Home » Posts tagged 'mercator gold australia pty ltd'

Tag Archives: mercator gold australia pty ltd

ECR Minerals #ECR – Half-yearly financial results for the six months ended 31 March 2022

LONDON: 30 JUNE 2022 – ECR Minerals plc, the gold exploration and development company, is pleased to announce unaudited half-yearly financial results for the six months ended 31 March 2022 for the Company as consolidated with its subsidiaries (the “Group”), along with a review of significant developments during the period and subsequently.

HIGHLIGHTS

  • The gold exploration boom in Victoria, Australia has continued, with material progress made at the Company’s flagship Creswick and Bailieston assets. ECR’s acquisition of the Brewing Lane and Nagambie-Rushworth Road properties has enhanced access and exploration opportunities at both projects.
  • In December 2022, the Company was notified it had been granted licence EL006907 linking Creswick to Ballarat East-Nerrina. The board views this as a key step in building our understanding of the Dimocks Main Shale anomaly and developing ECR’s Creswick project. Also granted was licence EL007484 in East Victoria, situated 50km north of Bairnsdale in the east of the state of Victoria encompassing the alluvial fields of Swifts Creek and the Mid to Upper reaches of the Tambo River.
  • Despite severe delays in receiving assay results during the period due to the impact of COVID-19, the results we did receive from our ongoing drilling campaigns at Bailieston and HR3 delivered substantial progress in both gold grades and our understanding of the regional geology.
  • Drilling and subsequent 3D modelling of HR3 drillholes BH3DD005, BH3DD006 and BH3DD007 earlier in the year revealed a moderate south plunging fold underneath and along strike of the Maori Reef workings. In November 2022 we reported initial results from BH3DD009, the first hole completed, which returned 0.7m @ 28.06g/t Au from 52.7m depth from the Maori Reef. Holes BH3DD010 and BH3DD011 reported consistent gold grades in December 2022, while soil sampling results revealed a larger area of anomalies, supporting a dilational jog model theory developed by our head geologist Adam Jones. In March 2022 further data identified five mineralised zones, all correlated to the Maori Anticline (within the Maori Reef), plus consistent gold grades were identified in hole BH3DD012 and visible gold in hole BH3DD034 (see announcement dated 14 March 2022 for full details).
  • In February 2022, exploration licences EPM27901, EPM27902 and EPM27903 were granted to 100% owned subsidiary LUX Exploration Limited (“LUX”), in the Lolworth Region, North Queensland. The licences are located approximately 120km west of the historic Charters Towers Gold Mine in North Queensland and cover 964 km2. Historic stream sediment sampling indicates that the Lolworth Range area is prospective for gold, tungsten and tin.
  • During the period under review, Dr Trevor George Davenport was appointed as an Independent Non-Executive Director. Most recently Dr Davenport consulted for Kryso Resources Plc at the time of the takeover of control of the company by China Nonferrous International Mining Co. Ltd in 2011. In January 2022, Andrew Scott, a communications specialist and media professional was also appointed as a Non-Executive Director. The sad loss of former CEO Craig Brown presented a substantial challenge to the management team. Nonetheless, a committee was formed with Chairman David Tang, and Non-Exec Directors Dr Davenport and Adam Jones, to manage the company up to the appointment of a new CEO.
  • Post-period end, on 11 April 2022 Andrew Haythorpe was appointed as CEO (currently a non-board position). Andrew has more than 20 years of experience managing listed gold miners and explorers on the ASX and TSX as well as working as a mining analyst and actively exploring for gold as a geologist.
  • Post-period end, Ludevico Estacio, the Chairman of Philippines company Cordillera Tiger Gold Resources, Inc., (in which ECR had a 25% shareholding), agreed to sell his shares (1,499,996 in total) to ECR. The consideration of 1,499,996.00 Philippine pesos (approximately £22,000) was paid for in cash, and ECR now holds 2,333,329 Ordinary Shares in Cordillera representing 70% of its issued share capital (see announcement dated 27 April 2022 for full details).
  • Group comprehensive expenses of £324,333 are reported for the six months ended 31 March 2022 (£468,112 for the six months ended 31 March 2021) and net assets of £7,536,209 at 31 March 2022 (£6,442,465 at 31 March 2021).
  • A Group Operating Loss is reported for the six months ended 31 March 2022 of £552,202, compared with £403,079 for the six months ended 31 March 2021.
  • Despite the effects of the COVID-19 pandemic on the global economy, the board believes ECR is in a robust financial position and continues to provide shareholders with exposure to an exciting range of gold projects.

FINANCIAL RESULTS

For the six months ended 31 March 2022 the unaudited financial statements of the Group recorded a total comprehensive expense of £324,333.

The Group’s total assets were £7,674,007 at 31 March 2022, compared with £6,522,307 at 31 March 2021. The increase in total assets has occurred largely due to the increase in exploration assets following the capitalisation of exploration expenditure during the period as a result of the current aggressive drilling programme.

The Group held £1,204,289 of cash and cash equivalents at 31 March 2022, compared with £3,928,905 at 31 March 2021.

REVIEW OF PRINCIPAL DEVELOPMENTS DURING THE PERIOD AND SUBSEQUENTLY

The six months to 31 March 2022 and the subsequent period since have been notable as a period of great progress, sadness and change. Former CEO Craig Brown died suddenly at the end of October 2021, and while a committee including Chairman David Tang, and non-exec directors Trevor Davenport and Adam Jones continued to run the Company without interruption, the shock of his sudden loss remains with us to this day. Nonetheless he would be pleased and proud with the operational progress to date, and we believe he would be delighted with the calibre of his recently appointed successor Andrew Haythorpe.

During the period under review, Dr Trevor Davenport was appointed as an Independent Non-Executive Director. Most recently Dr Davenport consulted for Kryso Resources Plc at the time of the takeover of control of the company by China Nonferrous International Mining Co. Ltd in 2011.

In January 2022, Andrew Scott, a communications specialist and media professional was also appointed as a Non-Executive Director. Andrew is well known in the UK and across Australia as a business and markets interviewer. He has worked at Sky News UK, Reuters and Proactive as well as in presenting and media roles at ITV and Television NZ (TVNZ).

