ECR Minerals plc (LON: ECR), the gold exploration and development company focused on Australia, is pleased to announce a drilling update from the Creswick Gold project (the “Project”), in the Victoria Goldfields, Australia. The Project is 100%-owned by ECR’s wholly owned Australian subsidiary Mercator Gold Australia Pty Ltd (“MGA”).
- Diamond drilling along the Dimock Main Shales (DMS) trend has continued to delineate gold mineralisation along the strike zone in a southerly direction from the first drill hole at CSD001. This is outlined in detail under ‘Technical Information’ and at Figure 1 and Figure 2 below.
- To date six holes have been completed, four holes have been fully assayed, with final gold assays now received for holes (CSD001, CSD002, CSD003 and CSD004).
- Drill holes have tested near the centre and near the southern end of the tenement to gain a full overview of the prospectivity of the trend across the whole tenement. The drilling in the centre of the tenement (CSD003 & CSD004) tested a portion of the system with no historic mining.
- All holes drilled to date have hit multiple and significant zones of quartz and all holes with assays returned have intercepted gold, with the best results from CSD003 drilled where there were no historic workings.
- Assay results received include; 1m @ 4.78 g/t Au from hole (CSD002) and 0.95m @ 9.93 g/t and 0.95m @ 23.58 g/t Au both respectively from (CSD003).
- Diamond drilling has just been completed for holes CJD001 and CSD005, confirming structures hosting quartz, parallel to and within the Dimocks Main Shales, are persistent along strike to the south of CSD001 and CSD002. Assays results will be provided following receipt and interpretation.
Craig Brown, Chief Executive Officer, commented:
“I am pleased to report continued positive progress for the Creswick drill programme. The aggressive drilling campaign undertaken by our contractors at Creswick continues apace, and the consequential raft of core data and intelligence processed by the core shed in Bendigo is now providing our geological team with a much deeper understanding of the prospectivity of the trend across our license areas.
I am also pleased to report that assay results from hole CSD001, the first drill hole of the campaign, show we have intersected gold, a factor that is particularly significant considering that CSD001 is the first diamond hole into the DMS in the entire tenement.
We are delighted with Holes CSD003 and CSD004, which have provided our best gold intersections yet on this 2021 diamond drilling programme of 9.93g/t and 23.58g/t gold. The work undertaken in the current campaign has enabled us to locate and confirm the position of the DMS, and increase our understanding of the types of folding and faulting within the system to assist with ongoing drill targeting.
To date 6 drill holes have been completed successfully and safely at the Project, with 4 holes now assayed and all containing gold.
Overall, the assay results to date have delivered the outcome we were all hoping for, and I would like to put on record my thanks to Adam Jones, Dr. Rod Boucher and the drilling and core shed teams for their hard work that has delivered a considerable amount of data and information in a very short space of time. I look forward to reporting to the market with regard to further assay results, and their geological significance following analysis.”
Note: Quartz develops in the thicker shales, particularly where intercepted by east-dipping faults. As previously hypothesised by the company, the geology is complex and some work is needed to fully understand the faulting and folding.
Preliminary interpretations of the latest three holes are provided below.
All quartz zones show variable sericite-carbonate-chlorite alteration but are low in sulphides.
Following on from the success of CSD001, hole CSD002 was drilled from the same site, but at a steeper dip to CSD001. CSD002 was collared 10m to the west of CSD001 and drilled to test projected parasitic folding and an interpreted low angle fault hosting gold mineralisation as seen at 131.9m in CSD001. CSD002 drilled through the projected fault with associated significant quartz mineralisation at a depth of 108.5m. Assay results show this section of quartz to contain no significant gold mineralisation despite visual similarities to the gold-bearing quartz in the first hole. Drilling passed through further quartz and pyrite at a depth of 173.2m. Gold is present within this structure, with assays returning 1m @ 4.78 g/t Au from 173.1m. CSD002 was drilled to a final length of 215.2m.
Geological correlation between CSD001 and CSD002 shows gold mineralisation to have some spatial interplay between sub-vertical quartz veining and the offset of the low angle fault. The faulting and folding in the holes is complex and work is ongoing to fully map these out and better define targets.
