limited (“Gekko”) carried out a Single Stage Gravity Recoverable Gold and Sighter Leach test on samples of ore collected at the Company’s Blue Mountain Project in Queensland (the “Blue Mountain Project”). The findings demonstrated a good recovery rate (estimated by Gekko as 91.7% gold into 0.40% of the mass) and suggested that the ore located at the Blue Mountain Project is suitable for gravity concentration using a batch centrifugal concentrator (a “BCC”). It was also announced that if these results are repeatable across the Blue Mountain Project area, then the Company may have a commercial project suitable for a production plant on site.
The ECR team spent two days on site last week to develop plans for a production programme. This included meeting with the landowner and carrying out further surveys of historical workings on the site. The next steps will be to map out the optimum location of trenching, which will most likely be achieved through the use of drones or ground penetrating radar, and ensure that there is sufficient access to water, utilising the creeks on site, alongside implementing plans for water recovery. A larger wash plant is then proposed to be commissioned. This is anticipated to either be made to order or purchased off the shelf and modified to be suitable for the ground at the Blue Mountain Project. Suitable suppliers have already been identified.
A further bulk testing campaign will be conducted to ensure the validity of the Company’s financial modelling of the Blue Mountain Project prior to moving to production. By way of illustration, the ECR team believes that the Blue Mountain Project is capable of having an indicative revenue potential of approximately A$470,000 (US$295,000) per month. This potential revenue illustration uses an average grade of 0.6 grammes per bank cubic metre and Gekko’s projected recovery rate, with a wash plant with a 25 tonne per hour capacity, to provide prospective output per month of over 3,000 grammes (over 100 ounces) per month, using a gold price of US$2,790 per ounce. This could potentially be increased by operating dual wash plants.
As previously announced, the Blue Mountain Project is based on an alluvial gold system where gold is therefore found at or near the surface. ECR’s deepest trench to date was 4 metres but the highest recovery was at a depth of just 1.5 metres. Consequently, bringing the Blue Mountain Project into commercial production is anticipated to not have the high capital expenditure that other gold mining projects have where higher grades are located at great depth. Subject to further scoping work, at present, the Company estimates the preliminary costs of the Blue Mountain Project work programme and the wash plant required for production to be comfortably within the Company’s budget for 2025 and current cash resources.
Update on Proposed sale of Mercator Gold Australia Pty Ltd
On 23 December 2024, ECR announced that it had signed non-binding heads of terms (the “Heads of Terms”) with Octo Holdings Pty Ltd (“Octo”) regarding the proposed sale (the “Proposed Disposal”) of the entire issued share capital of ECR’s wholly-owned subsidiary, Mercator Gold Australia Pty Ltd (“MGA”) for a total cash consideration of A$4.5 million. The parties have had a productive meeting in Melbourne last week which, in addition to the Proposed Disposal, also included a wider discussion on future collaboration opportunities on other projects.
During the meeting, and subsequently confirmed in writing to ECR, Octo proposed a target completion date of 28 February 2025 to enable it to conclude other agreements, independent of ECR, that it is engaged in. The parties will now work towards concluding the Proposed Disposal in that timeframe.
As stated in the Company’s announcement of 23 December 2024, it is proposed that, on or before completion of the Proposed Disposal, ECR will effect a reorganisation of MGA, such that the only exploration assets remaining within MGA will be the Bailieston project, with ECR’s core Creswick and Tambo gold exploration projects, along with the lease of ECR’s premises near Bendigo, Victoria, being transferred to another of the Company’s wholly owned subsidiaries and so would be excluded from the Proposed Disposal. In preparation for the Proposed Disposal, ECR has been developing plans for a reorganisation of its Australian subsidiaries. MGA, as well as holding the Company’s tenements in Victoria, also acts as ECR’s main operating subsidiary in Australia. Alongside the Proposed Disposal, it is anticipated that these operations will be transferred to another of the Company’s Australian subsidiaries and operational savings have been identified as part of this process.
During the week, a further interested party made contact with ECR in respect of the Proposed Disposal, although matters have not been progressed with them, and the Company continues to evaluate interest in MGA’s assets, particularly the prospective antimony, both through direct contact and the sale process being run by Argonaut PCF Ltd.
As stated previously, it is noted that the Heads of Terms are not binding in relation to the terms of the Proposed Disposal, as described above, and that the Proposed Disposal will be subject, among other things, to due diligence by Octo and the execution of a legally binding agreement governing the transaction. There can therefore be no certainty that final binding terms will be agreed, nor as to the timing or final terms, value or conditions of the Proposed Disposal or the final position in respect of the proposed pre-completion restructuring of MGA.
As previously announced, the Proposed Disposal may be considered to be a fundamental change of business pursuant to Rule 15 of the AIM Rules for Companies. If applicable, this would require, amongst other items, the Proposed Disposal to be conditional on the consent of the Company’s shareholders being given in a general meeting, the publication of a shareholder circular detailing the terms of the transaction and certain other disclosures as set out in the AIM Rules.
Proposed sale of Brewing Lane
On 21 November 2024, ECR announced that it has accepted a conditional offer of A$225,000 for the proposed sale of its surplus land at Brewing Lane in Victoria, Australia. The Company is now pleased to announce that the contract for the sale has been agreed in principle and the only remaining step is for the buyer’s finance provider to arrange a valuation of the property. This valuation was commissioned last week, and the valuer has been in contact with ECR to arrange access for the coming week. ECR understands that the buyer’s loan to value ratio is well within the lender’s acceptable range and is consequently confident that the valuation will be approved. Completion is therefore expected to take place in February 2025.
Lolworth samples
As previously announced, a number of rock chip and stream samples from the Lolworth project are currently undergoing laboratory analysis, with the results expected shortly. With visible gold present in the samples, the Directors are optimistic about these pending results.
ECR expects to re-start the field campaign in Lolworth in the second quarter of 2025, drawing on the Company’s partnership with the Geological Survey of Queensland and James Cook University, whose respective surveys will provide the Company with further data points on the project area
Nick Tulloch, ECR’s Chairman, said: “I spent last week in Australia on a trip that covered Melbourne, our office in Bendigo and finally the Blue Mountain Project in Queensland. The latter was the stand out highlight. Over an extensive area with multiple gullies that are prospective for gold, ECR has an exciting opportunity to potentially commence production this year.
“I spent two days on site with the team planning the necessary steps to move into production including preparations for the location of trenches and sizing of the new wash plant that we intend to commission. In an extensive portfolio of assets, we believe that the Blue Mountain Project has the potential to become a defining event in ECR’s history.
“Aside from days on site, I had a series of productive meetings in Victoria, including on the potential sale of MGA. We have made progress on a complex transaction, and an associated reorganisation of our group, and we hope to provide further updates in due course. It is a testament to the appeal of these assets that we continue to receive interest from other parties.”
Review of Announcement by Qualified Person
This announcement has been reviewed by Adam Jones, Chief Geologist at ECR Minerals Plc. Adam Jones is a professional geologist and is a Member of the Australian Institute of Geoscientists (MAIG). He is a qualified person as that term is defined by the AIM Note for Mining, Oil and Gas Companies.
FOR FURTHER INFORMATION, PLEASE CONTACT:
| ECR Minerals Plc | Tel: +44 (0) 1738 317 693 | ||
| Nick Tulloch, Chairman
Andrew Scott, Director |
|||
| Email: | |||
| Website: www.ecrminerals.com | |||
| Allenby Capital Limited | Tel: +44 (0) 3328 5656 | ||
| Nominated Adviser
Nick Naylor / Alex Brearley / Vivek Bhardwaj |
info@allenbycapital.com
|
||
| Axis Capital Markets Limited | Tel: +44 (0) 203 026 0320 | ||
| Broker | |||
| Ben Tadd / Lewis Jones | |||
| SI Capital Ltd | Tel: +44 (0) 1483 413500 | ||
| Broker | |||
| Nick Emerson
|
|||
| Brand Communications | Tel: +44 (0) 7976 431608 | ||
| Public & Investor Relations | |||
| Alan Green | |||
ABOUT ECR MINERALS PLC
ECR Minerals is a mineral exploration and development company. ECR’s wholly owned Australian subsidiary Mercator Gold Australia Pty Ltd (“MGA”) has 100% ownership of the Bailieston and Creswick gold projects in central Victoria, Australia, has six licence applications outstanding which includes one licence application lodged in eastern Victoria (Tambo gold project).
ECR also owns 100% of an Australian subsidiary LUX Exploration Pty Ltd (“LUX”) which has three approved exploration permits covering 946 km2 over a relatively unexplored area in Lolworth Range, Queensland, Australia. The Company has also submitted a license application at Kondaparinga which is approximately 120km2 in area and located within the Hodgkinson Gold Province, 80km NW of Mareeba, North Queensland.
Following the sale of the Avoca, Moormbool and Timor gold projects in Victoria, Australia to Fosterville South Exploration Ltd (TSX-V: FSX) and the subsequent spin-out of the Avoca and Timor projects to Leviathan Gold Ltd (TSX-V: LVX), MGA has the right to receive up to A$2 million in payments subject to future resource estimation or production from projects sold to Fosterville South Exploration Limited.
MGA also has approximately A$75 million of unutilised tax losses incurred during previous operations.
