ECR Minerals, a mining exploration firm, successfully raised £585,000 through a funding round, aiming to expedite exploration in Victoria and Queensland, Australia.
The net proceeds from the Placing will be used to advance ECR’s projects in Victoria and Queensland during 2024, specifically:
· Stream sampling at Baileston, Victoria
· Reverse Circulation drilling at Tambo, Victoria, where the Company has previously recorded 22g/t rock chips with Silver and Bismuth credits
· Trenching at Flaggy Creek and Reedy Creek in Lolworth, Queensland – trench across various outcrops followed up with Reverse Circulation drilling
· Reconnaissance for Niobium REE and Gold in streams over eastern tenements in Lolworth, Queensland where geological mapping suggests the presence of pegmatite intrusion that covers approximately 45km2
Recorded on the 15th of March 2024
Here’s a bullet-point summary of the video:
- ECR Minerals raised £585,000 through a placement, which is a significant premium compared to the last fundraising conducted six months prior.
- The raise was motivated by the need to fund exploratory campaigns in Queensland and Victoria, where there has been increased mining activity and interest.
- The sale of non-core assets like the CET rig contributed to the company’s funds but was insufficient for all the exploration needs.
- The capital raised will be used for trenching in Queensland at Lolworth and drilling at the Tambo project.
- ECR Minerals is waiting for the results from recent drilling campaigns and aims to replicate past successes.
- They’re exploring new avenues like the potential utilization of accumulated tax losses and engagement with third-party tax specialists.
- There’s an interest in antimony as a critical metal in the current global context, which ECR has in its license areas.
- The company’s approach is to unlock value through active fieldwork and exploration, focusing on high-risk, high-reward strategies.
- The team at ECR Minerals is committed to increasing the company’s value and is optimistic about the potential of their land packages in Victoria and Queensland.
- The video ends with an encouragement for potential investors to consider ECR Minerals, highlighting their extensive land holdings and ongoing projects.
This initiative responds to the increasing mining interest in these regions, particularly Victoria, where ECR controls a significant 1,755 square kilometres of land rich in minerals, contributing notably to Australia’s and the world’s gold production.
The company’s decision to secure additional funds was influenced by the objective of leveraging the region’s mining prospects. COO Mike Whitlow acknowledges the temporary discontent among shareholders due to the funding round but assures that the capital injection will boost exploration speed. The funds will be allocated to various projects, including the promising Lolworth and Tambo prospects in Queensland and the Balliston and Davey Road/Cuboid Hill sites in Victoria.
ECR Minerals adopts an assertive exploration strategy to maximize the chance of substantial discoveries, with Whitlow likening this approach to aiming for high scores in cricket rather than playing it safe. The company is also exploring options to capitalize on non-core assets and utilize its tax losses, consulting with experts to assess their transferability and value.
Moreover, ECR is reassessing old drilling data for antimony, a metal in demand due to its use in defense and renewable energy, eyeing an emerging market opportunity given its global scarcity. Whitlow invites shareholder engagement for transparent communication about the company’s direction and asserts a long-term performance evaluation approach, pledging to step down if the ambitious targets are not met.
As ECR Minerals begins a new phase, it offers investors a chance to join its journey to unlock the considerable mineral potential of its holdings. The company, with its strategic funding and renewed focus, is ready to confront the challenges and capitalize on opportunities in the evolving world of mining exploration.
The company’s shares have appreciated by 25% in the last six months, reaching 0.31p at present, with a peak at 0.43p earlier in the month. This surge has elevated ECR’s market capitalization to £5.16 million. Post its successful fundraising, ECR is gearing up for an active year of field operations, guided by the new strategy formulated by Chairman Nick Tulloch and COO Mike Whitlow, who joined the team in September last year.
The company is strategically positioned to execute a comprehensive agenda for 2024. Boasting a portfolio of promising assets and sufficient funds, ECR is poised for a successful year. Investors should keep an eye on forthcoming updates from ongoing exploration and drilling activities at Bailieston, Creswick, and Lolworth, as these are likely to be significant in the near future.