Post-period end, on 11 April 2022 Andrew Haythorpe was appointed as Chief Executive Officer (currently a non-board position). Andrew has more than 20 years of experience managing listed gold miners and explorers on the ASX and TSX as well as working as a mining analyst and actively exploring for gold as a geologist. His board experience includes the role of Managing Director at TSX and ASX-listed Crescent Gold Limited, which started with a market capitalisation of $8 million and, under his leadership, reached $250 million within four years. He was also Managing Director of ASX-listed gold producer Michelago Resources and is currently the Managing Director of GoldOz Limited, a gold company seeking to relist on the ASX. As an analyst, Andrew was considered a global leader in the Industrial Minerals sector and rated 12th best gold analyst at Hartley Poynton Ltd.

Currently, through ECR’s wholly owned Australian subsidiary Mercator Gold Australia Pty Ltd (“MGA”), the board remains focused on the fast-paced drilling programme at Bailieston and Creswick. During the period, large quantities of drill core have been amassed for technical review, processing and assay testing. Although, the impact of intermittent COVID lockdowns on the region has resulted in delays to assay results, our geologist Adam Jones and his team continue to make solid progress. In particular, the ongoing drilling campaign at Bailieston and HR3 delivered substantial progress in both gold grades and our understanding of the regional geology.

Post-period end, Ludevico Estacio, the Chairman of Philippines company Cordillera Tiger Gold Resources, Inc., (in which ECR had a 25% shareholding), agreed to sell his shares (1,499,996 in total) to ECR. The consideration of 1,499,996.00 Philippine pesos (approximately £22,000) was paid for in cash, and ECR now holds 2,333,329 Ordinary Shares in Cordillera representing 70% of its issued share capital (see announcement dated 27 April 2022 for full details of this transaction).

Creswick

At Creswick, in December MGA was notified that license EL006907 linking Creswick to Ballarat East-Nerrina had been granted. The board views this as a key step in building our understanding of the Dimocks Main Shale anomaly and developing ECR’s Creswick asset. The Company has also applied to renew Creswick licence EL006184 for another five years and is awaiting final approval. As the current incumbent, we have first rights over the licence, and our geologist Adam Jones plans to develop the project with soil sampling programmes in the vicinity of the quartz mineralisation identified in the 2021 diamond drilling campaign and to test for sub-cropping gold shoots. The Brewing Lane property at Springmount contains numerous abandoned historical gold workings with some underground exposures that offer opportunities for mapping and sampling, followed up by drilling. The team will also commence evaluation of prospects in the recently approved EL006907 area using exploration techniques that proved successful on EL006184. 

Bailieston

Notwithstanding the delays in receiving assay results, MGA is continuing to progress with drilling at the Bailieston tenements (EL5433), focussing on the Maori Reef and parallel reef systems within the HR3 goldfield. The geology team is also making progress with near-term plans to re-enter and continue exploration on the Blue Moon prospect located on the southern extent of EL5433.  Drilling and subsequent 3D modelling of HR3 drillholes BH3DD005, BH3DD006 and BH3DD007 earlier in the year revealed a moderate south plunging fold underneath and along strike of the Maori Reef workings (see announcement dated 1 July 2022). In November 2022 we reported initial results from the first hole completed, (BH3DD009), which returned 0.7m @ 28.06g/t Au from 52.7m depth from the Maori Reef. Holes BH3DD010 and BH3DD011 reported consistent gold grades in December, while soil sampling results revealed a larger area of anomalies, supporting a dilational jog model theory developed by Adam Jones. In March 2022 further data received identified five mineralised zones, all correlated to the Maori Anticline (within the Maori Reef), plus consistent gold grades in hole BH3DD012 and visible gold in hole BH3DD034.

Post-period end, we reported the highest grade gold intercept yet at hole BH3DD027, HR3 with 0.2m @ 52.5 g/t Au from 126.3m depth. This was followed by HR3 drill hole BH3DD022, which returned a result of 0.5m @ 12.74 g/t Au (see announcements dated 22 April 2022 and 4 May 2022).

Lolworth District of North Queensland, Australia.

In February 2022, exploration licences EPM27901, EPM27902 and EPM27903 were granted to ECR’s 100% owned subsidiary LUX Exploration Limited, in the Lolworth Region, North Queensland. The area contains metamorphic rocks of the Charters Towers Province, that host large historical gold producing centres such as Charters Tower (6.6M Oz Au) and Ravenswood (>1M Oz Au). The structural and basement geology is poorly understood in the area, suggesting numerous opportunities to find new deposits. The area also contains reported rhyolitic volcanism, which plays host to intrusion-related breccia gold deposits in the region such as Mount Leyshon (>2.5M oz) and Mount Wright (>1M oz). Historic samples also highlighted tin-tungsten mineralisation in the western areas of EPM27902. Reports show no detailed follow-up work has been undertaken.

Exploration licence EL007484 in East Victoria was also granted in February 2022. This licence area is situated 50km north of Bairnsdale in the east of the state of Victoria encompassing the alluvial fields of Swifts Creek and the Mid to Upper reaches of the Tambo River.

The Directors believe exploration licence EPM27901, 27902 and 27903 offer significant potential for precious and base metal discoveries in an area of Australia where multiple large-scale discoveries have already been made.

Outlook

After a challenging transition period, the directors of ECR Minerals plc are excited about the Company’s near-term and future prospects under the leadership of Chief Executive Officer Andrew Haythorpe. As eagerly anticipated assay results begin to arrive, our board, geologists, drilling team and wider staff at the Bendigo headquarters are enthused by the possibility of developing a resource at both the Bailieston and Creswick projects. We are equally encouraged about the prospectivity demonstrated by our new licences at Lolworth Range, North Queensland and our East Victoria exploration licence at Tambo.

These factors, together with the potential to realise shareholder value from our Danglay asset in the Philippines, could result in an exciting year ahead as ECR’s operations and opportunities evolve.

FOR FURTHER INFORMATION, PLEASE CONTACT:

 

ECR Minerals plc

 

Tel: +44 (0)20 7929 1010

David Tang, Non-Executive Chairman
Andrew Haythorpe, CEO
Email:  info@ecrminerals.com
Website:  www.ecrminerals.com
WH Ireland Ltd Tel: +44 (0)207 220 1666
Nominated Adviser
Katy Mitchell/Andrew de Andrade
SI Capital Tel: +44 (0)1483 413500
Broker
Nick Emerson
 
Novum Securities Tel: +44 (0)20 7399 9425
Broker
Jon Belliss
BlytheRay Tel: +44 (0) 207 138 3204
Public Relations
Tim Blythe

 

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 one licence application lodged in eastern Victoria. (Tambo gold project). MGA is currently drilling at both the Bailieston (EL5433) and Creswick (EL6148) projects and has an experienced exploration team with significant local knowledge in the Victoria Goldfields and wider region.

https://mercatorgold.com.au/

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 Queensland, Australia.

https://luxexploration.com/

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 holds a 70% 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 resource. 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.

