Hello Share Turners. Say what you like about Fulham-based ECR Minerals (ECR) it is a mining company which likes to keep its shareholders up to date for every step of the way. It seems to me hardly a week goes by without it posts some news or other. The danger is that we tire of reading everything and consequently miss something which is important.
ECR describes itself as a precious metals exploration and development company. Its exploring for gold in the state of Victoria, Australia. Now you need the mining expertise of my brainy Shareprophets colleague Gary Newman to understand this company’s many pronouncements.
But it seems to me from their latest bulletin, that recent exploratory drilling may be encouraging. It points to a possibility of accessible gold at its Black Cat holding in the state of Victoria. ECR’s wholly owned Australian subsidiary Mercator Gold Australia Pty Ltd has 100% ownership of the project. I believe some deeper drilling is now required.
The Black Cat area has not been mined before, so I suppose anything might happen. But the company’s CEO Craig Brown said ‘I’m delighted with the positive outcomes from this programme. As well as some encouraging grades, the drilling has provided important geological information which may help vector further exploration in the project area towards achievement of ECR’s prime strategic objective, which is the discovery of a multi-million ounce gold deposit.”
Well, that’s not exactly mind-blowing news, and you can expect him to be optimistic. But imagine the jump in share price if a ‘multi-million ounce gold deposit’ is found out there. As always, there is a huge investment risk in exploring for gold. And the safer way to invest in the big glitter is choose already successful miners.
But if you’re not adverse to highly speculative punts (though I am) and you only consider a small outlay, then ECR might be worth some further research.
Unlike the Punter’s Return.
Link to ShareProphets article here