Figure 1 showing the preliminary geological interpretation between CSD001 and CSD002:
CSD003 and CSD004
CSD003 and CSD004 were drilled 900m on strike to the south from CSD001 and CSD002. This drill location has no known historical gold workings nearby, the closest workings being over 200m to the north.
CSD003 was collared in at a dip of -65 and drilled towards the east. The drillhole passed through multiple parasitic folds on a larger west dipping fold similar as noted in CSD001 and CSD002. Bedding parallel quartz with associated carbonate bleaching was passed through at a depth of 83.2m. A second, parallel zone of quartz was passed through at 89.05m depth. These two quartz intersections returned 0.95m @ 9.93 g/t Au from 84.2m and 0.95m @ 23.58 g/t Au from 89.05m. Drilling continued to a depth of 191.9m. These intersections represent the true width of the gold quartz veins.
CSD004 was collared as a scissor hole to CSD003 to test for the westward continuation of the main structural zone and to drill beneath veins outcropping down the adjacent hillslope. Structures hosting quartz mineralisation were drilled through at 114m and at 124.7m depth. Veining was found to have widths of up to 1 metre and consisted of chlorite and carbonate bleaching. Only one assay returned anomalous gold; 1m @ 0.18 g/t Au from 125.7m. CSD004 ended at 207.1m
With the success of CSD003, there are plans for additional drillholes to follow the continuity of the high gold mineralisation.
Figure 2 showing geological interpretation section through CSD003 and CSD004:https://mercatorgold.com.au/images/fig2_CSD003_004_210714.jpg
Table 1 Intercepts from holes CSD002, CSD003 and CSD004
|HOLE ID||EASTING (GDA Zone 54)||NORTHING (GDA Zone 54)||Dip||AZIMUTH (True North)||TOTAL DEPTH (metres)||AVERAGE GRADES OF MINERALISATION*|
|CSD002||759261||5854636||-65||101||215.2||-1m @ 4.78 g/t Au from 173.1m
-0.6m @ 0.22 g/t Au from 65.9m
-0.35m @ 0.39 g/t Au from 179.85m
|CSD003||759244||5853704||-65||096||191.9||-0.95m @ 23.58 g/t Au from 89.05m
-0.95m @ 9.93 g/t from 84.2m
|CSD004||759253||5853702||-67||281||207.1||1m @ 0.18 g/t Au from 125.7m|
*no other intercepts returned significant levels of gold.
A total of 6 drillholes have been completed to date on the Creswick gold project. Out of these, assays have been returned from 4 of the holes and each of these contain gold, including the scissor hole (CSD004) that was drilled in the opposing direction away from the main structural zone to test peripheral structures. In particular two of these show high-grades (CSD001 CSD003). Current drilling activity is focussing on assessing the strike extent of quartz mineralisation associated with a series of shallow historical gold workings along the Dimocks Main Shale trend between sites CSD001-CSD002 and CSD003-004. There is a strike length of 900m between these two initial drill sites that has not been drilled before. The Directors believe Mercator Gold Australia (MGA) is the first company in history to undertake such mineral exploration in this region to such a high level, and plans are underway to cover the shallow, up-dip extensions of drilled quartz reefs by soil geochemistry.
Results are pending for recently drilled CJD001, which is our most southerly drilled hole along strike to date (2km south of CSD001-CSD002). Significant quartz veining has been intersected within this hole.
Visual evidence of the limited extent of hard-rock gold workings and the mapped extent of eroded alluvial gold workings leading up to the Dimocks Main Shale area provide a practical demonstration to show the potential strike length of this gold system (see announcement 25/9/18). Furthermore, (as announced on 23/03/21), MGA has applied for additional licenses EL006713 and EL006907 on the southern extension of this vein system to the south.
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 (AIG). 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|
|SI Capital Ltd||Tel: +44 (0)1483 413500|
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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 eight licence applications outstanding including two licence applications lodged in eastern Victoria. (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.
ECR also owns 100% of an Australian subsidiary LUX Exploration Pty Ltd (“LUX”) which has three licence applications covering 900 km2 covering a relatively unexplored area in Queesnland, Australia.
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), Mercator Gold Australia Pty Limited 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 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, which has a 43-101 compliant resources. ECR also holds a royalty on the SLM gold project in La Rioja Province, Argentina and can potentially receive up to US$2.7 million in aggregate across all licences.