Link here to view the financial statements 

ECR Minerals #ECR – Alan Green talks to CEO Craig Brown

ECR Minerals #ECR CEO Craig Brown talks to Alan Green:

~ Latest Bailieston & Creswick drilling updates, ‘mineral shoots’ etc

~ Property acquisitions – strategy, evolution into gold producer etc

~ N Queensland & license application progress

~ Danglay Gold project, Philippines

~ Upcoming milestones for shareholders to watch out for

ECR Minerals #ECR – Property Purchase in Central Victorian Goldfields, Australia

Central Victorian Goldfields Property Purchase to Provide Accommodation, Potential Site for New Core Shed, Storage and Workshop Facilities, and additional Exploration Opportunity

ECR Minerals plc (LON: ECR), the gold exploration and development company focused on Australia, is pleased to announce that its 100% owned Australian subsidiary Mercator Gold Holdings Pty Ltd (“MGA”) has concluded the purchase of a property at 177 Bassett Road, Sebastian (the “Property”). The Property is located approx. 12.5 miles north of Bendigo (11 miles from current core shed location) and is located within easy reach of ECR’s 100% owned Bailieston and Creswick license areas.

Highlights:

  • Accommodation with five bedrooms and three living rooms plus an office currently, with plans to convert into seven bedrooms and two living rooms. The Bassett Road property will save ECR a substantial amount in annual hotel accommodation and commercial property rental costs, providing convenient co-location of employees and consequentially a substantial reduction in travel time and expenses.
  • Bassett Road is positioned on approx. 59 acres of farming land, with ability to construct additional buildings on the land subject to planning approval.
  • The potential exists to develop and construct a geological core processing facility with sample storage shed, drilling supplies warehouse and mechanical workshop on the land, subject to local council planning approval being granted.
  • Currently connected to the mains power supply with an additional 3kW Solar system with batteries and 3kW wind turbine, the property can be powered “off grid” as it has been for the past 10 years, along with an independent water supply connection.
  • The purchase price of the property is A$887,500, has been settled in full. The purchase has been funded by the Company’s existing cash resources. As at the close of business on 17 September 2021 the Group had £3,400,000 (USD equivalent $4,650,000) in the bank after paying the full settlement for the property.
  • Quartz is visible at sites across the 59 acres of the Property. As gold in Australia can be contained in quartz the Company is looking to obtain an exploration licence over the Property.

Craig Brown, Chief Executive Officer commented: I am pleased to announce ECR’s third property acquisition in the Victoria Goldfields. As we maintain our aggressive drilling campaigns at Bailieston and Creswick, our profile in Victoria is growing rapidly. The Bassett Road property and land acquisition marks the next step along the road, cutting out our mounting monthly accommodation and property rental costs, and bringing our Bendigo storage and core logging activities all onto one site. Added to this, regional property market data indicates that the Victoria property market should see our properties and land at Bassett Road, Nagambie-Rushworth Road and Brewing Lane grow in value in the coming months and years. Furthermore, within the 59 acres of the property, there is visible evidence of quartz which could also indicate potential for gold. With this positive indication, we have been in discussions to obtain the exploration licence over the property.”

“In addition, mining companies are often receiving negative press for their lack of ‘green’ credentials, so the opportunity to run the Bassett Lane property and site wholly ‘off grid’ with our own solar and wind turbine power marks a small step for ECR along the road to reducing our carbon footprint.”

Rationale for Purchase of 177 Bassett Road, Sebastian

As ECR continues its aggressive drilling campaigns at its 100% owned Bailieston and Creswick licence areas, the costs of hiring and accommodating employees is growing exponentially. Since drilling with the Midas rig kicked off at Bailieston in January 2021, we have seen our monthly accommodation expenses increase substantially, on top of the considerable monthly outlay for renting the core logging premises at Bendigo. Given this backdrop, the ECR Board (“Board”) took the decision to seek a fixed cost alternative, with the potential to create accommodation, core logging and processing and storage all in one location.

The Property was shortlisted against a number of properties conveniently located around Bendigo and following due consideration the decision was taken to purchase 177 Bassett Road. The Property is positioned on approx. 59 acres of farming land, currently with the potential to sleep at least seven people. The property enjoys an independent water supply connection, with connection to the mains power supply plus an additional 3kW Solar system with batteries and 3kW wind turbine. As such the property has the ability to run “off the grid” (power) as it has for the last 10 years. Most significantly, the Property comes with approx. 59 acres of farming land, of which 50 acres has been used for sharecropping, a system where the landlord allows a tenant to use the land in exchange for a share of the crop. The land offers ample scope to construct buildings for a geological core processing facility with sample storage shed, drilling supplies warehouse and mechanical workshop.

The Commonwealth Bank of Australia (“CBA”), Australia’s biggest housing lender, published its full year results in February 2021 and forecast property prices would rise by 8 per cent in 2021 and 6 per cent in 2022, with house prices to rise 16 per cent in that time and unit prices by 9 per cent. Whilst there can be no guarantee as to the performance of the property market in Australia, in making the purchase, the Board has given due consideration to the prevailing property market, including the data published by CBA*.

*Commonwealth Bank of Australia statistics (February 2021)

The vendors are a private family who have been using the Property for residential purposes.

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
Email:

info@ecrminerals.com

Website: www.ecrminerals.com
WH Ireland Ltd Tel: +44 (0) 161 832 2174
Nominated Adviser
SI Capital Ltd Tel: +44 (0) 1483 413500
Broker
Nick Emerson
Novum Securities Limited  Tel: +44 (0) 20 7399 9425
Broker

Jon Belliss

Blytheweigh Tel: +44 (0) 207 138 3204
Public Relations
Tim Blythe

 

 

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. https://mercatorgold.com.au

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 Queensland, Australia. https://luxeploration.com

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 resource. 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.

ECR Minerals #ECR – Property purchase within the Creswick License Area

ECR Minerals plc (LON: ECR), the gold exploration and development company focused on Australia, is pleased to announce that its 100% owned Australian subsidiary, Mercator Gold Holdings Pty Ltd (“MGA”), has purchased a property at 35 Brewing Lane, Springmount. The property is located within the Company’s existing 100% owned Creswick license area.

