ECR MINERALS PLC: High-Grade Drilling Results -- Bailieston Gold Project, Victoria Goldfields, Australia

TIDMECR 
 
 

20 April 2021

ECR MINERALS plc

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

HIGH-GRADE DRILLING RESULTS -- BAILIESTON GOLD PROJECT, VICTORIA GOLDFIELDS, AUSTRALIA

ECR Minerals plc (LON: ECR), the gold exploration and development company, is pleased to announce high-grade drilling results from the Bailieston gold project in the Victoria Goldfields, Australia. The Bailieston project is 100% owned by ECR's wholly owned Australian subsidiary Mercator Gold Australia ("MGA").

Craig Brown, Chief Executive Officer of ECR Minerals plc, commented: "These are the first results generated by our new drilling rig, and to our knowledge they are also the first diamond drilling results ever obtained from the HR3 area. The extra geological insight afforded by diamond drilling will be of great use in vectoring further work, and this is an advantage which previous explorers have not had.

As is to be expected with early-stage exploration drilling, not all holes reported today have intersected significant gold mineralisation, but we are very encouraged by the fact that BH3DD001 returned two high-grade intercepts, including one of 0.5 metres at 19 g/t gold, and all holes have provided data which will feed into our evolving geological model for the area. Drilling is continuing and we look forward to reporting the next round of results.

We remain as excited as ever about the potential of the Bailieston gold project, which is located around 30 kilometres from the Fosterville gold mine owned by Kirkland Lake Gold and which includes the Blue Moon gold discovery confirmed by high-grade results from previous drilling by ECR."

HIGHLIGHTS:

   -- Five diamond drillholes across the Historic Reserve #3 (HR3) area 
      covering the Byron and Maori reef lines have been completed for a total 
      of 1082m. Drilling at Byron shows west dipping sediments whereas drilling 
      at Maori intersected all east (and south-east) dipping beds, indicating 
      the possibility of anticline-related gold mineralisation between the two 
      reefs. 
   -- Drilling of BH3DD006 is currently in progress to test a hypothesised 
      anticline that may exist in the vicinity of the Dan Genders-Scoulers line 
      of workings. Historic shallow gold workings may be small reefs linking 
      and coalescing to a much larger fault related anticline system at depth. 
   -- Drilling to date has been on the periphery of a central mineralised 
      system (Byron and Maori Reef lines). Drilling has been through mostly 
      shales, however sandy bedding, which is best for brittle vein development 
      is expected to be more likely in the central part of the HR3 goldfield. 
   -- Drillhole BH3DD001 into the Byron Reef returned a high-grade intersection 
      of 0.5m @ 19 g/t Au from 110.9m downhole. Furthermore, a potentially new 
      mineralised system was intersected at 157m (1m @ 4.25 g/t Au). Rubbly 
      quartz from this same intersection assayed 21.1 g/t Au. 
   -- Drilling of BH3DD005 into the Maori Reef shows an increase in sandy 
      bedding and sulphide development compared to the Byron Mine area. Final 
      assay results for this hole are pending. 
   -- Geochemical soil sampling has been completed over half of the HR3 
      goldfield. Some 720 samples have been taken with 229 samples currently 
      being analysed for key gold pathfinder elements, and these results will 
      assist with drill targeting. 
 

SUMMARY OF DRILLING TO DATE

(fig. 1) - Plan showing locations of 2021 drilling, historical gold workings and reef lines.

https://www.ecrminerals.com/images/0421fig1.jpg

BYRON REEF

908m of the 1082m total drilling to date has been drilled into the Byron Reef surrounding the historic Byron Mine. Production records show the Byron Mine to have produced a total of 8698 tonnes for 4416 oz (average 15.5 g/t Au), indicating it was the biggest producer within the HR3 goldfield. On this basis and considering the relative ease of drilling access at Byron, holes BH3DD001 to BH3DD004 were drilled into this reef.