ECR Minerals #ECR – Heads of Terms for Proposed Disposal of MGA
ECR Minerals plc (LON: ECR), the exploration and development company focused on gold in Australia, is pleased to announce that, further to previous announcements, it has entered into a non-binding heads of terms (the “Heads of Terms”) with Octo Holdings Pty Ltd (“Octo”) regarding the proposed sale (the “Proposed Disposal”) of the entire issued share capital of ECR’s wholly-owned subsidiary, Mercator Gold Australia Pty Ltd (“MGA”). MGA holds certain of the Company’s exploration assets in Victoria, Australia but will be restructured prior to the Proposed Disposal as described below.
Highlights of the Proposed Disposal pursuant to the non-binding Heads of Terms:
- Total cash consideration to be payable of A$4.5 million
- Payable in two equal cash tranches: the first tranche on completion of the Proposed Disposal
and the second tranche on or before 31 March 2025 - MGA is to be restructured such that the Creswick and Tambo projects will be transferred to another of the Company’s subsidiaries, so that these projects are excluded from the Proposed Disposal
- The Bailieston gold and antimony exploration project will remain in MGA and therefore would be included in the Proposed Disposal
- MGA holds ECR’s A$75 million of tax losses which represent the main asset that is to be disposed
Overview of the Proposed Disposal
Pursuant to the Heads of Terms, Octo has agreed to acquire MGA on a cash-free and debt-free basis. It is proposed that, on or before completion of the Proposed Disposal, ECR will effect a reorganisation of MGA such that the only exploration assets remaining within MGA will be the four exploration tenements collectively known as the Bailieston project (EL5433, EL006911, EL006912, and EL007296), which targets gold and antimony mineralisation over 142 km2 of exploration ground within the Melbourne zone. Although potentially encouraging antimony results have been reported from the Bailieston project (as announced on 3 July 2024), the Bailieston project is considered by the Board to be a non-core asset given ECR’s key focus on gold exploration.
It is proposed that the tenements comprising ECR’s core Creswick and Tambo gold exploration projects, along with the lease of ECR’s premises near Bendigo, Victoria, will be transferred to another of the Company’s wholly owned subsidiaries and so would be excluded from the Proposed Disposal. Furthermore, MGA’s contracts with ECR’s employees, consultants and other suppliers will be similarly transferred such that the Proposed Disposal will have no impact on ECR’s ongoing Victoria operations at the Creswick and Tambo projects. For the avoidance of doubt, ECR’s core Lolworth and Blue Mountain projects and the Kondaparinga project (all of which are based in Queensland) are held via a different ECR subsidiary and will therefore be unaffected by the Proposed Disposal.
Under the Heads of Terms, the consideration to be payable by Octo is to be A$4.5 million and is to be settled in two equal tranches in cash, with the first tranche on completion of the Proposed Disposal and the second tranche on or before 31 March 2025.
The Heads of Terms restate the exclusivity period between ECR and Octo until 31 January 2025 and it is the parties’ expectation that the Proposed Disposal will be concluded before that date. In the event that further time is required to finalise the pre-completion steps summarised in this announcement, then Octo has the right to extend the exclusivity period for a further 28 days in return for the payment of a commitment fee of A$50,000 (which is refundable in certain circumstances), which would be deductible from the first tranche of the consideration.
It is noted that the Heads of Terms are not binding in relation to the terms of the Proposed Disposal, as described above, and that the Proposed Disposal will be subject, among other things, to due diligence by Octo and the execution of a legally binding agreement governing the transaction. There can therefore be no certainty that final binding terms will be agreed, nor as to the timing or final terms, value or conditions of the Proposed Disposal or the final position in respect of the proposed pre- completion restructuring of MGA.
As previously announced, the Proposed Disposal may be considered to be a fundamental change of business pursuant to Rule 15 of the AIM Rules for Companies. If applicable, this would require, amongst other items, the Proposed Disposal to be conditional on the consent of shareholders being given in a general meeting, the publication of a shareholder circular detailing the terms of the transaction and certain other disclosures as set out in the AIM Rules.
Proposed use of proceeds
Subject to its completion, ECR currently intends to use the net proceeds from the Proposed Disposal to advance the exploration and development of its Queensland and Victoria projects, as previously announced. In particular, the Board considers that the stronger balance sheet that the Company would have on completion of the Proposed Disposal will accelerate its ability to commercialise its core projects.
The board will also assess potential additional value-accretive opportunities for the Company.
The Board considers that the combination of the subscription that was announced in November 2024 and the Proposed Disposal proceeds would ensure that ECR would be fully funded for all of its currently planned activities for the medium-term future.
Next Steps
It is proposed that the parties’ legal advisers will now prepare the necessary definitive and binding agreement to effect the Proposed Disposal and, as described above, ECR will organise the pre- completion restructuring of MGA. Octo will conclude any remaining due diligence on MGA and its assets simultaneously with these workstreams.
Nick Tulloch, ECR’s Chairman, said: “These Heads of Terms represent a significant milestone in our strategy to unlock value from our Australian assets. As investors will know, this has been a complex process and it is a credit to the entire ECR team that we are now at this stage. Once completed, the Proposed Disposal will provide significant cash proceeds to strengthen our balance sheet and the simultaneous restructuring has been designed to preserve the core value within ECR without interruption to our ongoing key operations at Creswick and Tambo. Once the Proposed Disposal has been completed, ECR will be fully funded for all of its currently planned activities for the medium-term future.”
Financial information relating to the Proposed Disposal
Set out in the Appendix to this announcement is a summary of the audited Statement of the Financial Position and the Statement of Profit or Loss and Other Comprehensive Income for MGA for the year ended 30 September 2023, being the date to which ECR’s last audit was prepared.
It is noted that this historic financial information does not reflect the proposed pre-completion restructuring of MGA described above. In particular, shareholders should note the following key adjustments to MGA which are anticipated to occur in relation to its proposed pre-completion restructuring:
- All cash balances within MGA at the point immediately prior to completion will be retained by ECR (MGA’s cash balances as at 20 December 2024 are approximately A$10,000)
- MGA’s assets, and particularly the fixed assets and Capitalised Development Expenditure, will be apportioned between the Bailieston, Creswick and Tambo projects, with the Creswick and Tambo projects (comprising the majority of MGA’s assets) being retained by ECR
- Investments by MGA in ECR’s other subsidiaries, Mercator Gold Holding and Lux Exploration, will be written off
- The inter-group loan from ECR to MGA of A$99 million will similarly be written off
- All other liabilities of MGA, save for those in respect of the remaining Bailieston project tenements, will be settled in full
- The majority of the expenses in the Statement of Profit or Loss and Other Comprehensive
Income relate to the Creswick and Tambo projects, as well as the ongoing running of ECR’s administrative functions in Australia and so will continue to be borne by ECR following completion of the Proposed Disposal
Appendix – extracted audited historic financial information on MGA
Mercator Gold Australia Pty Ltd
Statement of Financial Position
For the Year ended 30 September 2023
|
30 September 2023 |
|
| A$ | |
| Current Assets | |
| Cash and cash equivalents | 132,874 |
| Other receivables | 18,903 |
| Inventory | – |
| Total Current Asset | 151,777 |
| Fixed Assets | |
| Fixed Assets | 753,585 |
| Accumulated depreciation | (215,609) |
| Total Fixed Assets | 537,976 |
|
Other Non-Current Assets |
|
| Acquisition of Mining Properties | 50,000 |
| Capitalised Development Expenditure | 7,319,104 |
| Investment in Mercator Gold Holding | 849,800 |
| Investment in Lux Exploration | 636,200 |
| 8,855,104 | |
| Total Assets | 9,544,857 |
| Current Liabilities | |
| Trade and other payables | 61,368 |
| Loan from ECR Minerals Plc | 99,036,939 |
| Total current liabilities | 99,098,307 |
| Non-current Liabilities | |
| Trade and other payables | 2,434,859 |
| 2,434,859 | |
| Total Liabilities | 101,553,166 |
| Net Liabilities | (91,988,309) |
| Equity | |
| Issued capital | 391 |
| Accumulated losses | (91,988,700) |
| Total Equity | (91,988,309) |
Mercator Gold Australia Pty Ltd
Statement of Profit or Loss and Other Comprehensive Income For the Year ended 30 September 2023
|
30 September 2023 |
|
| A$ | |
| Revenue | – |
| – | |
| Income | |
| Interest Income | 3,591 |
| Other income | 4,818 |
| Gross profit | 8,408 |
| Expenses | |
| Accounting and audit fees | 790 |
| Consultants | 99,916 |
| Bank charges | 913 |
| Depreciation expense | 225,817 |
| Insurance | 13,716 |
| Legal fees | 7,652 |
| Development expenses | 1,121,517 |
| Director’s fee | 20,000 |
| General expenses | 24,623 |
| Office expenses | 6,174 |
| Management Fees | 270,620 |
| Rent | 42,317 |
| Travel | 17,240 |
| Employment expenses | 37,153 |
| Loss on investment | – |
| Loss on disposal of asset | 81,734 |
| Total Expenses | 1,970,182 |
| Less: Development expenses Capitalised | (1,121,517) |
| Profit/(Loss) before income tax | (840,256) |
| Income tax expense | – |
| Profit/(Loss) for the year | (840,256) |
FOR FURTHER INFORMATION, PLEASE CONTACT:
|
ECR Minerals Plc |
Tel: +44 (0) 1738 317 693 |
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Nick Tulloch, Chairman Andrew Scott, Director |
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Email: info@ecrminerals.com |
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Website: www.ecrminerals.com |
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Allenby Capital Limited |
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Tel: +44 (0) 3328 5656 |
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Nominated Adviser Nick Naylor / Alex Brearley / Vivek Bhardwaj |
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Axis Capital Markets Limited |
Tel: +44 (0) 203 026 0320 |
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Broker |
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Ben Tadd / Lewis Jones |
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|
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SI Capital Ltd |
Tel: +44 (0) 1483 413500 |
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Broker |
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Nick Emerson
|
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Brand Communications |
Tel: +44 (0) 7976 431608 |
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Public & Investor Relations |
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|
Alan Green |
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ABOUT ECR MINERALS PLC
ECR Minerals is a mineral exploration and development company. ECR’s wholly owned Australian subsidiary Mercator Gold Australia Pty Ltd (“MGA”) has 100% ownership of the Bailieston and Creswick gold projects in central Victoria, Australia, has six licence applications outstanding which includes one licence application lodged in eastern Victoria (Tambo gold project).
