REG - ECR Minerals PLC - Review of Lolworth Project

ECR MineralsAnnouncement

10/01/2024 07:15

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RNS Number : 1643Z  ECR Minerals PLC  10 January 2024

ECR MINERALS plc

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

Review of Lolworth Project

ECR Minerals plc (LON: ECR), the exploration and development company focused
on gold in Australia, is pleased to provide the following overview of its
Lolworth Project in Queensland. The 2023 field work season concluded with soil
sampling which, together with exploration work already undertaken, has
provided the Company with a solid overview of the project area and,
importantly, a guide for the next phase of exploration this year.

HIGHLIGHTS

●     Reedy Creek returned best rock chips of 22g/t with stream samples
of 205 PPM.

●     Gorge Creek returned rock chips of 13.75g/t with stream samples of
1395 PPM.

●     Butterfly Creek reported stream samples of 962 PPM.

●  An overview of soil, rock chip and stream sediment sampling indicate
that the best-ranking gold prospects so far may be Flaggy Creek, Butterfly
Creek and Gorge Creek West areas. Other prospects identified but yet to be
explored in more detail include Brumby Creek and Gorge Creek East where our
soil sampling campaign demonstrated sporadic anomalous gold.

●   Laboratory results have been received for soil sampling completed at
Flaggy Creek and Reedy Creek West. Peak gold results in soils at Flaggy Creek
include 0.41 g/t Au, 0.19 g/t Au and 0.13 g/t Au. The results align to an
obscure North-Easterly trend. Anomalous peak results of lead within these
soils correlate adjacent to previous rock-chipped gold-bearing veins. Best
results from soil sampling at Reedy Creek West were 2.01 g/t Au. Early
interpretations of geochemistry results show these are near to a possible
geological boundary.

●   Previous pan concentrate sampling identified Oaky Creek to be
carrying good values of Niobium and Tantalum (Nb-Ta) mineralisation. Follow-up
soil sampling led to specific outcropping areas that are yet to be sampled and
mapped.

●   Similar geological rock types associated with Nb-Ta mineralisation at
Oaky Creek have been noted to exist within the eastern boundary of the
Lolworth tenements. No modern exploration has been undertaken within this
region before.

ECR Technical Director Adam Jones commented: "We took on Lolworth as a
'greenfield' project and, with some 900 square km of ground to explore, we
believed that it was within a geological province that had every potential for
significant discoveries for ECR Minerals. Our work in 2023 has gone some way
to endorse that, proving that gold exists in multiple places within the
project area.  Our soil sampling results back up the high-grade stream
sedimentary samples and rock chips reported in 2023.  By definition work at
surface, whilst early stage, is designed to predict what may occur in greater
concentrations at deeper levels and the widespread presence of gold in our
sample results increases our confidence in both the prospectivity and
potential scale of the Lolworth resource."

Mike Whitlow Chief Operating Officer said: "The conclusion of the 2023 field
work season at Lolworth has given us a solid platform from which to plan the
next stage of our reconnaissance programme.  We have identified several
locations to hone in on and we believe that there are still other gold sources
that can be followed up over in the coming year. Alongside the gold, we also
have found the presence of the sought after Niobium-Tantalum Rare Earth
minerals and, whilst this is only an initial indication, we expect this story
will continue to develop.  Our work for the 2024 season in Queensland is
likely to include trench sampling and drill target generation. Additionally,
we look forward to updating shareholders as operations continue In Victoria."

OVERVIEW OF GOLD EXPLORATION TO DATE

The Lolworth Project is located approximately 120km west of the historic gold
mining centre of Charters Towers, North Queensland, Australia. The project
consists of three exploration tenements (EPM27901, EPM27902 and EPM27903)
covering over 900 square kilometres of ground where numerous Gold, Niobium and
REE anomalies have been identified within the project. The operations are
being explored by LUX Exploration Pty Ltd, a wholly-owned subsidiary of ECR.

