ECR Minerals (LSE:ECR) announced today it is looking to expand operations into Western Australia having submitted nine new exploration license applications. The licenses cover a package of ground prospective for gold mineralisation across 1600 square Kilometres in the Yilgarn region and will be collectively called the Windidda gold project.
Previous exploration within the project area has targeted base metal and manganese deposits. Licence applications cover a significant proportion of an identified gravity-magnetic trend with known gold prospects along trend in outcropping greenstone to the south (not owned by ECR). These gravity-magnetic anomalies have not been targeted to date.
The under-cover greenstone gold exploration model has been successfully tested by Greatland Gold (LON:GGP) at its Ernest Giles project located approximately 125 kilometres east of the Windidda project.
When granted, the project will complement ECR’s existing extensive gold exploration portfolio in Victoria, Australia.
Map of ECR Minerals’ existing five licences in Victoria, Australia
Things appear to be hotting up in the region, and just recently mining giant Newmont applied for a license for a large area of ground in close proximity to licenses held by ECR. Via it’s 100% owned operating vehicle Mercator Gold Australia Pty Limited, ECR recently submitted four new licenses in Victoria. Three of the applications relate to the Bailieston/Moormbool gold project area to augment existing licences and secure available ground just to the south of acreage applied for by Newmont. The fourth license application has been submitted to add to the ground in the Creswick project area.
In December, ECR announced it had secured strategic funding of £680k, stating that, together with existing cash, the company now has sufficient working capital for operational plans until at least Q2 2020.
Craig Brown, Chief Executive Officer of ECR Minerals plc, commented: “I am particularly pleased to announce this strategic move into Western Australia, which, like Victoria, has exceptional gold exploration potential in a first world operating environment.
Greenstone-hosted gold trends in the Western Australian Yilgarn province are very tightly held and access to free ground, when it becomes available, is highly competitive. So, it is very encouraging that ECR has managed to compile a large land position of contiguous tenements covering untested gravity-magnetic anomalies representative of potential greenstone-hosted gold trends.
The funds secured by ECR in the strategic financings of July and December 2018 have enabled us to continue engaging aggressively with potential new initiatives, the Windidda project being one.
We are acquiring new ground in Australia at a time when many explorers and developers are financially weakened by market conditions. This, although unfortunate for the wider resource sector, is presenting ECR with multiple highly attractive options, and we intend to take full advantage.
Our work continues at pace and I look forward to updating our shareholders further with additional new developments in the near term.”
Author: Stuart Langelaan