ECR also owns 100% of an Australian subsidiary LUX Exploration Pty Ltd (“LUX”) which has three approved exploration permits covering 946 km2 over a relatively unexplored area in Lolworth Range, Queensland, Australia. The Company has also submitted a license application at Kondaparinga which is approximately 120km2 in area and located within the Hodgkinson Gold Province, 80km NW of Mareeba, North Queensland.
Following the sale of the Avoca, Moormbool and Timor gold projects in Victoria, Australia to Fosterville South Exploration Ltd (TSX-V: FSX) and the subsequent spin-out of the Avoca and Timor projects to Leviathan Gold Ltd (TSX-V: LVX), MGA has the right to receive up to A$2 million in payments subject to future resource estimation or production from projects sold to Fosterville South Exploration Limited.
MGA also has approximately A$75 million of unutilised tax losses incurred during previous operations.
Bailieston Project – Background
The Bailieston project targets epizonal gold and antimony mineralisation and lies within the Melbourne zone, located approximately 150km north of the Victorian state capital, Melbourne. The project is located geologically within the orogenic Lachlan Fold Belt (LFB), and is subdivided into geological zones based on distinct geological and metallurgical characteristics.
The project is characterised by gold and antimony mineralisation, and across the zone ECR Minerals holds a total of 142 km2 of exploration ground across four tenements (EL5433, EL006911, EL006912 and EL007296). These tenements enjoy good road access, and contain the historical prospects known as HR3 (Byron-Maori), HR4 (Cherry Tree), Blue Moon, Black Cat and Pontings, all of which have a history of exploration and some modest production. Updates relating to the Bailieston project were recently announced on 10 September 2024 and 3 July 2024 and further information on the Bailieston project can be found on the Company’s website: https://ecrminerals.com
ECR Minerals #ECR – Operational Update – Tambo Gold Project, Victoria
ECR Minerals plc (LON: ECR), the exploration and development company focused on gold in Australia, is pleased to provide an update on its recently concluded diamond drilling campaign at the Duke of Cornwall Prospect within the Tambo Gold Project in Victoria, Australia (the “Tambo Gold Project”), including the results from Drill Holes DOCD001 and DOCD005.
Summary Of Drilling Results
• Drill Hole DOCD005 returned 1 metre @ 0.72 g/t Au from 108 metres
• Drill Hole DOCD001 returned no significant intercepts
• Best results from the overall programme include 0.4 metres @ 8.51 g/t Au from Drill Hole
DOCD002 and 0.15 metres at 10.6 g/t Au from Drill Hole DOC004
Tambo Gold Project
The diamond drilling campaign consisted of five diamond drill holes (DOCD001 – DOCD005) over a total depth of 428 metres. The campaign’s objective was to investigate the structural controls on gold mineralisation and associated geochemical haloes, particularly beneath and adjacent to the historical Duke of Cornwall mine workings.
Drilling Program Overview (see figure 1 below)
DOCD005 – Northern Extension
DOCD005 was drilled to a total depth of 117.8 metres and intersected two quartz veins at the northern extremities of the Duke of Cornwall Lode system, approximately 70 metres below the historical mine workings. Mineralisation was encountered at one interval (1 metre @ 0.72 g/t Au from 108 metres), with no significant gold intercepts reported from the other intervals tested. Geochemical analysis suggests that the DOCD005 mineralisation area lies outside the primary gold-bearing system which indicates a secondary control plunging the mineralisation along strike. The results are considered to indicate the potential for mineralisation in untested areas which are now better understood from this drilling campaign.
DOCD002 – High-Grade Opportunity
As announced on 20 November 2024, Drill hole DOCD002 was drilled to a total depth of 84.35 metres at the southern end of the Lode and returned a significant best intercept of 0.4 metres @ 8.51 g/t Au, indicating the potential for high-grade zones at depth. This area remains a high-priority target for follow-up drilling to test for continuity and extensions at depth.
DOCD001
No significant gold intercepts have been reported from the intervals tested from drill hole DOCD001 which was drilled to a total depth of 69.7 metres.
Structural Insights
The campaign provided valuable structural data, confirming the association of gold mineralisation with quartz veining adjacent to the main shear zone. A secondary control, possibly plunging concentrations of mineralisation along strike, is starting to be evidenced by the drilling and will be studied in more detail. The Duke of Cornwall Lode system remains largely untested, with approximately 80% of its strike length unexplored.
Programme Summary
The drilling campaign successfully demonstrated that mineralisation continues at depth below the old mine workings in key areas and considerably enhanced the Company’s geological understanding of the prospect. The structural insights gained will inform the design of future campaigns aimed at targeting high-grade zones and testing the unexamined central portions of the Lode. Even holes that encountered no gold mineralisation, DOCD001 and DOCD003, are considered to have added valuable insights, including in the case of DOCD003, delineating the location of the shear zone and controls on mineralisation. It is noted that at surface the rock chip channel sample from the Eastern Cut (0.25 metres @ c. 25 g/t Au as illustrated in Figure 1 in the announcement on 20 November 2024) plots only 10 metres east of the trace of DOCD003, showing the likely secondary controls that have been partially discovered by this first pass drilling programme.
Next Steps
ECR intends to design a follow-up drilling campaign focusing on deeper exploration beneath the high- grade zones identified in DOCD002 and DOCD004 as well as incorporating the structural and geochemical insights gained to explore central portions of the Lode, which remain prospective for gold mineralisation. The Company remains committed to advancing its exploration assets at the Tambo Gold Project while continuing to evaluate potential corporate opportunities. Further updates will be provided in due course.
Lolworth Project update
A number of additional rock chip samples from Lolworth have been sent for laboratory analysis, with the results expected in January 2025. The results from geochemical analysis on samples taken from the Oaky Creek prospect in the central-north area of the Lolworth Project will be announced in due course once received.
The Directors are optimistic regarding the potential of the Lolworth Project and, as announced on 25 November 2024, part of the net proceeds of the Company’s recent fundraise are intended to be used to re-start the field campaign in Lolworth in the second quarter of 2025, drawing on the Company’s partnership with the Geological Survey of Queensland to further investigate the critical minerals potential at the project. On 29 November 2024, the Company announced a collaboration with James Cook University in relation to analysing and interpreting the mineral data from the Lolworth Project area to enhance the understanding of its rare earth elements potential.
Update on potential sale of non-core assets
Further to the Company’s announcement on 26 November 2024 and previously, discussions with the potential buyer of ECR’s subsidiary, Mercator Gold Australia Pty Ltd (“MGA”), in order to effect a sale of the Company’s A$75 million of tax losses continue to progress and the Company expects to reach an agreement in principle on the proposed transaction structure in the coming weeks. Thereafter, it is anticipated that the parties’ respective legal advisers will prepare the formal sale documentation with completion expected within the exclusivity timeframe to 31 January 2025, as previously announced.
As previously announced, the proposed transaction is likely to necessitate a restructuring of MGA as such that it comprises only non-core assets. There can be no certainty that final binding terms will be agreed, nor as to the timings or final terms, structure or quantum of the potential disposal. Depending on the final terms that are agreed for any transaction to realise the tax losses, as well as the structure of the transaction, it is possible, but not guaranteed, that the potential disposal of MGA may be a fundamental change of business pursuant to Rule 15 of the AIM Rules for Companies. If applicable, this would require, amongst other items, the transaction to be conditional on the consent of shareholders being given in a general meeting; a shareholders circular detailing the terms of the transaction and certain other disclosures as set out in the AIM Rules. Further updates on the way forward will be provided in due course as matters are progressed.
Adam Jones, ECR’s Chief Geologist, said: “The initial drilling at Duke of Cornwall has provided valuable structural insights, confirming that mineralisation extends 70 metres below the old workings, though outside the main Lode. The standout result from DOCD002, with 0.4 metres @ 8.51 g/t Au, highlights the potential for high-grade zones at depth, making it a key target for follow-up drilling. Coupled with the promising earlier rock chip results, the Tambo Gold Project demonstrates the significant potential within ECR’s portfolio. The structural and geochemical data from this campaign will play a vital role in advancing our exploration strategy, and we look forward to updating shareholders as we progress.”
Review of Announcement by Qualified Person
This announcement has been reviewed by Adam Jones, Chief Geologist at ECR Minerals Plc. Adam Jones is a professional geologist and is a Member of the Australian Institute of Geoscientists (MAIG). He is a qualified person as that term is defined by the AIM Note for Mining, Oil and Gas Companies.
