Sunrise Resources Plc (LON:SRES) is expecting new shares in VR Resources Ltd, in which it already holds an interest, as the company began preparations for drilling at the Junction Copper-Silver-Gold Project area in Nevada, USA.
Patrick Cheetham, executive chairman of Sunrise, said that the commencement of drilling would trigger the issue of 50,000 VR shares to Sunrise as per a sale agreement signed in August last year, taking the total shares issued under the agreement so far to 100,000.
WATCH: Sunrise Resources chairman spells out steps towards production at CS Project
The company said VR had received final approvals for drill permits and start-up was planned for later this month.
VR’s target areas for drilling include the Denio Summit, which lies within Sunrise’s area of interest, defined as the original 15 mining claims staked by Sunrise on the Denio Summit target and to all claim areas staked by Sunrise or VR within a 2-mile area surrounding these.
Sunrise said VR would drill-test several anomalies in the Denio Summit area, including a series of mineralized quartz-feldspar granite dykes and gold-bearing quartz veins at surface along a 1.5 kilometre trend, a broad soil anomaly with copper, silver, gold and tungsten enriched in multiple stations on multiple lines, and chargeability and resistivity anomalies below the surface dykes.
In late-afternoon trading Wednesday, Sunrise shares were steady around 0.1p.