Errawarra Resources Expands into Silver with $3M Placement

About Errawarra Resources Limited

Errawarra Resources Ltd (ASX: ERW), headquartered in West Perth, Western Australia, is a mineral exploration company focused on discovering and developing battery and precious metal assets in Tier 1 jurisdictions. Founded in 2012, the company has primarily focused on the Pilbara region, targeting lithium, nickel, and gold. Following its latest strategic move into silver, Errawarra aims to establish itself as a leading explorer and potential future producer in the precious metals sector. Currently, Errawarra shares are trading at $0.042 per share.

Elizabeth Hill Silver Project Unlocks Proven Potential

The centrepiece of this announcement is the acquisition of a 70% interest in the Elizabeth Hill Silver Project, located in the West Pilbara region of Western Australia. This project is widely recognised as one of Australia’s highest-grade historical silver mines, producing 1.2 million ounces of silver from only 16,830 tonnes of ore before operations ceased in 2000 due to low silver prices. The mine’s head grade of 2,194 g/t underscores its exceptional mineralisation.

What makes this acquisition particularly attractive is its location on a granted mining lease with all necessary exploration and drilling approvals already in place. This allows Errawarra to immediately commence its exploration strategy, including geological modelling, data reprocessing, and drilling to delineate new mineral resources under modern JORC standards. The recent high-grade drill results — including intercepts of 11.7m at 5,371 g/t Ag and 24.8m at 915 g/t Ag — reinforce the project’s continued potential.

Strategic Consolidation of a High-Potential Land Package

Errawarra’s acquisition also includes 70% interests in three surrounding tenements and silver rights at Pinderi Hills, forming a consolidated 180km² land package. This consolidation eliminates tenement fragmentation and positions the company to conduct regional-scale exploration across a contiguous silver-rich corridor.

This broader tenement package opens the door to discovering “look-alike” deposits to Elizabeth Hill, particularly along structures associated with the Munni Munni Fault and the basal contact of the Munni Munni Intrusion — both areas already showing anomalous silver in soils and rock chips. The company’s technical team has identified three exploration avenues: assessing the current mine resource, targeting near-mine extensions, and exploring the broader regional package for new discoveries.

Execution Plan and Advisory Support

Errawarra’s advancement strategy for Elizabeth Hill is already underway. Geological modelling has commenced, and the company plans to deliver a maiden JORC 2012-compliant resource in the coming months. Field exploration will begin within two weeks of acquisition completion, with drilling expected to follow 6–8 weeks later.

To support this effort, the company has brought on Mr Robert Mosig as an independent non-executive director. A geologist with over 50 years’ experience, Mosig brings deep knowledge of the Munni Munni region, having previously worked on platinum and palladium projects in the area. His appointment strengthens the technical leadership required to accelerate project development.

Capital Raising and Shareholder Alignment

To fund the acquisition and exploration activities, Errawarra successfully raised $3 million via a two-tranche placement at $0.027 per share. The placement attracted new and existing institutional investors and was managed by CPS Capital. Directors and advisors have also been issued performance rights and options linked to share price milestones, aligning their incentives with shareholder value creation.

As part of the broader rebranding and corporate development strategy, Errawarra plans to rename itself West Coast Silver Limited (ASX: WCE), pending shareholder approval. This reflects the company’s new strategic focus and positions it to attract investors interested in high-grade silver exposure.

Outlook for Errawarra and the Silver Market

Silver is increasingly gaining attention as a critical mineral due to its dual role in industrial applications and as a store of value. The current buoyant silver market, driven by energy transition demand and investment flows, creates an ideal backdrop for Errawarra’s pivot to silver. The Elizabeth Hill acquisition offers immediate exploration upside, historical production credibility, and development readiness in a Tier 1 jurisdiction.

With a clear development roadmap, strong technical leadership, and supportive investor base, Errawarra is poised to unlock the value of Elizabeth Hill and emerge as a leading silver exploration company in Australia. The coming months will be crucial as the company ramps up activity and begins to deliver results from this highly prospective asset.