AIM-listed Sunrise Resources PLC (LON:SRES) is now almost fully focused on its CS Pozzolan-Perlite project in Nevada, US.
In the last three years, pozzolan, and CS particularly, have become the most important area for the group, with most of its other interests either sold or up for sale.
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A second stage of drilling was recently completed to prove up the resource at CS and establish the parameters of a potential open pit operation.
CS also has a perlite credit. Perlite expands up to ten times when heated and because of this property it is used for cavity wall insulation and aerating soil.
Memorandums of understanding for perlite
Sunrise has signed two non-binding memorandums of understanding (MOU) that will pave the way for the first sales of perlite from CS.
Under the terms of the agreements of the MOU, the parties would negotiate a purchase and sales agreement to sell/buy a minimum quantity of raw perlite over a specified period.
Patrick Cheetham, executive chairman, said that while no formal agreements had yet been signed, the combined minimum annual offtake tonnages specified in the two MOUs exceeds expected perlite production when operations get underway.
Demand growing
Natural pozzolans were used in building as far back as Roman times but are enjoying a revival as they are seen as more environmentally friendly than modern alternatives.
Portland cement, commonly used in cement and concrete mixes, for example, is responsible for 5% of global man-made carbon dioxide emissions.
Coal ash
Portland cement manufacturers in the US have also traditionally used fly ash from coal-fired power stations as a key ingredient.
But as US coal-fired power stations are closed on environmental grounds, half have gone since 2010, natural pozzolan producers have seen demand start to rise again.
Sunrise Resources has two other pozzolan/perlite opportunities in Nevada: NewPerl and PozzAsh, though these are at an earlier stage of development than CS.
Baker’s Gold project in Western Australia
Elsewhere, Sunrise Resources has carried out exploration at Baker’s Gold project with infill soil sampling confirmed 500 metres long gold-in-soil anomaly.
This sampling enhanced the value and marketability of the gold project, as the company is looking for a joint venture partner or to sell it outright.