All sampling and drilling were conducted in accordance with industry best practice, and all assays were performed by an independent, accredited laboratory.
Figure 1: Plan View of Drilling Locations At Duke Of Cornwall Lode
FOR FURTHER INFORMATION, PLEASE CONTACT:
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ECR Minerals Plc |
Tel: +44 (0) 1738 317 693 |
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Nick Tulloch, Chairman Andrew Scott, Director |
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Email: info@ecrminerals.com |
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Website: www.ecrminerals.com |
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Allenby Capital Limited |
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Tel: +44 (0) 3328 5656 |
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Nominated Adviser Nick Naylor / Alex Brearley / Vivek Bhardwaj |
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Axis Capital Markets Limited |
Tel: +44 (0) 203 026 0320 |
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Broker |
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Ben Tadd / Lewis Jones |
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SI Capital Ltd |
Tel: +44 (0) 1483 413500 |
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Broker |
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Nick Emerson
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Brand Communications |
Tel: +44 (0) 7976 431608 |
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Public & Investor Relations |
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Alan Green |
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Glossary
Au: Gold
g/t: Grammes per Tonne (Metric)
km: Kilometres (Metric)
km2: Kilometre squared (Metric)
Lode: A deposit of metalliferous ore that fills a fissure
ABOUT ECR MINERALS PLC
ECR Minerals is a mineral exploration and development company. ECR’s wholly owned Australian subsidiary Mercator Gold Australia Pty Ltd (“MGA”) has 100% ownership of the Bailieston and Creswick gold projects in central Victoria, Australia, has six licence applications outstanding which includes one licence application lodged in eastern Victoria (Tambo gold project).
ECR also owns 100% of an Australian subsidiary LUX Exploration Pty Ltd (“LUX”) which has three approved exploration permits covering 946 km2 over a relatively unexplored area in Lolworth Range, Queensland, Australia. The Company has also submitted a license application at Kondaparinga which is approximately 120km2 in area and located within the Hodgkinson Gold Province, 80km NW of Mareeba, North Queensland.
Following the sale of the Avoca, Moormbool and Timor gold projects in Victoria, Australia to Fosterville South Exploration Ltd (TSX-V: FSX) and the subsequent spin-out of the Avoca and Timor projects to Leviathan Gold Ltd (TSX-V: LVX), MGA has the right to receive up to A$2 million in payments subject to future resource estimation or production from projects sold to Fosterville South Exploration Limited.
MGA also has approximately A$75 million of unutilised tax losses incurred during previous operations.
ECR Minerals #ECR – Subscription to raise £950,000
ECR Minerals plc (LON: ECR), the exploration and development company focused on gold in Australia, is pleased to announce that it has raised, subject only to Admission, £950,000 before expenses through a subscription of a total of 287,878,787 new ordinary shares of 0.001 pence each in the Company (“Ordinary Shares”) at a price of 0.33 pence per new Ordinary Share (the “Subscription Price”) (together the “Subscription”).
The Subscription Price represents a discount of approximately 20.5 per cent. to the closing middle market price of 0.415 pence per Ordinary Share on 22 November 2024, being the latest practicable business day prior to the publication of this announcement.
The new Ordinary Shares will be issued using the Directors’ existing share allotment authorities, as approved at the Company’s annual general meeting held on 23 April 2024.
The net proceeds from the Subscription will primarily be used to advance ECR’s projects in Victoria and Queensland during 2025, specifically:
· Concluding the proposed sale of the Company’s tax losses which are held in the Company’s subsidiary Mercator Gold Australia Pty Ltd (“MGA”) – ECR is currently in exclusive negotiations with a prospective purchaser
· Completing the commercialisation assessment of production at Blue Mountain during the first quarter of 2025 – the independent report from Gekko Systems Pty Limited announced on 8 October 2024 demonstrated a 91.7% gold recovery into 0.40% of the mass
· Preparing Blue Mountain to be capable of production and revenue generation by the end of the first half of the year
· Re-starting the field campaign in Lolworth in the second quarter of 2025, drawing on the Company’s partnership with the Geological Survey of Queensland (“GSQ”) to further investigate the critical minerals potential at the project
· Subject to the forthcoming results from the diamond drilling campaign at Tambo, which are due in the coming weeks, preparing a follow up and potentially more detailed campaign at Tambo
· Further investigations of ECR’s prospective antimony potential at Bailieston where a 32% (best) core sample was reanalysed from historical data
Following completion of the Subscription, ECR will be funded for its planned activities in 2025.
Nick Tulloch, Chairman, said: “Through the Subscription we will be funded for our planned 2025 programme, meaning that whilst we seek to conclude what could be a valuable sale of our tax losses, held in our subsidiary MGA, we can commence detailed preparations for the coming year. A particular highlight is our intention to prepare Blue Mountain to be capable of going into production and our assessment of the commercialisation of that project is already well underway. We are also optimistic about our opportunities at Lolworth where our partnership with the GSQ adds further validity to the potential breadth of that project. Nearer term, the initial drilling results at Tambo announced last week point to what could also be a very promising ongoing campaign there.”
Admission and Disclosure Guidance and Transparency Rules
Application will be made to the London Stock Exchange Plc for the 287,878,787 new Ordinary Shares to be admitted to trading on AIM (“Admission”) and it is expected that Admission will become effective on or around 9 December 2024. The 287,878,787 new Ordinary Shares will rank pari passu with the existing Ordinary Shares. Upon Admission, ECR’s issued ordinary share capital will comprise 2,191,885,012 Ordinary Shares. Upon Admission, this number will represent the total voting rights in the Company, and, following Admission may be used by shareholders as the denominator for the calculation by which they can determine if they are required to notify their interest in, or a change to their interest in, the Company under the Financial Conduct Authority’s Disclosure Guidance and Transparency Rules.
FOR FURTHER INFORMATION, PLEASE CONTACT:
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ECR Minerals Plc |
Tel: +44 (0) 1738 317 693 |
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Nick Tulloch, Chairman Andrew Scott, Director |
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Email: |
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Website: www.ecrminerals.com |
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Allenby Capital Limited |
Tel: +44 (0) 20 3328 5656 |
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Nominated Adviser Nick Naylor / Alex Brearley / Vivek Bhardwaj |
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Axis Capital Markets Limited |
Tel: +44 (0) 203 026 0320 |
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Broker |
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Ben Tadd / Lewis Jones |
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|
|
|
|
SI Capital Ltd |
Tel: +44 (0) 1483 413500 |
|
Broker |
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Nick Emerson
|
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Brand Communications |
Tel: +44 (0) 7976 431608 |
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Public & Investor Relations |
|
|
Alan Green |
ABOUT ECR MINERALS PLC
ECR Minerals is a mineral exploration and development company. ECR’s wholly owned Australian subsidiary Mercator Gold Australia Pty Ltd (“MGA”) has 100% ownership of the Bailieston and Creswick gold projects in central Victoria, Australia, has six licence applications outstanding which includes one licence application lodged in eastern Victoria (Tambo gold project).
ECR also owns 100% of an Australian subsidiary LUX Exploration Pty Ltd (“LUX”) which has three approved exploration permits covering 946 km2 over a relatively unexplored area in Lolworth Range, Queensland, Australia. The Company has also submitted a license application at Kondaparinga which is approximately 120km2 in area and located within the Hodgkinson Gold Province, 80km NW of Mareeba, North Queensland.
Following the sale of the Avoca, Moormbool and Timor gold projects in Victoria, Australia to Fosterville South Exploration Ltd (TSX-V: FSX) and the subsequent spin-out of the Avoca and Timor projects to Leviathan Gold Ltd (TSX-V: LVX), MGA has the right to receive up to A$2 million in payments subject to future resource estimation or production from projects sold to Fosterville South Exploration Limited.
MGA also has approximately A$75 million of unutilised tax losses incurred during previous operations.
ECR Minerals #ECR – Results from Rock Chip Sampling and Exploration Update at Lolworth Project, Queensland
ECR Minerals plc (LON: ECR), the exploration and development company focused on gold in Australia, is pleased to announce the results of rock chip sampling and trenching activities completed at the Lolworth Project, Queensland, focusing on gold and base metals exploration. ECR also provides an interim update in relation to the diamond drilling programme at its Tambo Gold Project in Victoria.
HIGHLIGHTS
- 378 rock chip samples analysed
- Highest-grade gold results include 11.05, 14.15 and 14.7 g/t Au
- 23 rock chips returned silver grades greater than 10 g/t Ag with six samples exceeding 50 g/t Ag
- Trenching at the Gorge Creek West Prospect has identified broader zones of gold mineralisation, including best grades of 11.05, 3.72 and 4.82 g/t Au within a quartz shear zone
- Newly-discovered gold-bearing veins identified near Gorge Creek West and Uncle Terry prospects
Results (See Tables 1&2)
Gorge Creek West (See Figure 1)
Stream sampling has delineated the ridgeline as a potential gold source, and trenching has revealed a North-South trending quartz sulphide shear zone traced along a 40m strike. A secondary shear was located 12.5 metres west of the main zone. Highlights include:
- Best trenching results: 11.05, 4.82 and 3.45 g/t Au.
- Broader zones of low-grade gold mineralisation (0.2-0.5 g/t Au) found within three metres of the shear zones.