BH3DD001

This hole was designed to test the down-dip mineralisation underneath the historic Byron Mine and understand the structural context of the orebody. The target (Byron Main Reef) intersected a milky, massive-vuggy quartz reef with laminated margins, 5.3m in apparent thickness. A visible speck of gold was seen when sampling the core. Results show the laminated hanging-wall portion of this reef contains the gold with assay returning (0.5m @ 19.0 g/t Au) from 110.9m. The massive-vuggy portion of the reef did not return gold. Additionally, a newly discovered potential mineralised position occurs in thin, overturned sands containing perpendicular veins that returned (1m @ 4.25 g/t Au) from 157m. Furthermore, cave-in (rubbly quartz) resulting from a drill bit change within these veins at the same depth of 157m returned 21.1 g/t Au. Drilling continued into the footwall of the reef to end of hole at 296.6m depth. The entire hole was drilled down the western limb of a large anticline, likely to exist at an unknown distance to the east. A parallel reef system known as 'Scoulers Reef' may be situated on such an anticline.

BH3DD002

BH3DD002 was drilled to test the vertical down-dip extension of the Byron Main Reef intersected in BH3DD001. The reef was drilled through at 144m down hole where the vein had narrowed to 25cm in width. Assay results show no significant intercepts with gold below the detection limit (BDL). There is 40m in vertical difference between the reef intersection in BH3DD001 and BH3DD002. Drilling continued to test the hypothesis that the reef may be bedding-parallel and be dipping back under eastwards, however no additional quartz related mineralisation was intersected. No sulphides were visible and portable XRF (pXRF) readings failed to identify any significant pathfinder elements in the quartz or surrounding wall-rock. This hole ended at 242.5m depth.

(fig. 2) - Geological interpretation and best results are shown.

https://www.ecrminerals.com/images/0421fig2.jpg

BH3DD003

BH3DD003 was designed to test the hypothesised down-plunge shoot extension of the Byron Main Reef to the north of BH3DD001 and BH3DD002. In reference to the deepest known historical workings in the Byron Mine on long-section and the down-dip direction of mined stopes, the productive mineralised portion of the reef, known as a 'shoot' possibly plunges to the north (fig. 3). The reef was intersected at 126.3m downhole where flexures in the bedding caused a large body of quartz-sulphide development. This mineralisation continued to 147.5m. Best results were 0.8m @ 1.19 g/t Au from 135.8m depth.

https://www.ecrminerals.com/images/0421fig3.jpg

BH3DD004

BH3DD004 was drilled to test the vertical extent of the large quartz-sulphide dilation intersected in BH3DD003. The conclusion of this drillhole, as with BH3DD002, was that the width of the Byron Reef narrows and has no grade continuity at this depth.

(fig. 4) - Geological interpretation of BH3DD003 and BH3DD004 shown.

https://www.ecrminerals.com/images/0421fig4.jpg

MAORI REEF

BH3DD005

BH3DD005 was designed to test the structural context of the Maori Reef. Bedding is shown to be dipping towards the east and south-east directions. Between 76 and 151 metres the host rocks are more sand dominated and below this zone a 40cm wide laminated quartz vein was intersected. This hole was drilled to a final depth of 174.3 metres. Assays results are pending for this hole.

ANTICLINE HYPOTHESIS

BH3DD006

Drilling to date covers the western and eastern boundaries of the currently known mineralisation within the HR3 goldfield. Geological observations of drilling to date confirms the lithology of the bedding to be more sand dominant in the vicinity of the Maori Reef. Bedding dips towards the west at the Byron Mine and dips east to south-east at the Maori Reef, suggesting a main anticline hinge zone to exist between these two reef lines. It is likely the north-west striking Dan Genders Reef and Scoulers Reef systems may be linked to a potential larger anticline-system at depth. (refer to fig. 1 for reef locations). Similar anticline-related faulting is seen at the nearby old Bailieston open pit (located 2.8km to the north) and characteristic elsewhere in Central Victoria. BH3DD006 is currently being drilled across strike of the Dan Genders Reef to test this hypothesis.

