Its producer status means that the company generates cash flow, which is in the form of a 12% royalty on gold produced by its partner Territory Resources Ltd at the Edna Beryl underground gold mine.
The gold royalty means this is low risk cash flow for Emmerson given it is not exposed to operational risk as its partner operates the mine.
Emmerson has a large landholding in the Tennant Creek area of the Northern Territory with many other potential small mine opportunities outside of Edna Beryl.
Emmerson has a strong relationship with its private partner, Territory Resources, who recently subscribed for $2 million worth of shares at a premium price of 10 .35 cents.
At Emmerson’s New South Wales exploration projects, it recently intersected porphyry style copper mineralisation.
Whatling Hill Project within its Fifield tenement package in New South Wales.
Reverse circulation (RC) and diamond drilling at the Whatling Hill Project consisted of six holes for 1,500 metres and intersected the outer zones of a mineralised porphyry copper-gold system.
Results included 8 metres at 0.4% copper from 194 metres, 17 metres at 0.4% zinc from 300 metres, 3 metres at 0.4% copper from 91 metres, and 3 metres at 0.22 g/t gold from 231 metres.
Register for the CEO Sessions today
Sydney details, Monday, June 3, 2019 (Emmerson will be presenting in Sydney only)