Highlights:

  • The property consists of 16 acres, within the 45 square kilometre Creswick license area in Victoria, Australia
    • The property is held over three titles
  • The property will provide a base for activities across the license area as ECR advances its drilling programmes and, when appropriate will be the site for development for the mine decline
  • The purchase price of the property is US$500,000, which is settled in two tranches, consisting of a US$50,000 deposit which has already been paid, with the balance to be paid on 27 September. The purchase will be funded by the Company’s existing cash resources. Currently the Group has £4,222,940 in cash after paying the deposit.  This is the equivalent of USD 5,824,631.

Craig Brown, Chief Executive Officer commented: “Following the positive progress of the drilling programme at Creswick, we are pleased to announce the purchase of the Brewing Lane property which sits in our existing license area. The property will provide the Company with an operational base and, in future, can be developed as a site for the decline access to existing, and potential, vein mineralisation.

“Earlier this year, we reported strong results from the [ongoing/current] drilling programme at the Creswick license which has continued to delineate gold mineralisation along strike, with all assayed holes returning gold. Of particular significance are holes CSD003 and CSD004 which returned 9.93 g/t and 23.58 g/t gold, respectively.”

“I remain enthused by the pace of developments at Creswick, Bailieston and our other assets, and look forward to receiving the remaining assay results at Creswick and reporting on progress.”

The property was purchased from a private individual.

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
Email:

info@ecrminerals.com

Website: www.ecrminerals.com
WH Ireland Ltd Tel: +44 (0) 161 832 2174
Nominated Adviser
SI Capital Ltd Tel: +44 (0) 1483 413500
Broker
Nick Emerson
Novum Securities Limited  Tel: +44 (0) 20 7399 9425
Broker

Jon Belliss

Blytheweigh Tel: +44 (0) 207 138 3204
Public Relations
Tim Blythe

 

 

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.https://mercatorgold.com.au/

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 Queensland, Australia.https://luxexploration.com/

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 resource. 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.

ECR Minerals #ECR – Purchase of Second, Multi-Purpose Drilling Rig for Central Victorian Goldfields, Australia

ECR Minerals plc (LON: ECR), the gold exploration and development company focused on Australia, is pleased to announce the purchase of a second drilling rig by ECR’s wholly owned Australian subsidiary Mercator Gold Australia Pty Ltd (“MGA”).

MGA has recently signed a contract for the purchase of a new Cortech CMR1000 multi-purpose drilling rig for a total of US$402,957. This follows the purchase of the Midas Drilling Rig (“Midas”) currently engaged in an aggressive drilling programme at the Bailieston project. The new rig is a high capacity, heavy duty multi-purpose drill rig which is highly effective in diamond coring, reverse circulation and rotary drilling techniques. It has been purchased complete with spares and all downhole equipment and is capable of drilling as deep as 2,000 metres*. The rig will be delivered in Q4 2021 and will further boost MGA’s in-house drilling capability.

With access to a growing team of experienced drilling personnel to operate the rig, along with Midas, the addition of the new CMR1000 rig increases MGA’s flexibility in the field and is expected to accelerate future drilling schedules and enable drill programmes to be completed at lower cost.

Craig Brown, Chief Executive Officer commented: “I am delighted to announce the acquisition of our second drill rig. Midas has already proved its value in the field, as it has been constantly working at Bailieston since our campaign launch at the Byron prospect announced on January 12th 2021.

The strong cash position enjoyed by ECR Minerals has enabled us to maintain aggressive drilling programmes across our existing properties, and the acquisition of the new, multi-purpose rig significantly enhances our on-the-ground capabilities.

The RC and diamond drilling capability the new CMR rig provides us with is particularly suited to the license areas at our three Queensland projects announced in May 2021. Given the recent results from the Creswick project announced on July 19th 2021, we are confident that the strategy of fast-paced and aggressive drilling programmes across multiple high-profile gold targets will expose ECR to potential new gold discoveries.”

*Factory data sheet specification http://cortech.cn/product_show.asp?id=2&lan=en

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.

OR FURTHER INFORMATION, PLEASE CONTACT:

 

ECR Minerals plc Tel: +44 (0)20 7929 1010
David Tang, Non-Executive Chairman
Craig Brown, Director & CEO
Email:

info@ecrminerals.com

Website: www.ecrminerals.com
WH Ireland Ltd Tel: +44 (0)161 832 2174
Nominated Adviser
SI Capital Ltd Tel: +44 (0)1483 413500
Broker

Nick Emerson

 

Novum Securities Limited  

Broker

Jon Belliss

                                            Tel: +44 (0)20 7399 9425

 

Brand Communications

Public Relations                                                                  Tel: +44 (0) 7976 431608

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 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.

 

Home

 

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.

 

Home

 

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 resource. 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.

ECR Minerals #ECR – Ongoing Drilling Success at Creswick Gold Project Provides a Deeper Understanding of Dimocks Main Shale Prospectivity

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”).

HIGHLIGHTS

  • 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.”

TECHNICAL INFORMATION

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.

CSD002

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:

https://mercatorgold.com.au/images/fig1_CSD002_210713c.jpg 

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.

FURTHER INFORMATION 

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
Email:

info@ecrminerals.com

Website: www.ecrminerals.com
WH Ireland Ltd Tel: +44 (0)161 832 2174
Nominated Adviser
SI Capital Ltd Tel: +44 (0)1483 413500
Broker

Nick Emerson

 

Novum Securities Limited

Broker

Jon Belliss

                                              Tel: +44 (0)20 7399 9425

 

Brand Communications

Public Relations                                                                               Tel: +44 (0) 7976 431608

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 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.

 

Home

 

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.

 

Home

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.

 

 

ECR Minerals #ECR – Unaudited half-yearly financial results for six months ending 31 March 2021 & Update

LONDON: 29 JUNE 2021 – ECR Minerals plc, the gold exploration and development company, is pleased to announce unaudited half-yearly financial results for the six months ending 31 March 2021 for the Company as consolidated with its subsidiaries (the “Group”), along with a review of significant developments during the period and subsequently.