- Reconnaissance rock chips show further potential, with best results of 6.97, 2.59 and 3.72 g/t Au.
- Significant silver mineralisation with best results of 54.4, 50.2 and 24.9 g/t Ag.
An additional shear zone located 350 metres northeast has returned high-grade gold, including 14.7, 14.15 and 8.81 g/t Au. The results indicate that the gold bearing portion of this structure can so far been traced for 40 metres along the surface.
Gorge Creek West (Figure 1)
Uncle Terry (see Figure 2)
Reconnaissance rock chip sampling has previously revealed the highest-grade gold assay to date (75.6 g/t Au) from a quartz-sulphide subcrop. Further mapping in the vicinity revealed a quartz-sulphide blow measuring 20 metres x 10 metres at surface. Best results from this quartz blow include:
- Gold assays of 7.59, 6.92, 6.3 and 2.12 g/t Au.
- In addition, high silver values of 78.8, 66.2 and 65.6 g/t Ag have also been discovered. Soil sampling is ongoing to identify potential mineralised extensions.
Uncle Terry (Figure 2)
Geochemical pathfinders
Soil sampling is three-quarters complete, with ongoing analysis aimed at identifying pathfinder elements associated with gold mineralisation. Preliminary results show the following prospect geochemical pathfinders
- Butterfly Creek: Arsenic and lead
- Dagwood: Weak silver and lead
- Gorge Creek West: Strong lead and silver
- Uncle Terry: Strong lead and zinc with low arsenic.
- Silver-to-gold ratios are highest at Gorge Creek West and Uncle Terry.
Next Steps
A further update on the Lolworth Project will be provided before the end of this calendar year, including management’s proposed next exploration steps.
Tambo Drilling Update
The first diamond drill hole has reached 85 metres and encountered quartz and sulphide mineralisation at a 38 metre depth. A second hole is currently underway, with two or three more holes planned for a total planned aggregate depth of 450-550 metres. Further announcements will be made in relation to drilling at Tambo in due course.
Adam Jones, ECR Chief Geologist said: ‘’These rock chip and trenching results from Lolworth further validate the significant potential that the Board sees in this substantial acreage Project. Not only are we uncovering gold, but we are now seeing significant traces of silver. As previously announced, we believe that there are also exciting prospects for rare earths and other critical minerals and we expect both our own exploration programmes, as well as the recent sampling by the Geological Society of Queensland, will provide us with valuable insights and guide our next steps. The geological resemblance of the Lolworth region to the well-known Charters Towers and Ravenswood goldfields is giving us a glimpse of what may lie within these mountain ranges.”
| Table 1: Top 10 Gold Results | ||||||
| Prospect | SampleID | Easting | Northing | Au g/t | Ag g/t | Au:Ag Ratio |
| Gorge Creek West | LWC892 | 313687.1 | 7751609.8 | 14.7 | 50.2 | 1:3 |
| Gorge Creek West | LWC890 | 313683.9 | 7751607.9 | 14.15 | 54.4 | 1:4 |
| Gorge Creek West | LWC636 | 313358.1 | 7751435.4 | 11.05 | 68.8 | 1:6 |
| Gorge Creek West | LWC887 | 313688.7 | 7751597.1 | 8.81 | 24.90 | 1:3 |
| Uncle Terry | LWC935 | 312161.1 | 7752183.7 | 7.59 | 65.60 | 1:6 |
| Gorge Creek West | LWC657 | 313364.3 | 7751418.8 | 6.97 | 31.30 | 1:4 |
| Uncle Terry | LWC948 | 312161.8 | 7752186.9 | 6.92 | 66.20 | 1:10 |
| Gorge Creek West | LWC889 | 313685.0 | 7751607.1 | 6.34 | 5.20 | 1:1 |
| Uncle Terry | LWC947 | 312161.9 | 7752189.0 | 6.3 | 35.70 | 1:6 |
| Gorge Creek West | LWC896 | 313680.6 | 7751618.3 | 5.19 | 16.60 | 1:3 |
Table 2: Top 10 Silver Results
| Prospect | SampleID | Easting | Northing | Ag g/t |
| Uncle Terry | LWC949 | 312159.7 | 7752186.3 | 78.8 |
| Gorge Creek West | LWC636 | 313358.1 | 7751435.4 | 68.8 |
| Uncle Terry | LWC948 | 312161.8 | 7752186.9 | 66.2 |
| Uncle Terry | LWC935 | 312161.1 | 7752183.7 | 65.6 |
| Gorge Creek West | LWC890 | 313683.9 | 7751607.9 | 54.4 |
| Gorge Creek West | LWC892 | 313687.1 | 7751609.8 | 50.2 |
| Gorge Creek West | LWC651 | 313350.8 | 7751428.2 | 48 |
| Gorge Creek West | LWC652 | 313350.1 | 7751427.0 | 35.8 |
| Uncle Terry | LWC947 | 312161.9 | 7752189.0 | 35.7 |
| Gorge Creek West | LWC657 | 313364.3 | 7751418.8 | 31.3 |
REVIEW OF ANNOUNCEMENT BY QUALIFIED PERSON
This announcement has been reviewed by Adam Jones, Chief Geologist at ECR Minerals Plc. Adam Jones is a professional geologist and is a Member of the Australian Institute of Geoscientists (MAIG). He is a qualified person as that term is defined by the AIM Note for Mining, Oil and Gas Companies.
FOR FURTHER INFORMATION, PLEASE CONTACT:
| ECR Minerals Plc | Tel: +44 (0) 1738 317 693 | ||
| Nick Tulloch, Chairman
Andrew Scott, Director |
|||
| Email: | |||
| Website: www.ecrminerals.com | |||
| Allenby Capital Limited | Tel: +44 (0) 3328 5656 | ||
| Nominated Adviser
Nick Naylor / Alex Brearley / Vivek Bhardwaj |
info@allenbycapital.com
|
||
| Axis Capital Markets Limited | Tel: +44 (0) 203 026 0320 | ||
| Broker | |||
| Ben Tadd / Lewis Jones | |||
| SI Capital Ltd | Tel: +44 (0) 1483 413500 | ||
| Broker | |||
| Nick Emerson
|
|||
| Brand Communications | Tel: +44 (0) 7976 431608 | ||
| Public & Investor Relations | |||
| Alan Green | |||
Glossary
| Ag: | Silver |
| Au: | Gold |
| g/t: | Grammes per Tonne (Metric) |
| km: | Kilometres (Metric) |
| km²: | Kilometre squared (Metric) |
ABOUT ECR MINERALS PLC
ECR Minerals is a mineral exploration and development company. ECR’s wholly owned Australian subsidiary Mercator Gold Australia Pty Ltd (“MGA”) has 100% ownership of the Bailieston and Creswick gold projects in central Victoria, Australia, has six licence applications outstanding which includes one licence application lodged in eastern Victoria (Tambo gold project).
ECR also owns 100% of an Australian subsidiary LUX Exploration Pty Ltd (“LUX”) which has three approved exploration permits covering 946 km2 over a relatively unexplored area in Lolworth Range, Queensland, Australia. The Company has also submitted a license application at Kondaparinga which is approximately 120km2 in area and located within the Hodgkinson Gold Province, 80km NW of Mareeba, North Queensland.
Following the sale of the Avoca, Moormbool and Timor gold projects in Victoria, Australia to Fosterville South Exploration Ltd (TSX-V: FSX) and the subsequent spin-out of the Avoca and Timor projects to Leviathan Gold Ltd (TSX-V: LVX), MGA has the right to receive up to A$2 million in payments subject to future resource estimation or production from projects sold to Fosterville South Exploration Limited. ECR also holds a royalty on the SLM gold project in La Rioja Province, Argentina.
MGA also has approximately A$75 million of unutilised tax losses incurred during previous operations.
ECR Minerals #ECR – Diamond Drilling Commences at Tambo Gold Project, Victoria and Fourth Company in Discussions on Potential Sale of A$75m Tax Losses
ECR Minerals plc (LON: ECR), the exploration and development company focused on gold in Australia, is pleased to announce the commencement of diamond drilling at the Company’s Tambo Gold Project in Victoria, Australia (the “Tambo Gold Project”), as well as providing an update on corporate activities.
HIGHLIGHTS
- Maiden diamond drilling campaign now underway at the Tambo Gold Project
- Fourth confidentiality agreement signed with Australia-domiciled company in relation to the potential sale of ECR’s A$75 million of tax losses
- Laboratory analysis of 378 rock chips taken from gold prospects at the Lolworth Project in Queensland now completed and results expected later this month
Tambo Gold Project, Victoria
Further to the Company’s announcement on 9 October 2024, the maiden diamond drilling campaign has commenced at the Tambo Gold Project targeting beneath the historical workings of the Duke of Cornwall Mine, Swifts Creek. The drilling programme is expected to take approximately two weeks with up to 500 metres of aggregate depth planned, although the exact profile of the campaign will be determined on site. Previous rock chip assays from direct outcrop and exposures around and within the old workings include results of 22.85 g/t Au, 26.25 g/t Au and 52.2 g/t Au coupled with highly anomalous gold in soils. Initial results are expected in November 2024.
Update on Potential Sale of Tax Losses
Further to the Company’s announcements of 9 October 2024 and 2 July 2024, ECR, through its engagement with Argonaut PCF Ltd, has signed an additional non-disclosure agreement and is now in discussions with four Australia-domiciled public and private companies in relation to the potential sale of its A$75 million of tax losses.
