Emmerson Resources (ERM) Q1 2025 TU earnings summary

Executive summary

• Formed a Strategic Copper and Gold Alliance with two partners to assess a multi-user processing facility in Tennant Creek, focusing on optimal plant configuration, mine scheduling, and infrastructure needs.

• JV partner Tennant Mining continued construction of the Nobles CIL gold processing facility, on track for commissioning in Q2 2025 and commercial production in Q3 2025.

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

• Exploration focus shifted to high-grade historical deposits, with drilling approvals received for White Devil, Nobles Nob West, and Marathon prospects.

Financial highlights

• Cash balance of $3.3 million as of 30 September 2024, with no debt.

• Exploration expenditure for the quarter was $496,000, offset by $1.42 million in JV earn-in contributions.

• Net cash from operating activities was $619,000 for the quarter.

• Corporate and other operating expenditure totaled $305,000; payments to directors were $132,000.

Outlook and guidance

• Scoping Study for the multi-user copper and gold processing facility underway, expected to progress to Pre-Feasibility Study.

• Nobles CIL facility commissioning expected in Q2 2025, with commercial production in Q3 2025.

• Drilling at White Devil, Nobles Nob West, and Marathon planned for late 2024, subject to final heritage clearances and weather.

• Mineral Resource Estimate for White Devil expected in November 2024.