Zinc of Ireland Faces Access Hurdles, Exits Canadian Projects Amid Expansion
Zinc of Ireland NL advances its strategic footprint with an 80% earn-in at the Mt Clere Project in WA, preparing for imminent drilling, while rationalizing its Irish tenements and exiting Canadian assets.
- Earn-in agreement secured for up to 80% of Mt Clere Project with drilling planned mid-Q2 2025
- Rationalization of Irish Kildare Zinc-Lead licences reduces holdings from 73 to 26
- Pending exploration licence application for Murchison Gold Project in Western Australia
- Surrender of Manitoba, Canada licences due to access challenges with First Nations partners
- Cash position stands at approximately A$1.7 million with ongoing pursuit of non-dilutive funding
Strategic Expansion into Western Australia
Zinc of Ireland NL (ASX: ZMI) has taken a decisive step forward in its exploration strategy by entering into an Earn-In Agreement to acquire up to an 80% interest in the Mt Clere Project, located in Western Australia. This highly prospective tenement, covering the undrilled Robin 21 geophysical anomaly, is poised for drilling to commence in the coming weeks, marking a pivotal moment for the company.
The Mt Clere Project, situated approximately 725km north-northeast of Perth, features a 1km-wide magnetic and gravity “bullseye” anomaly indicative of potential sedimentary-hosted base metal mineralisation. Historical exploration by BHP in the late 1990s identified this target but was limited by shallow drilling that failed to test the anomaly’s depth. Zinc of Ireland’s planned drilling aims to intersect the deeper sources of these geophysical anomalies, with the initial hole targeting depths between 250 to 300 meters.
Optimising the Irish Zinc-Lead Portfolio
Meanwhile, the company continues to refine its footprint in Ireland’s Rathdowney Trend, home to the flagship Kildare Zinc-Lead Project. Zinc of Ireland has rationalised its prospecting licences from a peak of 73 down to 26 active licences, shedding less prospective areas to concentrate resources on high-potential targets. Recent fieldwork included extensive geochemical sampling and gravity surveys to support drill target generation, with assay results pending.
The Kildare Project remains a cornerstone asset, boasting an inferred mineral resource of 11.3 million tonnes at 9.0% combined zinc and lead grades, underscoring its significance within the global zinc-lead exploration landscape.
Emerging Gold Opportunity and Canadian Exit
In Western Australia’s Murchison region, Zinc of Ireland’s exploration licence application remains pending. The Murchison Gold Project targets shear-hosted orogenic gold mineralisation along the Big Bell Fault extension, a structure associated with significant nearby gold mines. The company plans to initiate reconnaissance mapping and sampling upon licence grant, with drilling to follow as warranted.
Conversely, Zinc of Ireland has exited its Superior LCT Project in Manitoba, Canada, surrendering all exploration licences due to unresolved access issues with First Nations partners. The company anticipates recovering approximately CAD$73,000 in licence deposits in the next quarter, marking a strategic withdrawal from this jurisdiction.
Financial Position and Funding Outlook
As at 31 March 2025, Zinc of Ireland reported cash reserves of approximately A$1.7 million. The company’s cash flow reflects ongoing exploration expenditure, including the initial $50,000 payment to secure the Mt Clere Earn-In Agreement. Zinc of Ireland is actively monitoring zinc market fundamentals and exploring non-dilutive funding avenues through European Union and Irish government initiatives to support its exploration programs without immediate equity dilution.
Looking ahead, the company’s staged earn-in at Mt Clere involves sole funding $1.25 million over two years for an initial 51% interest, followed by a further $2.5 million over three years to reach an 80% stake. This structured approach balances capital deployment with exploration risk, positioning Zinc of Ireland to unlock value from this drill-ready project.
Bottom Line?
With drilling at Mt Clere imminent and a sharpened focus on high-potential assets, Zinc of Ireland is poised for a transformative exploration phase that could redefine its growth trajectory.
Questions in the middle?
- What initial results will the upcoming Mt Clere drilling yield, and how might they impact project valuation?
- How will assay outcomes from Kildare’s recent geochemical sampling influence future drilling priorities?
- What is the timeline and likelihood for granting the Murchison Gold Project exploration licence?
