ECR Minerals plc (LON: ECR), the gold exploration and development company focussed on Australia, is pleased to provide an exploration update for shareholders covering drilling and related activities underway across the Bailieston and Creswick gold exploration projects.
Both projects are located in the Victoria Goldfields, Australia and are 100%-owned by ECR’s wholly owned Australian subsidiary Mercator Gold Australia Pty Ltd (“MGA”).
Craig Brown, Chief Executive Officer, commented:
“We are pleased to now have drilling underway at two gold projects in the Victoria Goldfields, and we look forward to updating the market with assay results in due course.
Our drilling at Bailieston continues successfully using our in-house diamond drill rig and we look forward to assay results of recent holes, particularly following the initial geological review of the drill core. Additionally, soil sampling from the HR3 area (see below) has identified very high gold grades in soils, further supporting the geological modelling and drill targeting.
With our strong cash position we have been able to expand drilling operations and have now commenced drilling at Creswick using external contractors. We are very excited by the potential scale of the opportunity at Creswick and a larger scale drill programme at the project is something we have been eager to undertake.
We look forward to providing further updates in due course.”
COMMENCEMENT OF DRILLING AT CRESWICK GOLD PROJECT
In 2019 exploration drilling was undertaken at Creswick targeting gold mineralisation associated with quartz veins hosted in the Dimocks Main Shale (DMS).
The DMS is the hard-rock source of much alluvial and deep lead gold, with historical alluvial and deep lead production estimated at up to 2.5 million ounces in the Creswick/Berry lead system, and up to 11 million ounces in the entire Ballarat area, of which the DMS is a significant contributor.
A 2019 drill programme conducted by the Company tested circa 300 metres of the DMS trend, which extends over approximately 15 kilometres, 7 kilometres of which is covered by MGA’s granted exploration licence and two exploration licence applications.
MGA has engaged a contractor for a minimum of 1,200 metres of diamond drilling at Creswick, and the first drill hole in this programme is now underway. It is planned to drill around 10 holes from drill sites located on State Forest land within exploration licence EL006184.
The drill sites for the current programme are approximately 2.2 km south along the DMS-trend from those used in MGA’s previous drilling programme at Creswick in 2019, individual samples from which returned assays as high as 80.97 g/t gold over one metre (announced on 5 November 2019).
PROGRESS AT BAILIESTON GOLD PROJECT
As previously announced, drilling is ongoing in the Historic Reserve #3 (HR3) area of the Bailieston project using ECR’s own diamond drill rig. Assay results from the first four holes (BH3DD001 to 4) were announced on 20 April 2021. Assay results and final geological interpretations are currently awaited in respect of four further holes (BH3DD005 to 8).
Hole BH3DD005 has targeted the Maori Reef, and holes BH3DD006 and 7 have targeted a hypothesised central anticline (as discussed in the Company’s announcement dated 20 April 2021). Hole BH3DD006 was also drilled to test the Dan Genders Reef. Initial geological interpretation of holes BH3DD005, 6 and 7 indicates that the hypothesised central anticline does exist and represents a favourable target for hosting gold mineralisation such as limb-thrust type vein systems.
MGA has received the results from laboratory analysis of 229 soil samples taken across the central and eastern part of the HR3 area. These results are currently being plotted and analysed in comparison with results from portable X-Ray Fluorescence (“XRF”) analysis. The laboratory results include gold values up to 3.75 parts per million (equivalent to grams per tonne). The results will help identify potential extensions of and potential undiscovered veins running parallel to known reef systems and further updates will be provided in due course as appropriate.
REVIEW OF ANNOUNCEMENT BY QUALIFIED PERSON
This announcement has been reviewed by Adam Jones, a director of 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 REGULATIONS (EU) No. 596/2014
The information contained within this announcement is deemed by the Company to constitute inside information as stipulated under the Market Abuse Regulations (EU) No. 596/2014 (MAR). Upon the publication of this announcement via Regulatory Information Service (RIS), this inside information is now considered to be in the public domain.
FOR FURTHER INFORMATION, PLEASE CONTACT:
|ECR Minerals plc||Tel: +44 (0)20 7929 1010|
|David Tang, Non-Executive Chairman|
|Craig Brown, Director & CEO|
|WH Ireland Ltd||Tel: +44 (0)161 832 2174|
Novum Securities Limited
|Tel: +44 (0)20 7399 9425|
|SI Capital Ltd||Tel: +44 (0)1483 413500|
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, and two licence applications lodged in eastern Victoria for the Tambo gold project. MGA is currently drilling at both the Bailieston and Creswick projects and has an experienced exploration team with significant local knowledge in the Victoria Goldfields and wider region.
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 at any of those projects.
ECR has earned a 25% interest in the Danglay gold project, an advanced exploration project located in a prolific gold and copper mining district in the north of the Philippines, and holds a royalty on the SLM gold project in La Rioja Province, Argentina.