Emmerson Resources (ERM) Q4 2024 TU earnings summary

Executive summary

• Construction of the Nobles CIL gold processing facility commenced, targeting completion and commissioning in Q2 2025, with commercial production expected in Q3 2025.

• Over 200,000 oz of high-grade gold added to the resource base during the quarter, increasing total inventory to 2.27Mt @ 5.2g/t gold for 376,600 oz.

• Emmerson will receive a 6% gross production royalty on gold produced from JV tenements, fully exposed to gold price upside and not exposed to production costs.

• Strategic alliance with Tennant Mining includes multiple joint ventures, with Tennant Mining required to spend $10.5M over five years to earn a 75% interest.

Financial highlights

• Cash reserves of $2.7M as at 30 June 2024, with no debt.

• Exploration expenditure for the quarter was $494,000, offset by $190,000 in JV earn-in contributions.

• Corporate and other operating expenditure, net of other income, totaled $180,000 for the quarter.

• Estimated 5.55 quarters of funding available based on current cash and outgoings.

Outlook and guidance

• Nobles CIL facility construction and commissioning targeted for Q2 2025, with commercial production in Q3 2025.

• Additional development studies underway for Golden Forty and Eldorado deposits, aiming to convert resources to ore reserves.

• Heritage clearances and further drilling planned for the next quarter.