www.connemaramining.com
Connemara Mining Company plc was established in 2006 by veterans of the Irish zinc industry to exploit zinc opportunities in Ireland and currently holds 38 prospecting licences in central and south-west Ireland. Connemara’s licences are for some or all of the base metals (Bm), barite (b), gold (g), silver (s), and platinum group elements (PGE). The Connemara exploration philosophy is trendology and closeology - follow the mineralised trends and obtain ground as close as possible to existing or former zinc/lead mines.
Connemara Mining continues to progress Limerick zinc exploration
Connemara Mining (LON:CON), the Irish zinc explorer saw full year losses grow slightly as it continued to progress its exploration work in the Connemara area of Limerick, Ireland.
Full year pre-tax losses for the year to December 2010 came in at £299,600 versus £269,900, with operating losses rising to £301,750 from £283,270.
John Teeling, chairman of Connemara, assured that good results are continuing to flow from drilling in the Stonepark region of Connemara in particular. In total the company has six drill rigs are working on the Connemara ground.
Over its 2011 year, its joint venture with Teck of Canada will drill 65 holes to better define significant zinc discovery in the Stonepark area.
Adjacent to Stonepark, Xstrata/Minco have a very large and growing zinc discovery. Currently a prefeasibility study is ongoing on the Xstrata/Minco ground where a 24million ton reserve grading 10% combined zinc and lead has been reported. It is now almost certain that the next world class zinc mine will be developed in Limerick. Connemara holds 16 licences in the Limerick area.
The current drill programme for Stonepark has two objectives - close in drilling to better define Stonepark/Stonepark North and distant drilling from 1 kilometre to 10 kilometres away to try to get an understanding of the geology and the potential size of an orebody. Encouraging results have come from an area 1 kilometre to the southwest of Stonepark North.
Teeling said: "The Limerick discovery remains a work in progress. Results are very good but not yet definitive. It remains an exploration play. The current intensive drilling will provide a clearer picture by the end of 2011."
He said that not only is Connemara is fully financed for current exploration plans but that the company overall is funded through 2011 and 2012 on current expenditure proposals.
Elsewhere, the company is also in advanced stage negotiations ongoing to joint venture the Lough Sheelin block of licences.
Teeling added: Turning these discoveries into commercial mining operations needs well-funded strong partnerships with major companies who can access world markets. The Limerick discoveries have the potential to be very big and rich, but they must be proven. The only true lie detector in mining is a drill hole.
“Although a drilling programme can be costly and time consuming our experienced technical team can provide the Company with cost effective results. I have every confidence that patience will be well rewarded.”
Connemara shares opened this morning on 16p.
