ECR is a mineral exploration and development company, incorporated in the UK.

ECR’s wholly owned Australian subsidiary Mercator Gold Australia (MGA) has agreed to acquire 100% ownership of the Avoca and Bailieston gold projects in Victoria, Australia. Mercator Gold Australia is estimated to have tax losses of approximately AUD 66M as at 30 June 2015, which may be available, subject to certain conditions (as described in ECR’s announcement dated 4 December 2014), to reduce MGA’s future taxable profits.

ECR has the right to earn a 50% interest in the Danglay epithermal gold project in the Philippines. Danglay is an advanced exploration project located in a prolific gold and copper mining district in the north of the Philippines. An NI43-101 technical report was completed in respect of the Danglay project in December 2015, and is available for download from ECR’s website.

ECR’s wholly owned subsidiary Ochre Mining has a 100% interest in the SLM gold project in La Rioja Province, Argentina. Exploration at SLM has focused on identifying small tonnage mesothermal gold deposits which may be suitable for relatively near term production.

 

ECR shares are listed on the AIM market of the London Stock Exchange with the symbol ECR.

MERCATOR GOLD plc
(“Mercator Gold”, “Mercator” or “the Company”)

AIM: MCR

US OTC: MTGDY

 

LONDON: 18 JANUARY 2006 - The Company is pleased to announce that at the EGM held earlier today, all the resolutions were duly passed, including those necessary to approve the acquisition of the gold exploration and mining assets at Meekatharra, the placing and the 1 for 10 share consolidation.

The Company is also pleased to announce that it has raised £9,115,000 before expenses (in addition to the £1,000,000 raised via the convertible loan note in December 2005) under the placing and this will allow the Company to complete the acquisition.

Following the issue of the new shares in relation to the acquisition and the placing and following the share consolidation, there will be a total of 39,118,350 ordinary shares (of 10p par value) in issue and these are expected to commence trading on AIM on Friday, 20 January 2006.

On admission to AIM, the Directors’ shareholdings in the Company will be:

  Number of issued Ordinary shares Percentage of issued Ordinary shares Number of Warrants Number of options
Terrence Strapp 120,000 0.31% Nil 475,000
Patrick Harford 1,650,000 4,22% Nil 1,100,000
Michael de Villiers 227,000 0.58% 67,000 325,000
Dr. Julian Vearncombe 360,000 0.92% 40,000 575,000
Michael Elias 20,000 0.05% Nil 125,000
Nick Allen Nil - Nil 125,000

 

Note: Existing shareholders who are uncertain as to the number of shares they will hold following the share consolidation should consult an independent financial adviser authorised under the Financial Services and Markets Act 2000.

 

For further information please contact:

Mercator Gold plc    
Patrick Harford, Managing Director Tel: +44 (0) 20 7929 1010
Email:This email address is being protected from spambots. You need JavaScript enabled to view it.    
   
   
   
Beaumont Cornish Limited    
Roland Cornish Tel: + 44 (0) 20 7628 3396
     
     
     
King & Shaxson Capital Ltd    
Nick Bealer Tel: + 44 (0) 20 7426 5986
     
     
     
Ocean Equities Ltd    
Will Slack Tel: + 44 (0) 20 7786 4375
     
     
     
Parkgreen Communications    
Justine Howarth / Ana Ribeiro Tel: +44 (0) 20 7493 3713

 

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