Exploration has been undertaken by methods of stream sampling (heavy pan
concentrate sampling), rock chip (outcrop mapping) and soil sampling over
prospective ridgelines. The Lolworth Project covers over 900 km(2) of
exploration ground. The host rocks have undergone some degree of alteration by
intrusive rocks and pegmatites and hence are favourable for exploring for
multiple commodities. Approximately 700km(2) of the project has now been
initially explored by stream sampling. Gold, Niobium-Tantalum and REE (in
particular Neodymium) are the main commodities discovered from the stream
sampling programmes. The gold prospects of interest are named Gorge Creek
West, Gorge Creek East, Reedy Creek, and of recent discovery Flaggy Creek,
Butterfly Creek and Reedy Creek West. The main focus of Niobium-Tantalum
exploration has been at Oaky Creek. See Figure One for locations in the
project area. Best results from exploration to date are included in Table One
below.

Figure One: Lolworth Project Prospects

All gold prospects have been found from following up positive stream sampling
results and now are targeting the hill slopes above such streams, looking for
the source of the gold. The directors consider the results to be outstanding.
Visible gold has often been found in creeks that have had no modern
exploration. Best results to date include 1395 ppm Au (Gorge Creek), 962 ppm
Au (Butterfly Creek), 594 ppm Au (Reedy Creek). Multiple clusters of gold
mineralisation have been found in specific streams of Flaggy Creek, Gorge
Creek West, Reedy Creek West and Butterfly Creek. This has led to outcrop
sampling and mapping and soil sampling firstly at Flaggy Creek and Gorge Creek
West. Further detailed work has been planned for Reedy Creek and Butterfly
Creek and will include geological mapping and outcrop sampling and detailed
soil sampling. The ridgeline between Reedy Creek and Butterfly Creek which the
gold bearing creeks are draining from is an area over 1km in strike length to
explore in detail.

NIOBIUM-TANTALUM AND REE EXPLORATION

Critical listed minerals Niobium-Tantalum (Nb-Ta) and other REE (Neodymium)
have been discovered in the Oaky Creek drainage system. High Niobium and
Tantalum results from pan concentrate sampling in the headwaters of Oaky Creek
led to the completion of a regional soil sampling programme over the adjacent
hillslopes. Results from this show the best Niobium concentrations in soils
(up to 146 ppm Nb) (see RNS September 25 2023 here
(https://polaris.brighterir.com/public/ecr_minerals_plc/news/rns/story/w177y3w)
). A mapping and sampling programme over the immediate outcrop of the best
Niobium results is planned for 2024. Elevated Nb-Ta and REE results are
associated with a mapped pegmatitic intrusive complex. The same type of rock
outcrop has been noted to occur on the eastern province of the Lolworth
Project area. The field team will access the streams within this eastern
province to investigate the potential for gold and critical minerals.

FLAGGY CREEK AND REEDY CREEK WEST SOIL SAMPLING RESULTS

Results from a soil sampling programme centred around a cluster of gold
bearing creeks discovered by pan concentrate sampling at Flaggy Creek
(previously called Woolshed Creek) and Reedy Creek West has been received.
Initial rock chip and outcrop mapping at one notable hillslope at Flaggy Creek
were reported last October (see RNS October 31 2023 here
(https://polaris.brighterir.com/public/ecr_minerals_plc/news/rns/story/ry7lz7r)
). Best results from rock chip and outcrop mapping included 4.66 g/t Au, 3.97
g/t Au and 3.28 g/t Au. Gold has also been discovered in quartz fragments that
is lying on the nearby surface, indicating gold veinlets in a primary source
is nearby. Where visible, the quartz veining at Flaggy Creek is running in
groups of narrow veins that lie parallel to each other. The veins can be
traced along the surface for 70 metres before passing under soil cover. The
anecdotal evidence from surface scree and fragments shows the parallel veins
to be in a zonation of up to 100m wide. The potential size of this zonation is
what makes Flaggy Creek an attractive gold exploration target. The soil
sampling programme has been completed north and south of these discovered
veins, the target being to discover any gold values in soils that are
potentially hiding other parallel gold veins hiding under the shallow soil
cover. The best gold results from the soil sampling were 0.41 g/t Au, 0.19 g/t
Au and 0.13 g/t Au (see Table Two), highlighting three 'spot' anomalies which
lie along a discrete north-easterly trend. (see Figure Two). This
north-easterly trend also correlates to the upper source line of the gold
found in the surrounding streams. Interestingly, lead is elevated in the soil
immediately surrounding the known gold bearing veins and is now looked at
being a pathfinder element to the proximity to gold veins. Lead results are
also elevated in previous best gold results from rock chipping.  The best
gold result from this soil sampling is located to the north-east of the
already mapped veins. ECR has not mapped these new anomalous areas and will
extend mapping and sampling of visible outcrop to these new areas this year.

