ECR Minerals PLC (LON: ECR) share price edged higher following a 2-day decline triggered by Monday’s Cherry Tree drilling update, which disappointed most investors.
After the latest diamond drilling at Cherry Tree, the company noted that a visual examination of the last drill hole, BCTDD009 showed that the area contained low-grade gold mineralisation.
The gold exploration and development company told investors that although the diamond drilling results at Cherry Tree were disappointing so far, the programme had helped it understand the deposit structure.
Investors were disappointed by the results given that ECR Minerals is betting huge on discovering significant gold deposits at its 100% owned Bailieston and Creswick licence areas, which Cherry Tree is part of.
The company recently bought a house located on a 59-acre firm to host its employees. In addition, it hires more people to help advance its two wholly-owned projects run by its 100% owned Australian subsidiary Mercator Gold Holdings Pty Ltd (MGA).
ECR Minerals is yet to strike significant gold deposits at either of its license areas but is very optimistic about the region.
Investors hope that the company will report better results as its diamond drill rig relocates to more promising sites at the north end of the HR3 (Byron) reserve, where soil sampling reveals firm arsenic-antimony anomalies surface.
The company is also awaiting the final drill results from the diamond drilling campaign that was recently completed at its Creswick (EL6184). ECR has so far reported high-grade intercepts from CSD003.
The positive results included 0.95m at 9.93 g/t gold from 84.2m and 0.95m at 23.58 g/t gold from 89.05m.
Still, inventors were not paying attention to the positive results reported from Creswick but were more focused on the disappointing Cherry Tree results.
As a short-term trader, I would be looking to buy near the bottom of ECR Mineral’s current trading range and sell near the top. Today’s rally could be an excellent buying opportunity.
*This is not investment advice. Always do your due diligence before making investment decisions.
ECR Minerals share price.
ECR Minerals share price edged higher today following a 2-day decline. What’s next?
Should You Invest in ECR Minerals Shares?
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