Mecrus operates in the mining and resources sector through Mecrus Resources.

Since 2007 Mecrus Resources has applied for 16 mineral exploration licences in Victoria.

As at 1 September 2011 Mecrus holds five exploration licences covering an area of 1924 sq kms in South West and North East Victoria.

It has a further 11 mineral exploration licence applications pending in South West Victoria and Gippsland covering a combined area of 5084 sq kms.

Mecrus has applied for exploration licences in these specific areas based on a broad assessment of geological factors in these regions. From this assessment Mecrus has an indication that there is the potential for different mineral resources to be found.

North East Victoria
Mecrus was granted a mineral exploration licence (No. EL5196) in February 2010 covering an area of 492 sq kms in the Thoona/St James region north of Benalla and to the west of Wangaratta. The application is for gold, silver, platinum and base metals. Mecrus has completed desktop analysis of the area and is now in discussion with about 30 landholders in relation to the possibility of soil sampling on their properties. On 23 August 2011 Mecrus was granted a mineral exploration licence (EL5316) to explore an area of 500 sq kms to the north east and south east of Dookie. This application is for gold, silver, platinum, base metals and other minerals.

Gippsland
Mecrus has applied for three mineral exploration licences in Gippsland. These include two areas (Nos. EL526, EL527) in the Shire of Baw Baw. The total area is about 1000 sq kms and the applications are for gold, silver, platinum, antimony and base metals. The third application (EL5119) is a small area covering 33 sq kms to the north east of Mirboo North. This application is for kaolin, coal and base metals.

South West Victoria
Mecrus first applied for mineral exploration licences in South West Victoria in July 2010 with three applications (EL5299, EL5298, EL5297) in the Glenelg and West Wimmera shires in areas between Casterton and the South Australian border. To date two of these applications covering 1000 sq kms have been granted.

A further two applications (EL5350, EL 5351) in this region were lodged in April 2011 and a sixth (EL5377) was lodged in August 2011.

In July 2011 Mecrus resources also lodged five applications (EL5371, EL5372, EL5373, EL5374, EL5375) for land areas in Woolsthorpe, Broadwater-Hawkesdale, Heywood-Macarthur, Cobden and Gravoc. Each specific application covers an area of about 480 square kilometres.

All of the exploration licence applications lodged in South West Victoria are for gold, silver, platinum, mineral sands and other minerals. Mecrus has ruled out coal and coal bed methane as exploration targets and these have been specifically excluded from its exploration licence applications in South West Victoria.

Mecrus is serious about its mineral exploration projects and the potential benefits that they could bring to the state of Victoria.

The Mecrus exploration process

The exploration licence applications lodged by Mecrus in Victoria are general in nature as at this stage Mecrus is unsure what it might discover that could prove economically viable.

As mineral exploration licences are granted Mecrus begins the process of undertaking desktop evaluation of existing geological data to determine the quantity and quality of the minerals in the areas. Environmental assessment is a major part of this evaluation process. In most instances, this process takes about two years.

Typically, once desktop analysis has been completed — and in the event that Mecrus wishes to proceed with exploration following that analysis — the company will identify a small number of properties on which it seeks to undertake geochemical sampling as the next stage of its studies.

For example, as part of its exploration of a 500 sq km area in North East Victoria, Mecrus plans to visit just 30 of more than 300 properties in that area to discuss with the property owners the possibility of conducting geochemical sampling.

Geochemical sampling is extremely ‘low impact’ and undertaken with hand tools only. It involves the collection and analysis of small quantities of geological materials such as soil, rocks and stream sediments.

Mecrus understands the sensitivity for landholders of exploration activity on their property and will always seek to work collaboratively with them and minimise any disturbance associated with its activities.

Proactive community consultation is also an important element of the Mecrus exploration process. Mecrus endeavours to establish strong relationships with local communities and to communicate openly and effectively as its projects evolve.

Further information

If you require further information in relation to the mineral exploration activities of Mecrus please contact resources@mecrus.com.au.