ECR’s tax losses are held within its wholly owned subsidiary, Mercator Gold Australia Pty Ltd, and were incurred during the period from 2006 to date. Any sale of the tax losses would be coupled with a disposal of certain non-core assets of the Company. Whilst no guarantee can be given as to any potential sale or agreement being reached or as to the timing or terms, the board of directors of ECR continues to be encouraged by the considerable interest shown in this potentially valuable asset.
Lolworth, Queensland,
Laboratory analysis of 378 rock chips recently taken from gold prospects at the Lolworth Project in Queensland, including Butterfly Creek, Uncle Terry and Gorge Creek has now been completed and the Company expects to receive the data shortly. The next step will be for management to undertake a detailed review of this information to contextualise the data within the overall project area. It is therefore expected that the full results will be available by the end of the month. Initial field work across the Lolworth Project showed promising signs, including visible gold in streams and hillsides. A further announcement will be made in due course.
As announced on 3 October 2024, ECR Minerals is working in partnership with the Geological Survey of Queensland (“GSQ”) to further investigate the critical minerals potential at the Lolworth Project. The results from geochemical analysis on samples taken from the Oaky Creek prospect in the central-north area of the project will be announced once received. Stream sampling in this area has previously detected Niobium in concentrate samples and geochemical analysis will be carried out by the GSQ on pegmatites to better understand their fertility for hosting critical minerals, in particular Niobium and Tantalum.
Mike Whitlow, ECR’s Managing Director, said: “I’m very pleased to announce that the diamond drill rig has arrived at the Tambo Gold Project, marking the beginning of our highly anticipated maiden drilling campaign at this site. Our initial work at the Tambo Gold Project has been very promising with high-grade gold results in rock chips reinforcing our confidence in the potential of this asset. We look forward to confirming and expanding on these results, which is expected in November 2024. I’m also encouraged by the growing interest in our tax losses from both private and public companies, with several requests for confidentiality agreements. As we’ve said previously the potential value of any transaction could be significant for ECR. We are expecting a steady stream of updates across our core projects in the coming weeks and months and I look forward to reporting back on the rock chip results from Lolworth once further analysis has been conducted.’’
REVIEW OF ANNOUNCEMENT BY QUALIFIED PERSON
This announcement has been reviewed by Adam Jones, Chief Geologist at ECR Minerals Plc. Adam Jones is a professional geologist and is a Member of the Australian Institute of Geoscientists (MAIG). He is a qualified person as that term is defined by the AIM Note for Mining, Oil and Gas Companies.
FOR FURTHER INFORMATION, PLEASE CONTACT:
| ECR Minerals Plc | Tel: +44 (0) 1738 317 693 | ||
| Nick Tulloch, Chairman
Andrew Scott, Director |
|||
| Email: | |||
| Website: www.ecrminerals.com | |||
| Allenby Capital Limited | Tel: +44 (0) 3328 5656 | ||
| Nominated Adviser
Nick Naylor / Alex Brearley / Vivek Bhardwaj |
info@allenbycapital.com
|
||
| Axis Capital Markets Limited | Tel: +44 (0) 203 026 0320 | ||
| Broker | |||
| Ben Tadd / Lewis Jones | |||
| SI Capital Ltd | Tel: +44 (0) 1483 413500 | ||
| Broker | |||
| Nick Emerson
|
|||
| Brand Communications | Tel: +44 (0) 7976 431608 | ||
| Public & Investor Relations | |||
| Alan Green | |||
Glossary
| Au: | Gold |
| g/t: | Grammes per Tonne (Metric) |
| km: | Kilometres (Metric) |
| km²: | Kilometre squared (Metric) |
ABOUT ECR MINERALS PLC
ECR Minerals is a mineral exploration and development company. ECR’s wholly owned Australian subsidiary Mercator Gold Australia Pty Ltd (“MGA”) has 100% ownership of the Bailieston and Creswick gold projects in central Victoria, Australia, has six licence applications outstanding which includes one licence application lodged in eastern Victoria (Tambo gold project).
ECR also owns 100% of an Australian subsidiary LUX Exploration Pty Ltd (“LUX”) which has three approved exploration permits covering 946 km2 over a relatively unexplored area in Lolworth Range, Queensland, Australia. The Company has also submitted a license application at Kondaparinga which is approximately 120km2 in area and located within the Hodgkinson Gold Province, 80km NW of Mareeba, North Queensland.
Following the sale of the Avoca, Moormbool and Timor gold projects in Victoria, Australia to Fosterville South Exploration Ltd (TSX-V: FSX) and the subsequent spin-out of the Avoca and Timor projects to Leviathan Gold Ltd (TSX-V: LVX), MGA has the right to receive up to A$2 million in payments subject to future resource estimation or production from projects sold to Fosterville South Exploration Limited. ECR also holds a royalty on the SLM gold project in La Rioja Province, Argentina.
MGA also has approximately A$75 million of unutilised tax losses incurred during previous operations.
ECR Minerals #ECR – Australia Projects Update
ECR Minerals plc (LON: ECR), the exploration and development company focused on gold in Australia, is pleased to announce an update on its gold and rare earths projects in Queensland and Victoria.
HIGHLIGHTS
· Ongoing discussions with three Australia-domiciled public and private companies in relation to the potential sale of ECR’s A$75 million of tax losses
· Rock chip results from Lolworth Project, including Butterfly Creek, Uncle Terry and Gorge Creek expected in the coming weeks
· Partnership with the Geological Survey of Queensland (“GSQ”) to further investigate the critical minerals potential at the Lolworth Project
· Maiden diamond drilling program at the Tambo Project to commence this month
Update on Potential Sale of Tax Losses
Further to the Company’s announcement of 2 July 2024, ECR, through its engagement with Argonaut PCF Ltd (”Argonaut”), is currently in discussions with three Australia-domiciled public and private companies in relation to the potential sale of its A$75 million of tax losses. Each company has signed a non-disclosure agreement.
ECR’s tax losses are held within its wholly owned subsidiary, Mercator Gold Australia Pty Ltd, and were incurred during the period from 2006 to date. Any sale of the tax losses would be coupled with a disposal of certain non-core assets of the Company. Whilst no guarantee can be given as to any potential sale or agreement being reached or as to the timing or terms, the board of directors of ECR (the “Board” or the “Directors”) continues to be encouraged by the considerable interest shown in this potentially valuable asset.
Queensland
Laboratory results from 378 rock chips recently taken from gold prospects at the Lolworth Project in Queensland, including Butterfly Creek, Uncle Terry and Gorge Creek are expected in the coming weeks. Based on the work done to date, confirmation of the presence of further high-grade gold is expected, as initial field work across the Lolworth Project showed promising signs, including visible gold in streams and hillsides.
As announced on 3 October 2024, ECR Minerals is now also working in partnership with the GSQ to further investigate the critical minerals potential at the Lolworth Project. The results from geochemical analysis on samples taken from the Oaky Creek prospect in the central-north area of the project will be announced once received. Stream sampling in this area has previously detected Niobium in concentrate samples and geochemical analysis will be carried out by the GSQ on pegmatites to better understand their fertility for hosting critical minerals, in particular Niobium and Tantalum.
Victoria
Further to the Company’s announcement on 25 September 2024, civil works for ECR’s maiden diamond drilling programme at the Tambo Project are nearing completion. The drilling programme is expected to commence this month and will target beneath the historical workings of the Duke of Cornwall Mine, Swifts Creek. Previous rock chip assays from direct outcrop and exposures around and within the old workings include results of 22.85 g/t Au, 26.25 g/t Au and 52.2 g/t Au coupled with highly anomalous gold in soils.
Nick Tulloch, ECR’s Chairman, said: “With much of our recent focus being on our highly encouraging results from the Blue Mountain Project which has given us the confidence to examine the viability of installing a production plant at the site, we continue to develop the other parts of our portfolio of assets. We await rock chip results from the Lolworth Project and we look forward to commencing our maiden diamond drilling programme at the Tambo Project later this month. We have also been very encouraged by the level of interest in our tax losses. Transferring tax losses is a specialist and bespoke process but, if successful, the potential value could be significant to ECR.”
REVIEW OF ANNOUNCEMENT BY QUALIFIED PERSON
This announcement has been reviewed by Adam Jones, Chief Geologist at ECR Minerals Plc. Adam Jones is a professional geologist and is a Member of the Australian Institute of Geoscientists (MAIG). He is a qualified person as that term is defined by the AIM Note for Mining, Oil and Gas Companies.
FOR FURTHER INFORMATION, PLEASE CONTACT:
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ECR Minerals Plc |
Tel: +44 (0) 1738 317 693 |
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Nick Tulloch, Chairman Andrew Scott, Director |
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Email: info@ecrminerals.com |
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Website: www.ecrminerals.com |
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Allenby Capital Limited |
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Tel: +44 (0) 3328 5656 |
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Nominated Adviser Nick Naylor / Alex Brearley / Vivek Bhardwaj |
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Axis Capital Markets Limited |
Tel: +44 (0) 203 026 0320 |
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Broker |
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Ben Tadd / Lewis Jones |
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SI Capital Ltd |
Tel: +44 (0) 1483 413500 |
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Broker |
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Nick Emerson
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Brand Communications |
Tel: +44 (0) 7976 431608 |
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Public & Investor Relations |
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Alan Green |
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Glossary
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Au: |
Gold |
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g/t: |
Grammes per Tonne (Metric) |
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km: |
Kilometres (Metric) |
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km²: |
Kilometre squared (Metric) |
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ABOUT ECR MINERALS PLC
ECR Minerals is a mineral exploration and development company. ECR’s wholly owned Australian subsidiary Mercator Gold Australia Pty Ltd (“MGA”) has 100% ownership of the Bailieston and Creswick gold projects in central Victoria, Australia, has six licence applications outstanding which includes one licence application lodged in eastern Victoria (Tambo gold project).
