E79 Gold Mines Limited (ASX:E79) - E79 Gold Secures 100% Ownership of Mountain Home Project with Reduced Royalty Terms
- Noel Ong
- May 3
- 5 min read
A notable announcement by E79 Gold Mines Limited (ASX: E79) securing 100% ownership of the Mountain Home Copper-Gold-Bismuth Project in the Northern Territory. The move, announced on 22 April 2025 (E79 Gold Acquires 100% of the Mountain Home Project), indicates that there may be some activity happening on this project soon.
The geology in this region is very exotic, and I would also include the tectonics, or rather, the structural history, which is also noteworthy. Northern Territory geology has always been a great place for discoveries. The issue in the past has been the remoteness and the inability to get the market excited.
Strategic Win: Early Option Exercise
The company exercised its option to acquire the underlying tenement (EL32470) ahead of schedule from NT Minerals, securing a favourable renegotiation of terms:
Net Smelter Royalty (NSR) reduced from 2% to 1%
Royalty cap reduced from A$3 million to A$1.5 million
Option to acquire the NSR outright for A$1 million
This proactive move not only cements E79's control over the asset but also enhances its long-term economics and appeal to investors.
"By exercising the Option early, we’ve secured 100% ownership on more favourable terms, significantly increasing the Project’s potential," - CEO Ned Summerhayes.
The Mountain Home Project
Figure 1: Location map of the Mountain Home Project with the McArthur and Carpentaria Basins.
Tenure: EL32470 (now 100% owned), EL33886 & EL33887 (under application)
Size: Covers 868km² within the McArthur Basin, Northern Territory
Minerals: Copper, gold, and bismuth
Geological Highlights:
Rock chip samples returned assays of up to 45.5% Cu, 11.75 g/t Au, and 9.09% Bi
Located in a known metallogenic province with high discovery potential
This project (Figure 1) stands out not only for its impressive early results but also for its location in a basin known for being the world’s largest accumulation of zinc-lead resources and increasingly attractive for copper-gold exploration.
The McArthur lead-zinc mine has been the cornerstone mining project in the area for decades. Apart from the Merlin diamond mine slightly towards the north, there has not been much action. I completed an honours project here in 1991, and the shoshonitic rocks I had were a mixture of chemistry, with some aligning themselves with alkaline basalts.
I have not looked at where the Mountain Home project lies in relation to the Arunta block, which lies beneath the central part of the Northern Territory geology, but I am pretty sure the exoticness is high on the list for mineralisation.
Rock chips are not something you measure the prospective nature of a project, but it does give you an indication of what could be sitting somewhere in the patch of ground that E79 has. Hard work from here is what will be required, and lots of cash. Hence, it is a very early stage, but I am keen to see what the exploration will uncover.
Continuing Momentum in 2025
With the AAPA heritage licence accepted and the heritage survey pending, E79 is on track to commence drilling in the dry season of 2025. This will be the first major campaign since securing full ownership, and expectations are high following promising geochemical results.
Figure 2: Map of E79 Gold’s exploration projects.
Beyond Mountain Home, E79 Gold holds ~1,838km² of exploration ground (Figure 2), including:
Laverton South Project in the Laverton Tectonic Zone (Western Australia)
Murchison Project (under JV with Scorpion Minerals)
Areas prospective for gold, copper, bismuth, and even diamonds
These projects are strategically located in world-class mineral provinces within the Yilgarn Craton and McArthur Basin, both of which are rich in historical and emerging discoveries.
Why Investors Should Watch E79 Gold:
✅ Full ownership of high-grade copper-gold-bismuth project
✅ Strong value enhancement via reduced royalties
✅ Drill-ready in 2025 with confirmed high-grade surface samples
✅ Strategic position in two Tier-1 mining jurisdictions
Concluding Comments from Samso
E79 is a mineral explorer, and there is no denying that the company has no projects that would come close to attracting lots of funding at this stage of the market. The mineral exploration market is currently at a very difficult stage in terms of funding projects. What E79 has are very supportive shareholders, so from that point of view, shareholders can be grateful.
I am taking some time to review E70 because, as I have mentioned before, I like the two most important parts of accessing companies like E79. These two points are the technical projects and the content of management. I have said enough, and for those that have not seen the Coffee with Samso with E79, please spend some time and check it out below:
Mineral Explorer Perfectly Primed for Value Creation | E79 Gold Mines Limited (ASX:E79) | CWS Ep.201
There is ample time to look at the investment propositions for E79 so as I always say, DYOR and don't forget that there are only two things in life that is a sure thing, Paying Tax and Death. Happy investing.
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