2nd Jun 2016 10:59
LONDON (Alliance News) - Conroy Gold & Natural Resources PLC shares soared on Thursday after the company kick-started its drilling programme over its targets in Ireland as the miner searches for more gold.
Conroy Gold was the best performer on AIM on Thursday morning as shares were trading up 32% to 31.0 pence per share.
The drilling programme is initially targeting the company's Glenish prospect, a 147-hectare gold target, which when completed will also fulfil the company's work commitment on the licence. The aim of the programme is to test for the possible presence of gold-in-bedrock within the southern portion of the Glenish target area.
Glenish lies around 7.5 kilometres away from the company's Clontibret project at the junction of two major geological structures - the Orlock Bridge and Glenish Faults. Previous channel sampling at Glenish delivered results up to 1.3 metres at 9.4 grammes of gold per tonne of ore.
Once completed, Conroy said it will begin to drill the Clay Lake and Clontibret gold projects in Ireland, which it has combined into one project which has a projected target resource of 5.0 million ounces of gold.
That projected target came from an independent study published in late March, when the company said the 5.0 million ounce target was "conceptual in nature" as it warned there was no certainty that any future resource update would come close to that figure.
Notably, Clontibret has a JORC-compliant resource of over 600,000 ounces of gold - and that only covers around 20% of the overall geochemical target area, meaning the other 80% could still deliver more gold.
"I am very pleased that we have commenced our current drilling programme. I look forward to the results of the drilling on our Glenish gold target and on the combined Clay Lake-Clontibret gold project," said Chairman Richard Conroy.
By Joshua Warner; [email protected]; @JoshAlliance
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