ECR Minerals PLC (AIM:ECR) said it has increased its shareholding in Cordillera Tiger Gold, which owns exploration licence EP-006 at the Danglay gold project in the north Philippines, to 90% from 70%.
The stake increase was the result of an intercompany loan of roughly £420,800 which was owed to ECR by Cordillera, ECR said in a statement.
The loan was in relation to certain fees and expenses which was satisfied by the issue of 6,666,667 new ordinary shares.
“This issue of equity brings our holding in Cordillera Tiger to 90%, and as a result, the Board now expects to be able to take full advantage of opportunities that may arise in regard to the development of the Danglay Gold project. I look forward to reporting back on further progress,” said ECR CEO Andrew Haythorpe in the statement.
ECR initially held a 25% interest in the Danglay gold project when Cordillera renewed its licence in July 2021 before increasing its stake to 70% in April 2022.
The London-listed exploration and development company believes that the political climate for the minerals industry in the Philippines continues to improve.
ECR’s board considers the Danglay gold project, therefore, has “potential for further exploration," building upon the existing inferred mineral resource estimate of 63,500 ounces of gold at 1.55 grams per ton.