REG - ECR Minerals PLC - Update on Drilling & Director Share Agreements

ECR MineralsAnnouncement

16/11/2023 07:45

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RNS Number : 6797T  ECR Minerals PLC  16 November 2023

ECR MINERALS plc

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

Update on drilling plans

Extension of Directors Share Agreements

ECR Minerals plc (LON: ECR), the exploration and development company focused
on gold in Australia, is pleased to announce its intention to return to
drilling in Victoria by the end of the year alongside an extension of the
directors' salary sacrifice scheme.

Drilling plans

Since their arrival in September 2023, the new management team of ECR have
been examining the Company's properties, including looking at ECR's own
historic data as well as the results of previous and current exploration
activity in the locality.  Supported by professional advisers, the management
team have conducted a thorough review of all information available, alongside
an assessment of practical exploration objectives, in determining the
Company's forthcoming plans.

The Board as a whole has also been encouraged by the recent activity in
Victoria, particularly the drilling intercepts by ASX listed Southern Cross
Gold Ltd (ASX: SXG) at its Sunday Creek project and the recommencement of
exploration to the north of Bendigo by ASX listed Falcon Metals Ltd. (ASX:
FAL). With ECR's infield work programme advancing into the progressive
planning and development phase, the Board considers that this is the right
time to re-evaluate ECR's gold assets at Creswick and Bailieston for the
Australian summer field season.  Drilling permissions have been approved by
the relevant governmental authorities and the Board is currently negotiating
contracts and pricing with a local drilling company with a target of
commencing before the Christmas holiday period.  Importantly, any drilling
undertaken will be funded from the Company's existing cash resources.

Salary sacrifice

At the time of the fundraising announced in September 2023, four members of
the board of directors, David Tang, Andrew Scott, Adam Jones and Trevor
Davenport, agreed to subscribe for new ordinary shares in ECR ("New Ordinary
Shares") in lieu of an aggregate of £40,000 salary (£10,000 each), thereby
further preserving the Company's cash resources.

These New Ordinary Shares will be issued on or around 31 March 2024, with
admission to trading commencing on or around 1 April 2024. The number of the
New Ordinary Shares to be issued will be calculated by reference to (i) the
price at which an equity fundraising in the Company is carried out in the
period of the salary sacrifice or (ii) if there is no fundraising, the price
equal to the volume weighted average price of ordinary shares in the Company
calculated over the previous 14 days, provided always that the minimum
ordinary share price that shall apply is 0.175 pence.  In each case, the
issue of these New Ordinary Shares is conditional on the relevant person being
a director of the Company.  A further announcement will be made at that time.

Nick Tulloch and Mike Whitlow are already remunerated substantially by the
issue of New Ordinary Shares as announced on 18 September 2023.

ECR Chief Operations Officer Mike Whitlow commented: "The latest positive
news within our postcode speaks for itself.  We take great encouragement from
the recent announcements reported by our peers and we believe that ECR has
sufficient upside opportunities in Victoria to warrant a return to drilling.
We will provide further details in the coming weeks as we finalise our plans.

"I am also pleased that our strategy is being further supported by members of
the board who are continuing our ethos of aligning themselves with our
shareholders and conserving the Company's cash resources."

Interview

 

Watch our Back to Victoria interview with Nick Tulloch and Adam Jones at the
link below:

 

https://youtu.be/8P3NBq-LqfY (https://youtu.be/8P3NBq-LqfY)

 

 

Non-Regulatory Announcement

 

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
 (http://cts.businesswire.com/ct/CT?id=smartlink&url=http%3A%2F%2Fwww.ecrminerals.com%2F&esheet=51817334&newsitemid=20180605005810&lan=en-US&anchor=www.ecrminerals.com&index=1&md5=820ad49dc1fc2c84a0538453c017bc1b)

 SI Capital Ltd                                                                                                                                                                                                                                             Tel: +44 (0) 1483 413500
 Broker
 Nick Emerson

 Novum Securities Limited                                                                                                                                                                                                                                   Tel: +44 (0) 20 7399 9425
 Broker

 Jon Belliss

 Brand Communications                                                                                                                                                                                                                                       Tel: +44 (0) 7976 431608
 Public & Investor Relations
 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 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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