HIGHLIGHTS 

  • Victoria, Australia continues to enjoy a gold exploration boom, with continued third-party interest in ECR’s Creswick project in Victoria. Discussions are ongoing in respect to a potential commercial transaction in relation to our Creswick project.
  • Late in 2020, the Company took delivery of its new Cortech CSD1300G diamond drill rig and at the same time established a new operational base at Bendigo in the Central Victoria Goldfields.
  • The Company announced three new strategic licence applications, adding new exploration opportunities in North Queensland, Australia. Three applications for Exploration Permits – Minerals (“EPM”) licences have been submitted by LUX Exploration Pty Ltd, ECR’s 100% owned subsidiary.
  • In January 2021, ECR’s 100% owned Australian subsidiary MGA commenced drilling operations at the Byron Prospect in the HR3 area of the Bailieston Project. The Company’s newly acquired ‘Midas’ drill rig was utilised to undertake the first of numerous planned drilling campaigns, all of which are being coordinated from ECR’s central exploration facility compound at Bendigo.
  • Announced results from exploration activity in Victoria included immediate success at the first drill hole at Creswick, intersecting 1m @ 9.68 g/t and confirming high gold anomalies (up to 3.75 g/t Au) along with spatially associated antimony which is thought to be from the mineral stibnite which forms a close association with gold mineralisation. Furthermore, a total of 720 B-horizon soil samples were taken across the central and eastern part of the Bailieston Historic Reserve #3 (HR3) between February and March 2021.
  • Post-period end, the Company’s cash position was strengthened by a £2,000,000 equity financing by Novum Securities in April 2021 to ramp-up drilling and exploration activities on ECR’s gold exploration projects.
  • During the period, the Company issued an aggregate of 11,800,000 share options from the management and consultant option pool to certain key consultants and staff, and also issued an additional 235,420,387 shares from the exercise of warrants and options, receiving a total of £3,289,520.
  • Group total comprehensive expenses of £468,112 are reported for the six months ended 31 March 2021 (£1,846,202 for the six months ended 31 March 2020) and net assets of £6,442,465 at 31 March 2021 (£2,206,211 at 31 March 2020).
  • A Group Operating Loss is reported for the six months ended 31 March 2021 of £403,079, compared with £369,102 for the six months ended 31 March 2020.
  • Adam Jones appointed as a Non-Executive Director.
  • Despite the effect of the COVID-19 pandemic on the global economy, ECR is in a robust financial position and continues to provide shareholders with exposure to an exciting range of gold projects.

FINANCIAL RESULTS

For the six months ended 31 March 2021 the unaudited financial statements of the Group record a total comprehensive expense of £468,112.

The Group’s total assets were £6,522,307 at 31 March 2021, compared with £2,275,479 at 31 March 2020. The increase in total assets has occurred largely due to the increase in purchase of property, plant and equipment and exercise of warrants during the period.

The Group held £3,928,905 of cash and cash equivalents at 31 March 2021, compared with £166,852 at 31 March 2020.  Post the period end, the Group’s cash position benefited from a £2,000,000 equity financing completed by the Company in April 2021.  Cash at 23 June 2021 is £5,242,081.

REVIEW OF PRINCIPAL DEVELOPMENTS DURING THE PERIOD AND SUBSEQUENTLY

The six months to 31 March 2021 and the subsequent period since have been marked by a series of exciting developments for ECR, all of which are related to the Group’s primary strategic activity, of exploration and development in Australia through ECR’s wholly owned Australian subsidiary Mercator Gold Australia Pty Ltd (“MGA”).

Currently, the Company is focused on an aggressive drilling programme at Bailieston and Creswick properties in Victoria, with two diamond drill rigs working every day to deliver large quantities of drill core for technical review, processing and assay testing. The ongoing pace and sheer volume of core and data recovered, along with the EPM applications in N Queensland is expected to expose ECR to potential new gold discoveries.

Application for 300 Sub-Blocks West of Charters Towers in the Lolworth District of North Queensland, Australia.

In May 2021, ECR Minerals announced three new strategic licence applications with a view to adding new exploration opportunities in Queensland, Australia. These were submitted by LUX Exploration Pty Ltd which is a 100%-owned Australian subsidiary of ECR Minerals.

The three Exploration Permits – Minerals (EPM) in application (27901, 27902 and 27903) represent 300 sub-blocks covering a total 900 km2 of highly prospective ground located within the Lolworth Range, 200km WSW of Townsville and 30km north from Pentlands, North Queensland Australia.

The application area contains metamorphic rocks of the Charters Towers Province, that host historical large gold producing centres such as Charters Tower (6.6M Oz Au) and Ravenswood (>1M Oz Au). The structural and basement geology is poorly understood in the area, suggesting numerous opportunities to find new deposits. The area also contains reported rhyolitic volcanism, which play host to intrusion-related breccia gold deposits in the region such as Mount Leyshon (>2.5M oz) and Mount Wright (>1M oz).

The application area is encompassed on the southern boundary by rich alluvial gold deposits of the Cape River and Gorge Creek area, which drain the southern Lolworth Range.

The east boundary of EPM27902 and EPM27903 is bordered by current exploration permits across the Lolworth dyke swarm; a north-west trending system of rhyolitic dykes and small breccia pipes containing gold, copper and molybdenum.

Historic samples also highlighted tin-tungsten mineralisation in the western areas of EPM27902. Reports show no detailed follow-up work has been undertaken.

ECR considers EPM27901, 27902 and 27903 offer significant potential for precious and base metal discoveries in an area of Australia where multiple large-scale discoveries have already been made.

Soil Sampling – HR3 Bailieston Project

In May 2021, MGA carried out soil sampling generated within the Historic Reserve #3, (HR3) Bailieston in Victoria, Australia. The results of the study were announced on 15 June 2021, and revealed high gold anomalies (up to 3.75 g/t Au) along with spatially associated antimony, which is thought to be from the mineral stibnite, which forms a close association with gold mineralisation. A total of 720 B-horizon soil samples were taken across the central and eastern part of the Bailieston Historic Reserve # 3 (HR3) between February and March 2021.

These findings mean we have now submitted a request for consent to undertake additional exploration drilling at the location, which is over and above initial planned drill holes in the area. The collected samples were tested by portable X-ray fluorescence (“pXRF”) for anomalous pathfinder elements for gold and a selected sub-set of 229 samples have been sent for trace element analysis (TL) for Au, Ag, As, Sb, Zn, Cu and Pb. Results of this work show a strong spatial relationship between Au (gold), Sb (antimony) and to a lesser extent As (arsenic). Plotting of spatial Au-Sb elemental maps reveals trends that may correspond to the weathering of high-grade gold shoots under shallow cover.

Field mapping shows sub-cropping quartz with little to no historical workings associated with these anomalies. Plans have been submitted for approval to drill along strike to test these quartz reefs at depth.