ECR also owns 100% of an Australian subsidiary LUX Exploration Pty Ltd (“LUX”) which has three approved exploration permits covering 946 km2 over a relatively unexplored area in Lolworth Range, Queensland, Australia. The Company has also submitted a license application at Kondaparinga which is approximately 120km2 in area and located within the Hodgkinson Gold Province, 80km NW of Mareeba, North Queensland.
Following the sale of the Avoca, Moormbool and Timor gold projects in Victoria, Australia to Fosterville South Exploration Ltd (TSX-V: FSX) and the subsequent spin-out of the Avoca and Timor projects to Leviathan Gold Ltd (TSX-V: LVX), MGA has the right to receive up to A$2 million in payments subject to future resource estimation or production from projects sold to Fosterville South Exploration Limited. ECR also holds a royalty on the SLM gold project in La Rioja Province, Argentina.
MGA also has approximately A$75 million of unutilised tax losses incurred during previous operation
ECR Minerals #ECR – Collaboration with Geological Survey of Queensland on Lolworth Project
ECR Minerals plc (LON: ECR), the exploration and development company focused on gold in Australia, is pleased to announce it is working in partnership with the Geological Survey of Queensland (“GSQ”) to further investigate the critical minerals potential at the Company’s Lolworth Project.
HIGHLIGHTS
- Site visit and sample collection undertaken by GSQ in September 2024
- Samples to undergo geochemical analysis for critical minerals including Niobium and Tantalum
- Work is being undertaken at no cost to ECR Minerals
- Data will provide valuable insights and help guide further exploration initiatives at the Lolworth Project
Geological Survey of Queensland
The GSQ is the state’s custodian of geoscience knowledge as well as data and provides advice regarding Queensland’s mineral and energy resources and resource potential. GSQ plays a key role in attracting investment to Queensland’s resources sector by improving understanding of the state’s prospectivity and resource potential.
Lolworth Project, Queensland
In September 2024, ECR Minerals was approached by the GSQ to undertake an evaluation of the critical minerals potential at some of the Company’s prospect areas at the Lolworth Gold and Rare Earths Project in Queensland. A site visit, which included mapping and the collection of rock chip samples, took place predominantly at the Oaky Creek prospect in the central-north area of the Lolworth Project. Stream sampling in this area has previously detected Niobium in concentrate samples. Geochemical analysis will be carried out by the GSQ on pegmatites to better understand their fertility for hosting critical minerals, in particular Niobium and Tantalum. Results are expected in the coming weeks.
Stream sampling by ECR Minerals’ own field crews for rare earths on the eastern side of the 1,000 km² project area is almost complete. Regional geological mapping has indicated the presence of significant pegmatitic intrusions. As previously announced by the Company, a bulk sample has been taken from the Oaky Creek Niobium streamline which will be used for mineralogical purposes to aid in tracking down the source rock.
Adam Jones, ECR’s Chief Geologist, said: ‘’We’ve been saying for some time that the Lolworth Project has significant potential for critical minerals and I’m delighted that the GSQ has formed a similar opinion and is now assisting us as we get a better handle on its geology. The work currently being done by the GSQ, which is at no cost to ECR, will provide an invaluable second opinion and verification of our own findings and will help guide our next steps. I’m looking forward to receiving the results which will give us an indication as to just how prospective for critical minerals the source rocks are. I would like to thank the GSQ for the work they’re undertaking as we continue to develop the Lolworth Project into an asset which could become significant not just for ECR but potentially also for the state of Queensland.”
REVIEW OF ANNOUNCEMENT BY QUALIFIED PERSON
This announcement has been reviewed by Adam Jones, Chief Geologist at ECR Minerals Plc. Adam Jones is a professional geologist and is a Member of the Australian Institute of Geoscientists (MAIG). He is a qualified person as that term is defined by the AIM Note for Mining, Oil and Gas Companies.
FOR FURTHER INFORMATION, PLEASE CONTACT:
| ECR Minerals Plc | Tel: +44 (0) 1738 317 693 | ||
| Nick Tulloch, Chairman
Andrew Scott, Director |
|||
| Email: | |||
| Website: www.ecrminerals.com | |||
| Allenby Capital Limited | Tel: +44 (0) 3328 5656 | ||
| Nominated Adviser
Nick Naylor / Alex Brearley / Vivek Bhardwaj |
info@allenbycapital.com
|
||
| Axis Capital Markets Limited | Tel: +44 (0) 203 026 0320 | ||
| Broker | |||
| Ben Tadd / Lewis Jones | |||
| SI Capital Ltd | Tel: +44 (0) 1483 413500 | ||
| Broker | |||
| Nick Emerson
|
|||
| Brand Communications | Tel: +44 (0) 7976 431608 | ||
| Public & Investor Relations | |||
| Alan Green | |||
Glossary
| km: | Kilometres (Metric) |
| km²: | Kilometre squared (Metric) |
ABOUT ECR MINERALS PLC
ECR Minerals is a mineral exploration and development company. ECR’s wholly owned Australian subsidiary Mercator Gold Australia Pty Ltd (“MGA”) has 100% ownership of the Bailieston and Creswick gold projects in central Victoria, Australia, has six licence applications outstanding which includes one licence application lodged in eastern Victoria (Tambo gold project).
ECR also owns 100% of an Australian subsidiary LUX Exploration Pty Ltd (“LUX”) which has three approved exploration permits covering 946 km2 over a relatively unexplored area in Lolworth Range, Queensland, Australia. The Company has also submitted a license application at Kondaparinga which is approximately 120km2 in area and located within the Hodgkinson Gold Province, 80km NW of Mareeba, North Queensland.
Following the sale of the Avoca, Moormbool and Timor gold projects in Victoria, Australia to Fosterville South Exploration Ltd (TSX-V: FSX) and the subsequent spin-out of the Avoca and Timor projects to Leviathan Gold Ltd (TSX-V: LVX), MGA has the right to receive up to A$2 million in payments subject to future resource estimation or production from projects sold to Fosterville South Exploration Limited. ECR also holds a royalty on the SLM gold project in La Rioja Province, Argentina.
MGA also has approximately A$75 million of unutilised tax losses incurred during previous operations
ECR Minerals #ECR – Australia Projects Update
Up to 75.6g/t Gold Rock Chip Identified at Lolworth, Queensland
Maiden Diamond Drilling Program to Commence at Tambo Gold Project in Coming Weeks
Drilling Application Lodged to Follow up 32% Antimony Result At Bailieston, Victoria
ECR Minerals plc (LON: ECR), the exploration and development company focused on gold in Australia, is pleased to announce an update on its gold and rare earths projects in Queensland and Victoria.
HIGHLIGHTS
Queensland
- Up to 75.6 g/t gold rock chip discovered at the Uncle Terry Prospect at the Lolworth Project
- Results expected from enhanced gold recovery process at the Blue Mountain Project
Victoria
- Planning for diamond drill programme to commence at the Tambo Gold Project in coming weeks
- Drilling application lodged to further investigate the potential at Bailieston given the recently announced exceptional Antimony results
Lolworth, Queensland
Two field teams have been working on site at the Company’s Lolworth Project since early May 2024, where initial field work across several gold prospects in the Upper Gorge Creek showed promising signs, including visible gold in streams and hillsides.
First rock chip results now received from the Uncle Terry Prospect are encouraging, with samples of up to 75.6 g/t Au, 1.32 g/t Au and 1.29 g/t Au from a new mineralised quartz vein situated approximately 400m north-west from the main prospect. Follow-up mapping has traced the visible part of this outcrop for at least 100m in strike and ending in a quartz blow where Galena (Lead-Silver) is clearly visible. Numerous mineralised quartz shears at least 1m wide have been mapped over the entire Uncle Terry Prospect area. The main shear zone is showing to host Lead (Pb) and Silver (Ag) with best outcrop rock chips of 1.89% Pb and 11 samples greater than 5 g/t Ag, including two highlights of 272 g/t Ag and 69 g/t Ag. ECR’s field teams are currently extending soil sampling to explore for hidden gold-bearing outcrops in the immediate vicinity.
The results for 378 rock chip samples covering all five gold prospects at the Lolworth Project are due in the coming weeks. Confirmation of the presence of further high-grade gold is expected, as samples anomalous in silver have been routinely sent to the laboratory for gold analysis. Silver has been identified as the strongest pathfinder element correlating to gold mineralisation at the Lolworth Project.
Stream sampling for gold and rare earths on the eastern side of the 1,000 km² project area is progressing well and nearing completion. Regional geological mapping has indicated the presence of significant pegmatitic intrusions. Previous work suggests that this eastern area features the same geological formations as the Oaky Creek region of the tenement where stream sampling has previously detected niobium in concentrate samples.
