REG - ECR Minerals PLC - Further Significant Increase in Gold Grades

ECR MineralsAnnouncement

31/05/2024 07:15

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RNS Number : 5542Q  ECR Minerals PLC  31 May 2024

ECR MINERALS plc

("ECR Minerals", "ECR" or the "Company")

Further Significant Increase of Gold Grades at Creswick

Exploration Activities Update

ECR Minerals plc (LON: ECR), the exploration and development company focused
on gold in Australia, is pleased to provide the final bulk sampling results
from its reverse circulation drilling programme at the Kuboid Hill site in
Creswick earlier this year. Bulk sampling of drilled material highlights
high-grade pockets of gold within the broader scale mineralisation footprint.

The Company also provides an update on its operations at Bailieston and Tambo
in Victoria as well as its forthcoming plans in Queensland.

HIGHLIGHTS

·    Five bulk samples upgrade initial Kuboid Hill drill results. Most
significant is the upgrade from 1m @ 1.04 g/t Au to 1m @ 8.37 g/t Au

●     Results expected shortly from photon assay pilot testing at Tambo
Project

●     Analysis underway for antimony in selected diamond core from
Bailieston, Victoria

●     Resumed field operations in Queensland at Lolworth Project,
focusing on priority targets including Gorge Creek, Reedy Creek, and Butterfly
Creek, with stream samples yielding up to 1395 ppm Au

●     Additional test work at Blue Mountain, Queensland expected to
commence within weeks.

●     ECR is fully funded for its planned work programs in Victoria and
Queensland in 2024.

Details of the Programmes

Creswick

As announced on 8 April 2024, a total of 1,032 metres of reverse circulation
("RC") drilling was completed at Kuboid Hill on 16 February 2024. This was
the second part of an extended reverse circulation drilling programme at
Creswick, following on from 522 metres completed at Davey Road where, as
previously announced on 12 February 2024, ECR reported a best overall grade
gold of 41.03g/t Au. The Kuboid Hill programme was designed to follow up on
the Company's anomalous gold soil sampling campaign that was completed in
2022.

Final bulk sampling results for the outstanding 13 RC drill holes at Kuboid
Hill, consistent with the results reported on 7 May 2024, have revealed higher
gold content. This was anticipated because of the presence of coarse gold in
the area. Five bulk samples are now evidencing significant intercepts, the
most prominent of which is an increase from 1m @ 1.04 g/t Au to 1m @ 8.37 g/t
Au in hole KHRC005 from 17m depth. The bulk sampling of the other drill holes
did not return any reportable results. These findings support the presence of
higher-grade gold pockets within a broader low-grade mineralisation halo at
Kuboid Hill which differs from Davey Road's narrow vein, higher-grade style of
mineralisation. The results provide encouragement that similar mineralisation
styles exist within the Creswick license area.

Details of Significant Intercepts from the Latest Bulk Sampling (Kuboid Hill
RC Drilling) > 0.5 g/t

 HOLE     Sample   From  To  Bulk g/t  Original g/t
 KHRC005  CRB1357  17    18  8.37      1.04
 KHRC001  CRB1549  19    20  1.78      0.27
 KHRC006  CRB1231  19    20  1.73      0.03
 KHRC010  CRB543   20    21  1.03      0.51
 KHRC001  CRB1539  10    11  0.71      0.03

 

Photon Assaying

ECR has submitted a number of Kuboid Hill bulk samples, as well as rock chips
recently taken from its Tambo Project, for testing. Traditional fire assay
methods will also be used to back up the results for comparison. Photon
assaying is an emerging gold analysis method, which is environmentally
friendly and available locally, providing quicker results with less
preparation and non-destructive sample analysis. A number of well-known
producing gold mines, including Fosterville, are currently employing this
method of analysis.

Victoria Exploration - Tambo and Bailieston

ECR has now wrapped up its initial reconnaissance exploration on its Eastern
Victorian licence at Swifts Creek, Tambo River (EL007484), focusing on the
historic Duke of Cornwall mining area. The exploration team collected rock
chips, including in-situ samples, and also completed a number of soil sample
lines along the strike of mineralisation to identify pathfinder elements for
future exploration programs. Initial findings from a year ago revealed
arsenic, bismuth minerals and gold.

