Conroy Gold and Natural Resources PLC (AIM:CGNR, OTC:CGDNF) said results from two holes drilled at the Clontibret gold deposit in Ireland by Demir Export AS confirmed previous exploration work and made a new discovery.
Demir Export, a Turkish mining company, drilled the holes as part of its due diligence and validation programme prior to entering into a joint venture agreement with Conroy Gold. The two companies signed the joint venture agreement last month.
Drill hole TW001 confirmed the known lode mineralisation and also targeted deeper stockwork zone mineralisation, where the ore is found in irregular formations of veins, that had not yet been tested at depth in this area of the deposit.
Conroy said it believes the new discovery of stockwork mineralisation in TW001 is of great significance as it represents the widest gold intersection drilled to date at Clontibret. The 94.5 metre (m) wide intercept in the stockwork zone graded 1.0 grammes a tonne (g/t) gold with a higher-grade intercept of 45.0m grading 1.5 g/t gold in the centre of the wider zone. The gold grade is continuous and relatively uniform throughout these intercepts, it said.
“The due diligence and validation drillholes completed by Demir Export have confirmed and added to the understanding of the Clontibret gold deposit built up by Conroy Gold,” said Conroy chairman Professor Richard Conroy.
“The board believes that the confirmation of the gold grades encountered in the lode zone and the discovery of the widest gold intercept yet at Clontibret in the stockwork zone indicates there is the potential to increase the overall gold content of the deposit.”
The second hole, TW005, confirmed the potential to expand the existing resource towards the southwest of the deposit.
“Demir Export has the mining expertise and the financial resources not only to bring the Clontibret gold deposit to construction ready status and into operation as a mine, but also to advance the significant gold potential of the other licences along the gold trend to the same status,” said Richard Conroy.