Zinc of Ireland NL Expands Gold Focus with Murchison Licence Amid Strategic Portfolio Shift

Strategic Expansion into Gold Exploration

Zinc of Ireland NL (ASX: ZMI) has taken a notable step in diversifying its mineral exploration portfolio by applying for an exploration licence (ELA 21/230) in the Murchison region of Western Australia. This 33.5km² licence area, known as the Murchison Gold Project (MGP), lies within the prolific Murchison Greenstone Belt, approximately 35km west of Cue. The company is targeting shear-hosted orogenic gold mineralisation linked to the Big Bell Fault, a major regional structure that hosts significant gold deposits nearby.

The Murchison region is currently a hotbed of mergers and acquisitions activity, buoyed by a strong gold market. Zinc of Ireland’s move into this area not only broadens its commodity focus beyond base metals but also positions it near established processing infrastructure, potentially easing future development pathways.

Refining Core Zinc and Lead Assets in Ireland

Meanwhile, Zinc of Ireland continues to sharpen its focus on its flagship zinc and lead projects in Ireland, particularly along the Rathdowney Trend. The company has reduced its Prospecting Licence (PL) holdings from 73 to 32, concentrating on the most prospective ground. This strategic pruning follows a detailed technical review and geochemical sampling campaigns, including deep overburden sampling at Cashel and extensive sample collection at Portarlington.

The Rathdowney Trend hosts several significant deposits, including the previously mined Lisheen and Galmoy mines, as well as Zinc of Ireland’s Kildare deposit, which boasts an inferred resource of 11.3 million tonnes at 9.0% Zn+Pb. The company’s ongoing fieldwork and desktop studies aim to generate high-quality drill targets to advance resource definition and potential expansion.

Exiting Canadian Holdings Amid Access Challenges

In contrast to its Australian and Irish activities, Zinc of Ireland has surrendered all its mineral exploration licences and mining claims in Manitoba, Canada. The decision stems from protracted difficulties in securing access agreements with First Nations partners, which effectively halted field activities during the 2024 summer season and cast doubt on future access prospects. This exit underscores the challenges junior explorers face in navigating regulatory and community engagement landscapes in certain jurisdictions.

Capital Raising and Financial Position

Financially, Zinc of Ireland successfully completed a placement of 153 million shares, raising approximately A$1.07 million before costs. This capital injection, alongside ongoing efforts to secure non-dilutive funding supported by EU and Irish initiatives, provides the company with a cash balance of around A$2 million as of December 31, 2024. The company estimates this funding will sustain operations for over five quarters at current expenditure levels.

Director fees and consultancy payments during the quarter amounted to approximately A$81,000, reflecting normal commercial terms. Zinc of Ireland’s management emphasizes prudent financial stewardship as it advances its exploration agenda.

Looking Ahead: Focused Exploration and Strategic Growth

Looking forward, Zinc of Ireland plans to commence field programs at key Irish licences including Kildare and PL 890, alongside ongoing geochemical assessments at Cashel, Derrykearn, and Rapla. In Western Australia, the company intends to complete technical due diligence and stakeholder engagement for the Murchison Gold Project, with drilling programs anticipated post-licence grant.

Additionally, Zinc of Ireland is actively pursuing complementary natural resource projects, with significant progress reported towards a decision on one such opportunity. This proactive approach suggests a company intent on leveraging its diversified portfolio to create shareholder value amid evolving market conditions.