Soils grids were designed over known and possible strike extensions of gold-bearing quartz reefs. A 10m x 10m spaced grid was chosen as it is known that narrow high-grade gold reefs will erode over a small spatial area into the adjacent soil. Soils have been taken from the B-horizon, often at the gravel-clay interface at a depth around 10cm. This is where the gravels have not transported too far from their source rocks. Soils located within gullies and adjacent mullock dumps were removed due to contamination. All soils were sieved on site to < 2mm and bagged, producing a sample around 300g in weight. A total of 720 samples have been taken to date (June 2021).

All soils were systematically analysed in-house using ECR’s owned Olympus pXRF. Analysis is undertaken using three sequential beams with a 15 second count attributing to each beam. Results are evaluated for traditional pathfinder elements such as As, Ag, Pb, Zn, Cu and Sb.

Soil with moderate arsenic content (generally > 40 ppm) and soils spatially close to extensions to known reef lines were selected for further trace elemental analysis for Au, Ag, As, Pb, Zn, Cu and Sb. A total of 229 sub-samples have been selected and sent to ALS laboratories, Adelaide, South Australia. Method Au-TL44/ME-ICP44 was chosen for analysis.

A detection limit in ppm is sufficient given the proximity to possible gold sources. Any Au-TL44 results greater than 1 ppm was analysed by Au-AROR44, which is used for ‘ore grade’ analysis. A 50g charge from a 95% passing 75µm pulverise was chosen due to the likely presence of coarse gold.

Thirteen samples returned gold values above 0.1 g/t Au. Silver, Copper, Lead and Zinc results are low within the soils.

Arsenic is traditionally used as a pathfinder element for gold mineralisation and occurs at moderate levels within soils at HR3 and is fairly distributed, masking blind gold deposits.

Antimony (Sb) results are variable with high results correlating spatially with high gold assays.

Rock chips taken during 2018 along strike of the main soil anomaly showed a visible speck of coarse gold. Assays for these rock chips were analysed using a small charge fire assay resulting in variable results (up to 0.32 g/t Au) reflecting how coarse gold can be missed using traditional assay methods. Furthermore, non-executive director (Adam Jones) in February 2019 has found coarse gold by using a metal detector within the shallow soils in the vicinity of the reported soil anomalies.

Early Successful RC Diamond Drilling at Creswick Project

MGA has made great progress to date with the completion of the four diamond holes at Creswick and 909.2m of diamond drilling has been undertaken efficiently at the Creswick Project.  So far, the Company has received assay results from hole CSD001, with gold intersected in the first drill hole.

The first hole, CSD001 has been completed to 295m. This hole is an orientation hole to establish the position of the Dimocks Main Shale (DMS) and associated structures. As previously reported (21 June 2019) data from the RC drilling conducted in 2019 showed a lack of geological continuity indicating faulting and folding of the DMS. CSD001 intersected quartz zones within the DMS in addition to multiple reefs above and below it. Drilling of CSD001 has demonstrated that much of the 2019 RC drilling was done into the minor reefs above the DMS.

CSD001 revealed three parallel reef systems above the DMS that have been folded by small and large parasitic folds. The DMS was reached at 72m down the hole and continued to 93m and intersected two 2m quartz zones at the upper contact and at 86m with minor veining throughout the shale. The hole continued to 295m to test the folding and faulting beneath the DMS and encountered an additional 8 reef zones that mostly related to east-dipping faults and minor shales. 76 of the 108 samples sent for laboratory testing from CSD001 have been reported from the lab with the best result 1 m @ 9.68 g/t from an east-dipping fault beneath the DMS. Results from the final 32 samples are awaiting laboratory analysis.

CSD002 was collared 10 m to the west of CSD001 and drilled steeper to target where projected parasitic folding and the mineralised east-dipping fault intersect the DMS. The previously reported result from 2019 from CSR005 of 1m @ 81.0 g/t came from quartz in the parasitic folds. Drilling of CSD001 intersected an 8m quartz zone where the DMS and these structures intersect plus minor veining throughout the shale. The core from CSD002 has been logged, sampled and sent to the laboratory for analysis.

Work to better understand the nugget effect at Creswick is ongoing. As described in the release dated 5 November 2019 grade variability due to the nugget effect was demonstrated at Creswick with some of the initial samples under-reported and others over-reported.

Outlook, Future Prospects and COVID 19

The Board of ECR Minerals plc is very positive in regard to the outlook for the Company and for sustained demand for Gold over the longer term. We remain enthused over the potential and prospectively of the Company’s projects in Victoria, Australia.

As a consequence of COVID 19, governments around the world have imposed restrictions on

international travel, and in particular extensive restrictions have been imposed on domestic travel within Australia. These restrictions have meant that until May 2021, the board have been unable to visit the assets. However, the team on the ground in Victoria have continued the work at site without interruption, and as a result there has been no significant negative impact on the Company from the coronavirus.

FOR FURTHER INFORMATION, PLEASE CONTACT:

 

ECR Minerals plc

 

Tel: +44 (0)20 7929 1010

David Tang, Non-Executive Chairman
Craig Brown, Director & CEO
Email:  info@ecrminerals.com
Website:  www.ecrminerals.com
WH Ireland Ltd Tel: +44 (0)161 832 2174
Nominated Adviser
Katy Mitchell/James Sinclair-Ford
Novum Securities Tel: +44 (0)20 7399 9425
Broker
Jon Belliss
SI Capital Tel: +44 (0)1483 413500
Broker
Nick Emerson
Brand Communications Tel: +44 (0)7976 431608
PR & IR
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 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. https://mercatorgold.com.au/

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. https://luxexploration.com/

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.

FORWARD LOOKING STATEMENTS

This announcement may include forward-looking statements. Such statements may be subject to a number of known and unknown risks, uncertainties and other factors that could cause actual results or events to differ materially from current expectations. There can be no assurance that such statements will prove to be accurate and therefore actual results and future events could differ materially from those anticipated in such statements. Accordingly, readers should not place undue reliance on forward looking statements. Any forward looking statements contained herein speak only as of the date hereof (unless stated otherwise) and, except as may be required by applicable laws or regulations (including the AIM Rules for Companies), the Company disclaims any obligation to update or modify such forward looking statements as a result of new information, future events or for any other reason.

 

Please find the full financial statements here

ECR Minerals #ECR – Early Success at Creswick Gold Project, Victoria, Australia

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”).

The programme is designed to establish the position of the Dimocks Main Shale (“DMS`’) and associated structures within the Project, and target the main geological structures considered to be gold bearing at Creswick.

Craig Brown, Chief Executive Officer, commented:

“We have made great progress to date, with the first four holes at Creswick now complete and approaching 1,000m of diamond drilling undertaken efficiently and safely at the Project.

