Encounter Resources (ASX: ENR) – Paterson & NT copper

ABOUT COMPANY

Encounter Resources (ENR) (https://www.encounterresources.com.au/) explores gold and base metals in Australia. It partners with IGO and BHP on the Yeneena Copper-Cobalt Project in Paterson WA and Elliott Copper Project in NT respectively.

CAPITAL STRUCTURE


ASX Code	Share Price	Shares	Option (In)	Market Cap	Cash/Asset ($m)
ENR	0.345	450078054		155276928.63	5.9/20


Holders No	Top 20 (Cur)	Top 20 (Pre)	Director Hold	Performance Right	Note
2482	54.55%	58.97%	13.18%		last raise $10m@25c; pre raise $4m@12c

The company’s JV portfolio is perhaps worth $20m.

3.8c capital reduction from October 2021 as a result of HMG IPO.

FLAGSHIP ASSETS

Aileron Cu-Au-REE Project West Arunta WA

Aruna - RIO, AMN, IGO, ENR, WA1, NWM

Project Data

12m @ 2.3% Nb2O 5 & 0.85% TREO from 54m

32m @ 1.0% Nb 2O 5 & 0.25% TREO from 34m

OTHER ASSETS

Sandover Copper-Lithium Projects NT

ASX ENR NT Sandover Copper-Lithium Project

Northern Territory Copper Projects (75-100%)

In May 2021, BHP agreed to a staged farm-in where BHP has the right to earn up to a 75% interest in the Elliott project by sole funding up to $25m exploration expenditure within 10 years.

In Nov 2023, BHP withdrew from the farm-in.

ASX ENR NT projects location

Lamil Copper-Gold Project Paterson WA (100%)

Yeneena Copper-Cobalt Project Paterson WA (30% JV with IGO, 1,600km2)

IGO can solely fund $15m in exploration expenditure over a maximum of seven years to earn a 70% interest.

Paterson - Gold, Copper -IGO, RIO, NCM, FMG

SUMMARY

The company’s Chairman, Paul Chapman, is also a director of DRE. Both ENR and DRE command a large portfolio of the land but have done limited exploration.