Conroy Gold & Natural Resources Plc - Update on Joint Venture
("Conroy Gold" or "the Company")
UPDATE ON JOINT VENTURE
-- Demir Export and Conroy Gold enter into binding agreement to exit joint venture agreement withNet Smelter Royalty
-- €5.65 million expenditure completed by Demir Export
-- Major progress achieved during Joint Venture included the discovery of a Second District Scale Gold Trend
-- New partner to be sought for ongoing exploration and development
The Company is pleased with the progress that has been achieved during the JV and now holds licences over two district scale gold trends, the already established
The district scale gold trends are located along the extension of the geological structural corridor from the
The two gold trends total between them over ninety kilometres, with multiple mineralisation styles ranging from lower grade refractory mineralisation (averaging 2.0g/t Au) through to very high grade vein hosted visible gold mineralisation (grading up to 123 g/t Au in rock chip sampling).
Drilling and exploration success over these trends during the past 30 months has included:
-- excellent gold intersections from drilling of the stockwork zone of the Clontibret gold target in theOrlock Bridge trend;
-- continuity between the Clontibret gold deposit and the Corcaskea gold target;
-- confirmation, through step-out drilling, of the potential of the extensiveClay Lake gold target (6Km in length by 2Km in width in some places) for high tonnage and overall gold content; and
-- the discovery at Creenkill, along the Skullmartin gold trend, of visible gold and gold assay results of up to 123 g/t Au (4oz gold per tonne) is particularly significant
Under the terms of the NSR agreement, with effect from commercial production, a net smelter return, at a rate of 2%, will be paid to Demir Export calculated on the sales of minerals. The maximum aggregate amount payable to the Royaltyholder (being Demir Export) shall be capped at the amount of the total investment by Demir Export.
The 15 licences that were subject to the JV with Demir Export will continue to be held within wholly owned subsidiaries of Conroy being: (i)
The Clontibret gold deposit to date has a defined gold resource of 517,000oz (JORC 2012).
The deposit shows at shallow depths a similar style of mineralisation to the shallow section of the
A new partner will now be sought by Conroy Gold to build on the success achieved to date and on the potential for the development of one, or more, gold mines along the district scale gold trends which the Company has discovered.
Professor
"I would like to express my appreciation for the contribution which Demir Export has made in conjunction with Conroy Gold to the continued success of the Company's exploration programme and its potential for gold deposits with high tonnage and overall gold content.
"Conroy Gold now holds licences over two district scale gold trends, which includes the Clontibret gold deposit with its similarities to the very major
In the year to
For further information please contact :
Conroy Gold and Natural Resources plc Tel: +353-1-479-6180 ProfessorRichard Conroy , ChairmanAllenby Capital Limited (Nomad) Tel: +44-20-3328-5656Nick Athanas /Nick Harriss Peterhouse Capital Limited (Broker) Tel: +44-20-7469-0930Lucy Williams /Duncan Vasey Tel: +44-20-3290-0707Lothbury Financial Services Michael Padley Hall Communications Tel: +353-1-660-9377Don Hall
Visit the website at: www.conroygold.com
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