Figure Two: Flaggy Creek Exploration Update

A soil sampling programme was also completed over the headwaters of three gold
bearing creeks that drain into the western side of Reedy Creek. Previous pan
concentrate sampling revealed plenty of visible gold backed up with good
laboratory results within these creeks. One spot gold anomaly of 2.01 g/t Au
was picked up in the soil sampling results. An abrupt boundary where
background higher values of lead concentration in soil is higher in the
southern half of the soil sampling (see Figure Three). Early interpretations
show this boundary is likely coincide with a geological boundary. Field staff
reported the nearby soil to be red (from iron) and contain quartz float which
are evidently from nearby quartz veins. Mapping and sampling of all quartz
veining within the anomalous area and near the geological contact will be
completed this year.

Figure Three: Reedy Creek West Exploration Update

Table One. Some of the best results from exploration at the Lolworth Project
to date (see previous announcements).

NOTE: (1 ppm Au = 1 g/t Au)

 

 PROSPECT          EXPLORATION METHOD  Easting   Northing  Au g/t  Pb ppm  Announcement Date
 Gorge Creek       Stream Sampling     314342.3  7749643   1395    n/a     23/03/23
 Butterfly Creek   Stream Sampling     310193.5  7749951   962     n/a     20/11/23
 Butterfly Creek   Stream Sampling     310289    7750626   594     n/a     8/8/23
 Reedy Creek       Stream Sampling     310475.6  7751531   205     n/a     23/03/23
 Gorge Creek West  Stream Sampling     314025    7751352   152.5   n/a     12/12/22
 Butterfly Creek   Stream Sampling     310247.8  7750052   139     n/a     20/11/23
 Reedy Creek       Stream Sampling     309411.5  7750724   138     n/a     8/8/23
 Reedy Creek West  Stream Sampling     308154.7  7751007   128     n/a     25/9/23
 Reedy Creek West  Stream Sampling     308394.7  7751332   60.9    n/a     25/9/23
 Reedy Creek       Stream Sampling     310359.1  7752184   51      n/a     01/02/23
 Reedy Creek       Rock Chip           309345.6  7750941   22.00   104     15/8/23
 Gorge Creek West  Rock Chip           313557.5  7751157   13.75   14250   23/10/23
 Gorge Creek East  Rock Chip           314942.4  7751994   8.02    199     20/10/23
 Flaggy Creek      Rock Chip           298711.6  7760551   6.05    267     31/10/23
 Flaggy Creek      Rock Chip           298696.6  7760564   5.96    751     31/10/23
 Flaggy Creek      Rock Chip           298694    7760685   4.73    542     01/02/23
 Flaggy Creek      Rock Chip           298697.5  7760694   4.66    480     31/10/23
 Flaggy Creek      Rock Chip           298694.4  7760683   3.97    91      31/10/23
 Flaggy Creek      Rock Chip           298705.1  7760729   3.28    685     31/10/23
 Flaggy Creek      Rock Chip           298701.1  7760710   3.19    3270    31/10/23
 Gorge Creek West  Rock Chip           313268.9  7751424   3.13    375     20/10/23
 Flaggy Creek      Soil Sampling       298875.9  7760698   0.41    8       This announcement
 Flaggy Creek      Soil Sampling       313239    7751347   0.39    12      This announcement
 Flaggy Creek      Soil Sampling       313198.6  7751347   0.32    11      This announcement
 Flaggy Creek      Soil Sampling       299071.3  7761011   0.19    4       This announcement
 Flaggy Creek      Soil Sampling       313267    7751305   0.18    17      This announcement
 Flaggy Creek      Soil Sampling       313295.6  7751171   0.13    18      This announcement
 Flaggy Creek      Soil Sampling       298434.6  7760314   0.13    12      This announcement
 Reedy Creek West  Soil Sampling       308349.2  7751205   2.01    n/a     This announcement

