Salt Bush Project

Salt Bush in South Australia is located on a Mining Lease (ML 4572) which was granted pre-native title legislation. Development of this into a mine is intended to be by way of a shallow open cut to 20m depth using vat leach technology. 

Salt Bush has surface outcropping ore at over 6g/t Au with individual assays previously being recorded as high as 39g/t Au.  The ore body strike length is estimated to be in excess of 800 metres with the ore body enriched in an upper 20m zone.  There are multiple parallel mineralised veins which indicate the potential to expand the mineable area.

Percussion drilling 20m to the east of the decline has shown that the ore body extends from the surface to 13m at a grade of 7g/t.  A second inclined percussion drill hole approximately 10m further east designed to test the Salt Bush mineralisation showed an intersection at 6.8g/t from 13m – 18m. 

As a result, based on the information provided by the owners, ECR believes that there is potential for over 10,000oz gold that could be obtained by mining the estimated ore body to around 20m in depth. Recovery of the gold is proposed to be by way of a fine crush (<5mm) and then vat leaching with cyanide with an expected gold recovery of around 65% – 70%.  Based on the information provided by the owners, it is estimated that the project would have a projected break-even gold price of AU$3,110 which is around half the current gold price.

Pursuant to its investment in 20% of Salt Bush, ECR is spending A$200,000 on the Salt Bush project to prepare the project for future gold production.  The funds will primarily be used to secure all the licensing required, plan out the camp and other facilities, including water supply and electricity, and prepare for vat leach production.  These operations will commence shortly following the completion of the Salt Bush Investment and ECR believes that a realistic commencement of gold production would be around the middle of 2027.