As previously announced, following the success of its stream sampling campaign
at Bailieston, which produced best results of 798 ppb Au and 712 ppb Au, ECR
is also re-analysing the core from its earlier drilling at the HR3 prospect at
Bailieston for antimony. The Costerfield-Bailieston-Nagambie district is noted
for economic veins of antimony and elevated antimony has been observed from
previous pXRF analysis of the drill core.

Queensland Exploration Programme for 2024

Exploration plans for the 2024 season at the Lolworth Project, North
Queensland, have resumed. Initial plans include following up on last year's
stream sample results at Butterfly Creek, Reedy Creek, and Upper Gorge Creek,
where gold samples of up to 1395 ppm were reported. Soil sampling is also
underway on selected ridgelines above these areas. Additionally, a sampling
program for Niobium and Tantalum will be conducted on the eastern side of the
project area this season.

In Central Queensland, a trenching program is expected to commence within
weeks at the Blue Mountain Project. Prospects with previous alluvial gold
findings will be revisited where the Board believes there is potential for a
significant alluvial gold resource. Investigation of hard rock prospects in
the area is also planned.

 

Mike Whitlow Chief Operating Officer said: "These positive results from our
bulk sampling campaign are highly encouraging, validating the significant
potential value we see in our Creswick gold assets. The discovery of
higher-grade gold pockets within a broader low-grade mineralisation halo at
Kuboid Hill provides additional evidence that similar mineralisation styles
may be present within the Creswick license area. The extent of our drilling
programme, and the volume of bulk samples, took time both in preparation and
also for laboratory results and, going forward we will also be utilising new
techniques, such as photon assaying, to expedite the delivery of future
results."

 

Adam Jones Chief Geologist added: "ECR is now entering a busy period with
several exploration programmes underway across our portfolio of projects. I
look forward to reporting back on the results of our initial exploration
programs at Tambo in Victoria and our re-analysis for antimony in Bailieston.
My time will now be focused on our follow-up activities in Queensland and I am
particularly excited about the commencement of exploration at our Blue
Mountain project where historical work conducted by the previous operator
presents compelling opportunities, especially for its alluvial gold potential.
At Lolworth, our soil sampling will follow up last year's discovery of gold
samples with concentrations of up to 1395 ppm and, later in the season, we
will undertake a sampling program for niobium and tantalum on the eastern side
of the project area."

 

REVIEW OF ANNOUNCEMENT BY QUALIFIED PERSON

This announcement has been reviewed by Adam Jones, Chief Geologist at ECR
Minerals plc. Adam Jones is a professional geologist and is a Member of
the Australian Institute of Geoscientists (MAIG). He is a qualified person
as that term is defined by the AIM Note for Mining, Oil and Gas Companies.

 

FOR FURTHER INFORMATION, PLEASE CONTACT:

 

 ECR Minerals plc                                                                                                                                                                                                                                           Tel: +44 (0) 1738 317 693
 Nick Tulloch, Chairman

 Andrew Scott, Director

 Email:

 info@ecrminerals.com (mailto:info@ecrminerals.com)
 Website: www.ecrminerals.com
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ABOUT ECR MINERALS PLC

 

ECR Minerals is a mineral exploration and development company. ECR's wholly
owned Australian subsidiary Mercator Gold Australia Pty Ltd ("MGA") has 100%
ownership of the Bailieston and Creswick gold projects in central Victoria,
Australia, has six licence applications outstanding which includes one licence
application lodged in eastern Victoria (Tambo gold project).

 

ECR also owns 100% of an Australian subsidiary LUX Exploration Pty Ltd ("LUX")
which has three approved exploration permits covering 946 km2 over a
relatively unexplored area in Lolworth Range, Queensland, Australia. The
Company has also submitted a license application at Kondaparinga which is
approximately 120km2 in area and located within the Hodgkinson Gold
Province, 80km NW of Mareeba, North Queensland.

 

Following the sale of the Avoca, Moormbool and Timor gold projects in
Victoria, Australia to Fosterville South Exploration Ltd (TSX-V: FSX) and the
subsequent spin-out of the Avoca and Timor projects to Leviathan Gold Ltd
(TSX-V: LVX), MGA has the right to receive up to A$2 million in payments
subject to future resource estimation or production from projects sold to
Fosterville South Exploration Limited.  MGA also has approximately A$75
million of unutilised tax losses incurred during previous operations.

 

ECR holds a royalty on the SLM gold project in La Rioja Province, Argentina
which could potentially receive up to US$2.7 million in aggregate across all
licences.

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