LONDON: ECR Minerals plc (LON: ECR), a company focused on gold exploration and development in Australia, has announced it has accepted, in principle, a conditional offer of A$225,000 for the sale of its surplus land at Brewing Lane in Victoria.

The purchaser, who plans to settle the offer in cash upon completion, must secure suitable financing. Their financing plans are well advanced and are expected to be finalized within 14 days of the announcement, after which the land conveyancing process will begin. Notably, the transaction is being arranged privately, meaning ECR will not incur real estate agent fees or commissions.

The Brewing Lane property, located in Springmount, covers around 20 acres within ECR’s Creswick licence area. The sale is independent of mineral rights, so it will not impact the Company’s future operations at Creswick. ECR had previously considered obtaining planning permission for a residential house on the land and upgrading access rights. However, with the proposed sale, these measures will not be necessary, saving the Company both costs and management time.

Funds raised from the sale will be used to accelerate ECR’s near-term exploration and operational activities. Since the offer is conditional and not binding, there is no certainty that final terms will be agreed upon or the exact timing of the sale. Further updates will be provided in due course.

ECR’s Chairman, Nick Tulloch, commented on the sale, saying, “The proposed sale of our surplus land at Brewing Lane is the culmination of our strategy to realize 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 negates the need for us to carry out work on the property before the sale. The proceeds will be immediately reinvested in our near-term exploration and operational activities, aligning 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.”

ECR Minerals signs exclusivity agreement for potential sale of Australian subsidiary