TIDMERIS
RNS Number : 8034Z
Erris Resources PLC
15 January 2020
Prior to publication, the information contained within this
announcement was deemed by the Company to constitute inside
information as stipulated under the Market Abuse Regulations (EU)
No. 596/2014 ("MAR"). With the publication of this announcement,
this information is now considered to be in the public domain.
Erris Resources plc / EPIC: ERIS.L / Market: AIM / Sector:
Mining
15 January 2020
Erris Resources plc
("Erris Resources" or the "Company")
Issue of Option Notice to Acquire 80% of Loch Tay Gold
Project
Erris Resources, the European focused mineral exploration
company with a portfolio of projects is pleased to announce that it
has successfully concluded its due diligence for the Option
Agreement (the "Option Agreement") signed with GreenOre Gold plc
("GreenOre") on 9 December 2019. Erris Resources has today issued
the Option Notice to GreenOre and will proceed with the exploration
work to acquire 80% of the Loch Tay gold project (the "Loch Tay
Project" or the "Project") in Perthshire, Scotland. Full details of
the Option Agreement can be found in the Company's announcement of
10 December 2019.
Overview
-- Project area comprises 237 sq. km of highly prospective
ground within the Grampian Gold Belt, located 43km east of the new
Cononish gold mine
-- Initial results received from the due diligence work at the two priority target areas:
o Glen Almond - two high-grade narrow vein samples from separate
veins grading 10g/t Au or greater
o Ardtalnaig - sample from historic mine dump returned 9.39g/t
Au, 8.37g/t Ag, 1.75% Pb and 8.98% Zn
-- The early success in locating new outcropping high-grade gold
mineralisation at Glen Almond is very encouraging
-- Recent mapping and prospecting have significantly expanded
the footprint of the mineralisation and alteration at Ardtalnaig
with newly identified mineralisation in outcrop located in bedrock
in a burn 2km south-southeast and along trend of the historic
workings at Ardtalnaig
-- Erris now has the option to earn 80% of the Loch Tay Project
by defining a minimum inferred resource of 250,000 ounces gold, to
be defined by an Independent Competent Person, within four years of
the date of the Option Notice
o The ownership of the licence shall then be allocated as to 80%
Erris Resources and 20% GreenOre and any subsequent funding shall
be on a pro-rata basis
Erris Resources CEO, Anton du Plessis, said, "We are pleased
that we can report a satisfactory completion of the due diligence
review and proceed with the Option Agreement with GreenOre to
advance the highly prospective gold targets in the Loch Tay
licence. New results received and further fieldwork carried out
when weather permitted over the past month have been very
successful in expanding the gold potential of the Project's key
targets, Ardtalnaig and Glen Almond.
"Located in a well-mineralised district, our focus is now on
advancing the Project to initial drill-testing, targeting 250,000oz
gold, which is a similar scale to the Cononish resource where a
gold mine is expected to be in production soon. The current mapped
footprint of mineralisation and alteration certainly shows this
potential. I would like to thank our shareholders for their
continued support following the announcement of the Option on the
Scottish project and I look forward to updating them with further
developments."
Further Information - Additional Results from Ardtalnaig and
Glen Almond Targets
Initial sampling by GreenOre and Erris Resources identified the
Ardtalnaig and Glen Almond targets as having excellent gold
potential based on the initial sample results and the presence of
historic workings, mineralised outcrops and alluvial gold
occurrences. New rock sample data received over the past month has
supported this with some significant new results received and more
mineralised outcrops discovered.
Ardtalnaig Target: In the Ardtalnaig area, mapping has expanded
the area of felsites which are a favourable host for structurally
controlled mineralisation while new mineralised outcrops and float
occurrences have been sampled. A sample taken during an Erris
Resources due diligence trip returned 9.39g/t Au, 8.37g/t Ag, 1.75%
Pb and 8.98% Zn from sphalerite and galena bearing granular quartz
in a dump next to the main historic working. Mineralised boulders
containing galena in quartz vein stockworks have been located high
on the mountain well above the outcropping historic workings
suggesting that there is significant vertical extent to the
mineralised structures while other mineralised boulders 2km to the
east of the main workings returned up to 4.67g/t Au and 6.4% Pb.