The Company has now received assay results from hole CSD001 and I am delighted to confirm we have intersected gold in this, the first drill hole, in our Creswick campaign.  This is highly encouraging and particularly significant considering that CSD001 is the first diamond hole into the DMS in the entire tenement. 

With CSD001 we have located the position of the DMS and are building our understanding of the types of folding and faulting within the system which will assist with ongoing drill targeting.

Overall, the hole one assay result has delivered the outcome we were all hoping for. This has been very much a team effort, and I would like to put on record my thanks to Dr. Rod Boucher, Adam Jones, the drilling team and the core shed staff for their hard work that has delivered a raft of data and information in record time. I look forward to reporting to the market with regard to further assay results, and their geological significance, as they become available.”

HIGHLIGHTS

  • Four diamond holes completed to date for 909.2m completed (CSD001 – CSD004).
  • Currently drilling the fifth hole CJD001. At the date of release this hole was at 220m.
  • Assay testing has now been undertaken on the first Creswick hole, CSD001 and the assay results confirm immediate success intersecting gold, with 1m @9.68 g/t confirmed.
  • Drilling continues with diamond hole CSD005 now underway, and assay results are awaited in respect of holes CSD002 – CSD004.
  • Following receipt of additional assay results and our in-house geological interpretation, our findings will be provided in further announcements.

TECHNICAL INFORMATION

The first diamond hole drilled at Creswick has immediate success intersecting 1 m @ 9.68 g/t.

The first hole, CSD001 has been completed to 295m.  This hole is an orientation hole to establish the position of the Dimocks Main Shale (DMS) and associated structures.  As previously reported (21/6/19) data from the RC drilling conducted in 2019 showed a lack of geological continuity indicating faulting and folding of the DMS.  CSD001 intersected quartz zones within the DMS in addition to multiple reefs above and below it.  Drilling of CSD001 has demonstrated that much of the 2019 RC drilling was done into the minor reefs above the DMS

CSD001 revealed three parallel reef systems above the DMS that have been folded by small and large parasitic folds.  The DMS was reached at 72m down the hole and continued to 93 m and intersected two 2 m quartz zones at the upper contact and at 86m with minor veining throughout the shale.  The hole continued to 295m to test the folding and faulting beneath the DMS and encountered an additional 8 reef zones that mostly related to east-dipping faults and minor shales.  76 of the 108 samples sent for laboratory testing from CSD001 have be reported from the lab with the best result 1 m @ 9.68 g/t from an east-dipping fault beneath the DMS.  Results from the final 32 samples are awaiting laboratory analysis.

CSD002 was collared 10 m to the west of CSD001 and drilled steeper to target where projected parasitic folding and the mineralised east-dipping fault intersect the DMS.  The previously reported result from 2019 from CSR005 of 1 m @ 81.0 g/t came from quartz in the parasitic folds.  Drilling of CSD001 intersected an 8 m quartz zone where the DMS and these structures intersect plus minor veining throughout the shale.  The core from CSD002 has been logged, sampled and sent to the laboratory for analysis.

Figure 1 shows the best quartz zone intercepted in the DMS in CSD002: https://www.ecrminerals.com/images/CSD002_DMS_quartz.jpg

Work to better understand the nugget effect at Creswick is ongoing.  As described in the release dated 5/11/19 grade variability due to the nugget effect was demonstrated at Creswick with some of the initial samples under-reported and other over-reported.

ASSAY RESULTS – CSD001

See TABLE 1 below for initial results:

Table 1 Best intercepts from the first 76 to 108 assays results from CSD001

HOLE ID EASTING       (GDA Zone 54) NORTHING (GDA Zone 54) Dip AZIMUTH (True North) TOTAL DEPTH (metres) SIGNIFICANT INTERCEPTS
CSD001 759,271 5,854,636 -58.0 101.0 295 1.0 m @ 9.68 g/t from 131.9 m, 0.9 m @ 0.88 g/t from 58.2 m,  1.0 m @ 0.21 g/t from 147.7 m

REVIEW OF ANNOUNCEMENT BY QUALIFIED PERSON

This announcement has been reviewed by Dr Rodney Boucher of Linex Pty Ltd. Linex Pty Ltd provides geological services to Mercator Gold Australia Pty Ltd, including the services of Dr Boucher, who has a PhD in geology, is a Member and RPGeo of the Australian Institute of Geoscientists and is a Member of the Australasian Institute of Mining and Metallurgy. Dr Boucher 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
Email:

info@ecrminerals.com

Website: www.ecrminerals.com
WH Ireland Ltd Tel: +44 (0)161 832 2174
Nominated Adviser
SI Capital Ltd Tel: +44 (0)1483 413500
Broker

Nick Emerson

 

Novum Securities Limited

Broker

Jon Belliss

Tel: +44 (0)20 7399 9425

 

Brand Communications

Public Relations                                                            Tel: +44 (0) 7976 431608

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 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. https://mercatorgold.com.au/

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 Queensland, Australia. https://luxexploration.com/

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.

ECR Minerals #ECR – CEO Craig Brown talks to Alan Green

Brand Comms CEO Alan Green talks to ECR Minerals #ECR CEO Craig Brown about the company’s flagship gold exploration projects in the heart of Australia’s Victoria Goldfields. Taking slides from the latest company presentation, Craig talks about ECR’s wholly owned drill rig, HQ at Bendigo and the £4m funding and extra cash resources owned by the company. We look at the Creswick Gold project located close to the Ballarat Gold Mine before discussing this year’s production numbers at the Fosterville goldmine and how they might compare to assay results and ore grades currently being drilled at the Bailieston HR3 target. Craig looks at Black Cat, Cherry Tree and other targets at Bailieston, before we move onto the blue sky potential at the Tambo Project, and the connection with ECR’s Head Geologist Dr Rodney Boucher. We end with some takeaway points for investors.

ECR Minerals #ECR – Business Operations Update

ECR Minerals plc (LON: ECR), the gold exploration and development company focussed on Australia, is pleased to provide the following update on its activities, which are centred on the Bailieston and Creswick gold projects in Victoria, Australia. Both projects are 100% owned by ECR’s wholly owned Australian subsidiary Mercator Gold Australia Pty Ltd (“MGA”).

HIGHLIGHTS

  • Field mapping and geochemistry currently underway across numerous gold prospects in the Bailieston project area;
  • ECR has acquired a diamond drilling rig capable of drilling as deep as 1,300 metres, due for delivery next month and which will be deployed immediately on an ECR managed drill programme;
  • High priority gold prospects within the Bailieston and Creswick project areas with potential for immediate drilling have been identified.