ECR’s field crews have also taken a bulk sample from the Oaky Creek Niobium streamline which will be used for mineralogical purposes to aid in tracking down the source rock.
Table 1: Summary of latest rockchip results from the Uncle Terry Prospect, Lolworth.
| Prospect | Sample ID | Easting | Northing | Au g/t | Ag g/t | Pb % | ||||
| Uncle Terry | LWC432 | 312178 | 7752097 | 75.6 | 272 | 0.03 | ||||
| Uncle Terry | LWC431 | 312194 | 7752128 | 1.32 | 1.5 | 0.02 | ||||
| Uncle Terry | LWC463 | 308392 | 7751048 | 1.29 | 4.3 | 0.02 | ||||
| Uncle Terry | LWC548 | 312418 | 7751770 | 0.08 | 69.00 | 0.09 | ||||
| Uncle Terry | LWC545 | 312418 | 7751766 | 0.02 | 12.20 | 0.23 | ||||
| Uncle Terry | LWC401 | 312355 | 7751894 | 0.04 | 11.00 | 0.00 | ||||
| Uncle Terry | LWC410 | 312382 | 7751852 | 0.01 | 10.60 | 0.00 | ||||
| Uncle Terry | LWC481 | 312327 | 7751879 | 0.01 | 8.40 | 0.00 | ||||
| Uncle Terry | LWC402 | 312358 | 7751890 | 0.03 | 8.10 | 0.24 | ||||
| Uncle Terry | LWC544 | 312420 | 7751766 | 0.01 | 7.50 | 0.14 | ||||
| Uncle Terry | LWC406 | 312370 | 7751870 | 0.01 | 6.70 | 0.00 | ||||
| Uncle Terry | LWC543 | 312420 | 7751764 | 0.01 | 6.10 | 0.04 | ||||
| Uncle Terry | LWC546 | 312418 | 7751766 | 0.01 | 5.40 | 0.40 | ||||
| Uncle Terry | LWC549 | 312420 | 7751769 | 0.01 | 0.20 | 1.89 | ||||
| *Locations in GDA94 Zone 55 datum. | ||||||||||
Blue Mountain, Queensland
As announced on 1 August 2024, a trenching and bulk concentrate sampling programme was undertaken at the Blue Mountain Project during July of this year. A total of 15.4 cubic metres of alluvial gravel was processed through a pilot trommel wash plant, yielding 9.95 grammes of visible gold, an overall average of 1.55 grammes per b.c.m. Additionally, six bulk samples of sluice box concentrates were submitted for laboratory analysis, with best results including 192.15 g/t Au and 97.40 g/t Au within these concentrates.
Given these highly encouraging results ECR has submitted further samples to the laboratory to undergo an enhanced gold recovery process to determine the potential commercial options for recovery. The results are expected in the coming weeks.
The Blue Mountain Project consists of two exploration permits (EPM27175 and EPM27183). Both permits are in good standing and the Company has recently applied to extend the terms for an additional five years. Both tenements contain at least 12km of strike length available for follow up sampling and testing.
Tambo Project, Victoria
On 12 July 2024, ECR Minerals announced the fire assay gold results from the historic Duke of Cornwall Mine in Swifts Creek (Tambo Gold Project) with a best result including 52.2 g/t Au. A total of 10 samples returned results above 5 g/t Au. Subsequently, 84 soil samples were taken perpendicular to the strike of the Duke of Cornwall lode to gain a better understanding of the geochemical orientation with a best result of 0.56 ppm Au.
ECR Minerals is pleased to announce that terms have now been agreed with a drilling contractor and a site visit by ECR chief geologist, Adam Jones, is due to take place this week. A maiden diamond drilling campaign is expected to commence at the project in the coming weeks.
Bailieston, Victoria
On 3 July 2024, ECR Minerals announced results from additional testing for the critical mineral Antimony (Sb) from diamond core previously drilled at Bailieston, Central Victoria. 44 samples were submitted for additional multi-element testing with best results including 0.3m grading 32% Sb and 0.1m grading 1.20 % Sb.
A drilling application has now been lodged with the relevant Governmental authorities to further investigate the potential at Bailieston given the recently announced exceptional Antimony results. Further details will be announced in due course.
The ECR Board made the decision to reanalyse diamond core samples for Antimony from the Bailieston Project, drilled during the 2021-2022 campaign, due to the Melbourne Geological Zone’s reputation as a prominent host for Antimony lodes and the increasing demand for this critical mineral.
The Costerfield Mine, owned by Mandalay Resources, is a significant Antimony producer in the region, recording 1,860 tonnes of Sb in 2023. Nearby, Nagambie Resources recently announced a maiden JORC inferred resource estimate of 17,800 tonnes of Sb, while Southern Cross Gold has been actively exploring for Antimony at its Sunday Creek Project.
ECR Minerals holds exploration licenses situated 45 kilometres east of Costerfield and 25 kilometres west of Nagambie. ECR’s Bailieston Prospect (HR3) is positioned on the Bailieston Anticline, renowned for its Antimony mineralisation.
Mike Whitlow, Managing Director, said: “It has been a highly productive year for ECR, with significant progress made across our portfolio of gold and rare earths projects, and exploration activities are set to accelerate even further. We consider that we’re on the verge of identifying the key sources of gold at Lolworth, with a number of high-priority drill targets soon to be lined up for testing. This marks a pivotal step forward as we look to unlock the project’s full potential. At the Blue Mountain Project, we are eagerly anticipating the results from our enhanced gold recovery process which will be critical in guiding us towards the potential commercial options for gold extraction. In Victoria, our focus remains firmly on drilling. We’re set to commence drilling at the Tambo Project in the coming weeks and work is underway to further explore the highly prospective Antimony potential at Bailieston. With the recent surge in this critical mineral’s price, we believe that the Bailieston project’s Antimony potential may become increasingly significant.”
REVIEW OF ANNOUNCEMENT BY QUALIFIED PERSON
This announcement has been reviewed by Adam Jones, Chief Geologist at ECR Minerals plc. Adam Jones is a professional geologist and is a Member of the Australian Institute of Geoscientists (MAIG). He is a qualified person as that term is defined by the AIM Note for Mining, Oil and Gas Companies.
Market Abuse Regulation (MAR) Disclosure
This announcement contains inside information for the purposes of Article 7 of the Market Abuse Regulation (EU) 596/2014 as it forms part of UK domestic law by virtue of the European Union (Withdrawal) Act 2018 (“MAR”), and is disclosed in accordance with the Company’s obligations under Article 17 of MAR.
FOR FURTHER INFORMATION, PLEASE CONTACT:
| ECR Minerals plc | Tel: +44 (0) 1738 317 693 | |
| Nick Tulloch, Chairman
Andrew Scott, Director |
||
| Email: | ||
| Website: www.ecrminerals.com | ||
| Allenby Capital Limited | Tel: +44 (0) 3328 5656 | |
| Nominated Adviser
Nick Naylor / Alex Brearley / Vivek Bhardwaj
|
info@allenbycapital.com
|
|
| Axis Capital Markets Limited | Tel: +44 (0) 203 026 0320 | |
| Broker | ||
| Ben Tadd/Lewis Jones | ||
| SI Capital Ltd | Tel: +44 (0) 1483 413500 | |
| Broker | ||
| Nick Emerson | ||
| Brand Communications | Tel: +44 (0) 7976 431608 | |
| Public & Investor Relations | ||
| Alan Green | ||
Glossary
| Ag: | Silver |
| Au: | Gold |
| b.c.m | Bank Cubic Metre |
| g/t: | Grammes per Tonne (Metric) |
| HR3: | The Bailieston Prospect |
| JORC: | Australasian Code for Reporting of Mineral Resources and Ore Reserves’ of December 2012 (“JORC Code”) as prepared by the Joint Ore Reserves Committee of the Australasian Institute of Mining and Metallurgy. |
| km: | Kilometres (Metric) |
| km²: | Kilometre squared (Metric) |
| M: | Metres (Metric) |
| Pb: | Lead |
| ppm: | Parts per million (Metric) |
| Sb: | Antimony |
ABOUT ECR MINERALS PLC
ECR Minerals is a mineral exploration and development company. ECR’s wholly owned Australian subsidiary Mercator Gold Australia Pty Ltd (“MGA”) has 100% ownership of the Bailieston and Creswick gold projects in central Victoria, Australia, has six licence applications outstanding which includes one licence application lodged in eastern Victoria (Tambo gold project).
ECR also owns 100% of an Australian subsidiary LUX Exploration Pty Ltd (“LUX”) which has three approved exploration permits covering 946 km2 over a relatively unexplored area in Lolworth Range, Queensland, Australia. The Company has also submitted a license application at Kondaparinga which is approximately 120km2 in area and located within the Hodgkinson Gold Province, 80km NW of Mareeba, North Queensland.
Following the sale of the Avoca, Moormbool and Timor gold projects in Victoria, Australia to Fosterville South Exploration Ltd (TSX-V: FSX) and the subsequent spin-out of the Avoca and Timor projects to Leviathan Gold Ltd (TSX-V: LVX), MGA has the right to receive up to A$2 million in payments subject to future resource estimation or production from projects sold to Fosterville South Exploration Limited. ECR holds a royalty on the SLM gold project in La Rioja Province, Argentina which could potentially receive up to US$2.7 million in aggregate across all licences.
MGA also has approximately A$75 million of unutilised tax losses incurred during previous operations.