The Company has successfully located mineralised structures along
trend of the main workings 2km south-southeast of the Ardtalnaig
workings.
Glen Almond Target: The Glen Almond target, located 6.6km south
of Ardtalnaig, also returned encouraging results and the area
warrants further exploration especially when considering that
outcrop is generally confined to stream beds or burns. To date,
results have been received for 13 samples taken in the Glen Almond
area. A selective first pass grab sample from a 5-10cm quartz vein
within a 1m altered zone returned 10.25g/t Au by fire assay. The
aqua regia digest with ICP-MS analysis gave a result of 15.1g/t Au
suggesting the presence of coarse gold. A second sample from
another 5-10cm extensional quartz vein returned an initial result
of >10g/t Au, a fire assay result of 2.32g/t Au and a result of
19.4g/t from aqua regia digest with ICP-MS analysis. This again
suggests the presence of coarse gold which is consistent with the
presence of alluvial gold grains and nuggets in the Almond River.
At another location in the stream bed, a sample consisting of chips
across a 1.5m zone of silicified and weakly pyritised schist with
quartz veinlets returned 0.12g/t Au suggesting that there are more
mineralised structures in the area. Such veins could be a source
for the 10-gram nugget and the 77 fine gold grains which were
panned at a downstream site in July 2019 by a research team from
the University of Leeds. The early success in locating new
outcropping high-grade gold mineralisation is very encouraging as
the Company prepares to explore the area.
Outlook
At the end of December 2019, the Company held approximately
EUR1.5 million in cash and maintains a disciplined approach to
expenditure on its 100%-owned projects. The Board and Management
continue to review projects in low risk jurisdictions
internationally that fit its investment criteria in order to
identify new valuable assets for the Company. In addition, the
Company will continue to seek consulting opportunities and partners
for other projects in its portfolio.
The technical information in this announcement has been compiled
on behalf of Erris Resources by Aiden Lavelle. Aiden Lavelle (BSc
(Hons), MSc, MIGI, P.Geo) is Erris' chief operating officer. Mr
Lavelle has sufficient experience relevant to the style of
mineralisation and type of deposit under consideration, and to the
activity which he is undertaking to qualify as a Competent Person
in accordance with the guidance note for Mining, Oil & Gas
Companies issued by the London Stock Exchange in respect of AIM
Companies, which outlines standards of disclosure for mineral
projects. Mr Lavelle consents to the inclusion in this announcement
of the matters based on his information in the form and context in
which it appears.
*ENDS*
For further information visit www.errisresources.com or
contact:
Anton du Plessis /Aiden
Lavelle Erris Resources plc +353 (0) 94 902 8481
Allenby Capital (Nominated
David Hart/Liz Kirchner Adviser) +44 (0) 20 3328 5656
------------------------------- ---------------------
Shard Capital (Joint
Erik Woolgar Broker) +44 (0) 20 7186 9952
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Zoe Alexander/Andy Turner Pope Investments
Thacker (TPI) Ltd (Joint Broker) +44 (0) 20 3657 0050
------------------------------- ---------------------
Isabel de Salis/Beth St Brides Partners (Financial
Melluish PR) +44 (0) 20 7236 1177
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Notes
Erris Resources plc (EPIC: ERIS.L) is an AIM quoted, European
focused, discovery driven consulting and exploration company,
supported by the Canadian mining major, Osisko Gold Royalties,
which has a 18.9% interest in the Company. The Company has a
portfolio of gold projects in Scotland, Sweden, Finland and Norway
and zinc and base metals assets in Ireland, which it is looking to
further build on. Led by a highly qualified team with extensive
corporate and sector experience, Erris's strategy is to create
shareholder value through commercial discovery of base or precious
metal assets in proven mineral districts and in favourable European
jurisdictions.
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END
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