21
November 2024
ECR MINERALS
PLC
("ECR Minerals", "ECR" or the
"Company")
Conditional offer accepted
for the proposed sale of surplus land
ECR Minerals plc (LON: ECR), the
exploration and development company focused on gold in Australia,
is pleased to announce that it has accepted, in principle, a
conditional offer of A$225,000 for the proposed sale of its surplus
land at Brewing Lane in Victoria, Australia.
The offer, which the purchaser will
settle in cash on completion, is conditional on the purchaser
obtaining suitable financing. The purchaser's plans are
already well advanced in this regard and the condition is expected
to be satisfied within 14 days of this announcement, whereupon the
land conveyancing process will commence. Significantly, the
transaction is being arranged as a private sale with no real estate
agent fees or commissions to be payable by ECR.
The land at Brewing Lane,
Springmount comprises around 20 acres and is within ECR's Creswick
licence area. However, the proposed sale is independent of mineral
rights so will have no impact on any of the Company's future
operations at Creswick. As announced previously, ECR had
previously explored the possibility of obtaining planning
permission for a residential house on the land. Alongside
that, the Company had also investigated upgrading the access
rights. As a result of the proposed sale, if completed,
neither of these exercises would be required and the Company would
therefore have saved both the cost and management time of
proceeding with these initiatives.
The monies raised from this proposed
sale, once completed, will be utilised to accelerate work on the
Company's near-term exploration and operational activities. Given
that the conditional offer is not binding, there can be no
certainty that final binding terms will be agreed, nor as to the
timings or final terms or quantum of consideration for the proposed
sale of the land. Further announcements will be made in due
course.
Nick Tulloch, ECR's
Chairman, said: "The proposed sale of our surplus land at
Brewing Lane is the culmination of our strategy to realise value
from assets within ECR that we are not using or do not
require. The agreement in principle represents a very
cost-effective exit for ECR, with no agency commissions and would
negate the need for us to carry out work on the property before the
sale. The proceeds of the sale will be immediately reinvested
in our near-term exploration and operational activities in
line with our objective to advance the value of our assets as
efficiently as possible. As we continue to drive growth
within the business, the Board is excited about the potentially
significant opportunities presented by our assets in Victoria and
Queensland."
FOR
FURTHER INFORMATION, PLEASE CONTACT:
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ECR Minerals
Plc
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Tel: +44 (0) 1738 317 693
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Nick Tulloch, Chairman
Andrew Scott, Director
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Email:
info@ecrminerals.com
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Website:
www.ecrminerals.com
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Allenby
Capital Limited
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Tel: +44 (0) 20 3328
5656
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Nominated Adviser
Nick Naylor / Alex Brearley / Vivek
Bhardwaj
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info@allenbycapital.com
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Axis Capital
Markets Limited
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Tel: +44 (0) 203 026
0320
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Broker
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Ben Tadd / Lewis Jones
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SI Capital
Ltd
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Tel: +44 (0) 1483 413500
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Broker
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Nick Emerson
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Brand
Communications
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Tel: +44 (0) 7976 431608
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Public & Investor Relations
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Alan Green
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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 six licence applications outstanding which includes
one licence application lodged in eastern Victoria (Tambo gold
project).
ECR also owns 100% of an Australian subsidiary
LUX Exploration Pty Ltd ("LUX") which has three approved
exploration permits covering 946 km2 over a relatively
unexplored area in Lolworth Range, Queensland, Australia. The
Company has also submitted a license application at Kondaparinga
which is approximately 120km2 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), MGA
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.
MGA also has approximately A$75
million of unutilised tax losses incurred during previous
operations.