 

Table Two. Latest Gold results above reportable levels (>0.01 ppm Au) for
Soil Sampling at Flaggy Creek and Reedy Creek, Lolworth Project.

NOTE: (1 ppm Au = 1 g/t Au)

 

 PROSPECT          SAMPLEID  EASTING           NORTHING          Au ppm

                             (GDA94 Zone 55)   (GDA94 Zone 55)
 Reedy Creek West  LWL3650   308349.2          7751205           2.01
 Reedy Creek West  LWL3610   308190.5          7751091           0.03
 Reedy Creek West  LWL3616   308317            7751089           0.02
 Flaggy Creek      LWL3400   298875.9          7760698           0.41
 Flaggy Creek      LWL3439   299071.3          7761011           0.19
 Flaggy Creek      LWL3179   298434.6          7760314           0.13
 Flaggy Creek      LWL3394   298908.6          7760741           0.09
 Flaggy Creek      LWL3438   299105.6          7760974           0.09
 Flaggy Creek      LWL3493   299497.2          7761071           0.07
 Flaggy Creek      LWL3038   298725.4          7760724           0.05
 Flaggy Creek      LWL3487   299377.4          7761287           0.05
 Flaggy Creek      LWL3408   299380            7760838           0.04
 Flaggy Creek      LWL3007   298717.2          7760799           0.03
 Flaggy Creek      LWL3029   298626            7760805           0.03
 Flaggy Creek      LWL3039   298703.8          7760737           0.03
 Flaggy Creek      LWL3068   298698.7          7760697           0.03
 Flaggy Creek      LWL3359   299052.5          7760806           0.03
 Flaggy Creek      LWL3374   298983.1          7760815           0.03
 Flaggy Creek      LWL3403   298790.9          7760822           0.03
 Flaggy Creek      LWL3448   299056.1          7760954           0.03
 Flaggy Creek      LWL3452   299193.7          7760809           0.03
 Flaggy Creek      LWL3009   298760.6          7760774           0.02
 Flaggy Creek      LWL3014   298715.6          7760777           0.02
 Flaggy Creek      LWL3033   298712.5          7760755           0.02
 Flaggy Creek      LWL3043   298617.3          7760787           0.02
 Flaggy Creek      LWL3110   298730            7760585           0.02
 Flaggy Creek      LWL3123   298549.3          7760597           0.02
 Flaggy Creek      LWL3268   298863.9          7760492           0.02
 Flaggy Creek      LWL3380   298948.6          7760771           0.02
 Flaggy Creek      LWL3402   298819.2          7760780           0.02
 Flaggy Creek      LWL3453   299228.1          7760773           0.02
 Flaggy Creek      LWL3464   299386.8          7760934           0.02
 Flaggy Creek      LWL3468   299325.6          7761125           0.02

 

REVIEW OF ANNOUNCEMENT BY QUALIFIED PERSON

This announcement has been reviewed by Adam Jones, Technical Director of
Exploration 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) 20 7929 1010
 David Tang, Non-Executive Chairman

 Nick Tulloch, Managing Director

 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 eight active exploration tenements and two in application
(Ballarat and Tambo).

 

ECR also owns 100% of an Australian subsidiary LUX Exploration Pty Ltd
("LUX"), which has three approved exploration permits covering 946 km(2) over
a relatively unexplored area in Lolworth Range, Queensland, Australia. The
Company has also submitted a license application at Kondaparinga which is
approximately 120km(2) 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), 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 90% 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.

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