(fig. 5) -- Hypothesised Central Anticline Model.

https://www.ecrminerals.com/images/0421fig5.jpg

Table A Details of current drilling and significant intercepts to date (April 2021).

 
           EASTING    NORTHING        AZIMUTH       TOTAL 
           (GDA Zone  (GDA Zone       (True         DEPTH     SIGNIFICANT 
HOLE ID    55)        55)        DIP  North)        (metres)  INTERCEPTS 
                                                              0.5m @ 19.0 g/t 
                                                              Au from 110.9m 
                                                              1m @ 4.25 g/t Au 
                                                              from 157m* 
                                                              *rubbly quartz 
                                                              from this zone 
                                                              re-assayed 21.1 
BH3DD001   326313     5931394    -60  060           296.6     g/t Au 
                                                              No significant 
                                                              intercepts 
                                                              (below detection 
BH3DD002   326313     5931394    -70  060           242.5     limit) 
                                                              0.8m @ 1.19 g/t 
BH3DD003   326313     5931394    -60  023           165.6     Au from 135.8m 
                                                              No significant 

BH3DD004   326313     5931394    -67  023           203       intercepts 
 

All samples were assayed by Gekko Systems Pty Ltd in Ballarat, Australia.

Review of Announcement by Qualified Persons

The Exploration Results in this report have been compiled by Adam Jones and Dr Rodney Boucher.

Adam Jones is a Member of the Australian Institute of Geoscientists (MAIG). Adam Jones has sufficient experience which is relevant to the style of mineralisation and type of deposit under consideration, and to the activity which he is undertaking, to qualify as a Competent Person as defined in the 2012 edition of the "Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves". He consents to the inclusion in this report of these matters based on the information in the form and context in which it appears.

This announcement has been reviewed by Dr Rodney Boucher of Linex Pty Ltd. Linex Pty Ltd provides geological services to Mercator Gold Australia Pty Ltd, including the services of Dr Boucher, who has a PhD in geology, is a Member and RPGeo of the Australian Institute of Geoscientists and is a Member of the Australasian Institute of Mining and Metallurgy. Dr Boucher is a Qualified Person as that term is defined by the AIM Note for Mining, Oil and Gas Companies.

MARKET ABUSE REGULATIONS (EU) No. 596/2014

The information contained within this announcement is deemed by the Company to constitute inside information as stipulated under the Market Abuse Regulation (EU) No. 596/2014 (MAR) (as in force in the United Kingdom pursuant to the European Union (Withdrawal) Act 2018). Upon the publication of this announcement via Regulatory Information Service (RIS), this inside information is now considered to be in the public domain.

FOR FURTHER INFORMATION, PLEASE CONTACT:

 
ECR Minerals plc                      Tel: [phone] 
David Tang, Non-Executive Chairman 
Craig Brown, Director & CEO 
Email: 
 [e-mail] 
Website: www.ecrminerals.com 
 
WH Ireland Ltd                        Tel: [phone] 
Nominated Adviser 
Katy Mitchell/James Sinclair-Ford 
 
SI Capital Ltd                        Tel: [phone] 
Joint Broker 
 Nick Emerson 
Novum Securities Limited              Tel: [phone] 
Joint Broker 
Jon Belliss 
 

ABOUT ECR MINERALS PLC

ECR Minerals is a mineral exploration and development company. ECR's wholly owned Australian subsidiary Mercator Gold Australia Pty Ltd has 100% ownership of the Bailieston and Creswick gold projects in central Victoria, Australia, and two license applications lodged in eastern Victoria for the Tambo Gold project. ECR is currently drilling high priority targets on the Bailieston gold project using the Company's own diamond drill rig, backed by a support network at the company's central Victoria HQ at Bendigo. ECR has an experienced exploration team with significant local knowledge in the Victoria Goldfields and wider region.

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), ECR has the right to receive up to A$2 million in payments subject to future resource estimation or production at any of those projects.

ECR has earned a 25% 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, and holds a royalty on the SLM gold project in La Rioja Province, Argentina.

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April 20, 2021 04:04 ET (08:04 GMT)