ECR Minerals plc (AIM: ECR), a company specializing in gold exploration and development in Australia, announced its successful fundraising of £585,000, pending Admission.

This was achieved through the issuance of 195,000,000 new ordinary shares, known as “Placing Shares,” at a rate of 0.30 pence per share (the “Placing Price”) in a process referred to as the “Placing.”

The Placing Price is set at roughly a 30% discount compared to the closing middle market price of 0.43 pence per Ordinary Share as of 13 March 2024, which was the last business day before this announcement was made.

The funds raised from the Placing will be strategically utilized to further develop ECR’s projects in Victoria and Queensland throughout 2024.

Here are the key points from the Interview:

1. Capital Raise Overview: ECR Minerals raised £585,000 through a placement at a discount to the recent trading price but at a premium compared to the last raise six months ago.
2. Use of Proceeds: The funds will be used to advance ECR’s projects in Victoria and Queensland, with specific plans to get back out in the field in Queensland at Lolworth and to conduct trenching and drilling activities.
3. Project Details and Goals: ECR aims to explore and develop its large land package in Victoria and Queensland, focusing on gold and antimony. The company has a goal of building a £20-30 million market cap business.
4. Operational Strategy: The company plans to utilize accumulated tax losses, potentially monetize non-core assets, and engage in strategic drilling campaigns to unlock value and increase the company’s valuation.
5. Market Position and Outlook: ECR Minerals is operating in a favorable market for gold, with gold prices currently strong. The company is also exploring opportunities in antimony, a critical metal with increasing demand.
6. Shareholder and Investor Relations: The company acknowledges short-term frustrations among shareholders but emphasizes its commitment to creating long-term value. Directors are being remunerated in shares, ensuring alignment with shareholder interests.
7. Future Prospects: ECR Minerals is confident in its ability to derisk its projects and create significant value, urging potential investors to consider the opportunity given the company’s strategic position and plans.

https://www.share-talk.com/ecr-minerals-mike-whitlow-and-andrew-scott-talk-585000-capital-raise/