Craig Brown, Chief Executive Officer of ECR, commented:

“There is continuing interest in ECR’s Bailieston and Creswick projects with regards to potential joint venture or earn in opportunities. However, there can be no guarantee that any transaction will occur. The Company will provide further updates as appropriate.

The engagement we are experiencing is not surprising given the interest in Victoria gold opportunities, as evidenced by the many corporate transactions that we have seen in the area.

ECR is also gearing up to launch next stage exploration campaigns across our properties and we look forward to providing updates as the work progresses

The Directors are very optimistic for the future, and the Company has a robust underlying cash position of £1.65m with which we can confidently push ahead with operational programmes.”

CURRENT EXPLORATION ACTIVITIES

With the approaching end of the Victorian winter, MGA has begun to ramp-up exploration at the Bailieston and Creswick projects. A programme of follow-up field mapping and geochemistry across numerous prospects in the Bailieston project area is currently underway. MGA has recently purchased its own portable Olympus XRF analyser in order to enhance and expedite its geochemical sampling capabilities.

A map of the eastern Bailieston project area showing some of the prospects and features referred to in this announcement can be viewed at:

https://www.ecrminerals.com/images/2020/09/09/prospectsreefs-eastern-bailieston-tenement-area.jpg

Detailed mapping and geochemistry at the Cherry Tree, Cherry Tree South and Black Cat prospects is aimed at locating the surface position of shoots and identifying mineralisation along strike of trends established by historical and recent exploration. This will assist with the consideration of these prospects for drilling.

Cherry Tree (Historic Reserve #4) and Cherry Tree South are along the Bailieston trend and south of the Fosterville-style mineralisation mined in a small open cut in the 1990s at Historic Reserve #1 (HR1).

Rock chip samples were taken by MGA from Cherry Tree and Cherry Tree South as part of a 2018 sampling programme along the Bailieston trend. A total of 58 rock chip samples were taken at Cherry Tree and Cherry Tree South, with 17 samples returning grades of >1 g/t gold and the highest assay result being 8.8 g/t gold.

Field mapping and geochemical sampling at the Kings Cross and Pontings prospects in the Bailieston project area will follow-up earlier results including soil samples of up to 1.79 g/t gold at Kings Cross and rock chip samples of up to 8.31 g/t gold at Pontings.

PURCHASE OF DIAMOND DRILLING RIG AND POTENTIAL FUTURE DRILLING

MGA has recently signed a contract for the purchase of a new Cortech CSD1300G diamond drilling rig complete with spares and all downhole equipment, which is capable of drilling as deep as 1,300 metres. The rig is expected to be delivered in October 2020 and will give MGA an in-house drilling capability, which will be preferable to relying on contractors.

MGA has access to experienced drilling personnel to operate the rig, and it is expected that future drilling can be completed at lower cost and with greater flexibility using MGA’s own rig.

High priority gold prospects within the Bailieston and Creswick project areas which have the potential for immediate further drilling are detailed below. Once the drill rig has been received in Australia, a decision will be taken as to where it should first be put to work.

Bailieston Project – Blue Moon 

Blue Moon is an exciting new gold discovery made by MGA, with intercepts from 2019 reverse circulation (RC) drilling including 15 metres at 3.81 g/t gold from 51 metres downhole (with 2 metres at 17.87 g/t gold) (see announcement dated 14 March 2019 for full details of the drill programme). The best 2019 drilling results came from the western fence line. The host sandstone thins towards the east, where the drill results diminished accordingly.

ECR plans to test whether the mineralisation continues to improve towards the west, subject to gaining surface access. There is also potential to carry out further drilling within the zones already tested, with the objective of establishing an initial JORC Mineral Resource.

Bailieston Project – HR3

Three dimensional (3D) modelling of historical data for the Bailieston Historic Reserve #3 (HR3) and the results of drilling in the area by MGA in 2017 was completed in late 2019 and has assisted in the identification of the architecture of the major folds, structures and cross structures at the prospect. HR3 comprises at least four closely-spaced lines of reef, including the Byron, Dan Genders, Scoulars and Maori Reefs, plus numerous cross-structures. This provides a number of drill-ready targets.

Creswick Project 

Drilling conducted by MGA in 2019 at the Slades Reef prospect covered 300 metres of the 12.5 kilometre strike length of the Dimocks Main Shale (DMS) within ECR’s granted exploration licence (EL) and EL application areas at Creswick. This drilling encountered complex structures at Slades Reef; the cross section shown in ECR’s announcement dated 21 June 2019 showed drilling into interpreted faulted and parasitic folded DMS on an overall west-dipping limb.

Diamond drilling can be utilised to test this structural hypothesis and test the gold-bearing structures identified at Slades Reef where key faults intersect the anticline. Elsewhere at Creswick, field mapping and geochemical sampling could be used to attempt to delineate the surface expression of shoots to the south including Jackass Reef and Mills Reef ahead of potential drilling of these targets.

Review of Announcement by Qualified Person

This announcement has been reviewed by Dr Rodney Boucher of Linex Pty Ltd. Linex Pty Ltd provides geological services to Mercator Gold Australia Pty Ltd, including the services of Dr Boucher, who has a PhD in geology, is a Member and RPGeo of the Australian Institute of Geoscientists and is a Member of the Australasian Institute of Mining and Metallurgy. Dr Boucher 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   
Email:info@ecrminerals.com   
Website: www.ecrminerals.com   
    
WH Ireland Ltd Tel: +44 (0)161 832 2174 
Nominated Adviser   
Katy Mitchell/James Sinclair-Ford   
    
SI Capital Ltd Tel: +44 (0)1483 413500 
Broker   
Nick Emerson   

ABOUT ECR MINERALS PLC

ECR is a mineral exploration and development company. ECR’s wholly owned Australian subsidiary Mercator Gold Australia Pty Ltd has 100% ownership of the Bailieston and Creswick gold projects in central Victoria, Australia.

Following the sale of the Avoca, Moormbool and Timor gold projects in Victoria, Australia to Fosterville South Exploration Ltd (TSX-V: FSX), ECR has the right to receive up to A$2 million in payments subject to future resource estimation or production at 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.

I would like to receive Brand Communications updates and news...
Free Stock Updates & News
I agree to have my personal information transfered to MailChimp ( more information )
Join over 3.000 visitors who are receiving our newsletter and learn how to optimize your blog for search engines, find free traffic, and monetize your website.
We hate spam. Your email address will not be sold or shared with anyone else.