Sunrise Resources Plc Pozz Project - 2017 Programme (0057V)

TIDMSRES

RNS Number : 0057V

Sunrise Resources Plc

25 January 2017

25 January 2017

SUNRISE RESOURCES PLC

("Sunrise Resources" or the "Company")

POZZ PROJECT - 2017 PROGRAMME

Sunrise Resources plc (ticker symbol 'SRES'), the AIM-traded diversified mineral exploration and development company ("the Company"), is pleased to advise the commissioning of a Concept Study for development of its CS natural pozzolan project in Nevada and to provide further details of the work programme proposed for the first half of 2017. Natural pozzolans are seeing increased use in cements and concrete as a "greenhouse gas friendly" alternative to Portland cement.

HIGHLIGHTS:

Following the receipt of positive testwork results for the CS Pozz Project (as announced on 22 December 2016):

-- The Company has retained Magmatics Inc., a consulting firm with expertise in natural pozzolans, to assist in the development of the CS Pozz Deposit.

-- A Concept Study has been commissioned to establish parameters and timeline for the commercial production of natural pozzolan from the CS Project; to be completed by the end of Q1, 2017.

-- A preliminary field visit has been completed by Magmatics and additional testwork samples have been collected.

   --    Variability and optimisation testwork to run in parallel to the Concept Study. 

Commenting today, Executive Chairman Patrick Cheetham said: "We are delighted to have retained Magmatics Inc. and its principal, Joseph Thomas, who has over 20 years' experience in natural pozzolan and is well placed to assist in the evaluation and development of this project. The CS Pozz Project is a valuable addition to our industrial minerals portfolio which includes the large County Line Diatomite Project currently leased to EP Minerals, LLC, where we look forward to the possibility of royalty cash flow in June this year, and the recently acquired Ridge (high-grade) Limestone Project."

Further information:

 
 Sunrise Resources plc 
  Patrick Cheetham, Executive Chairman    Tel:    [phone] 
 
 Northland Capital Partners Limited 
  Nominated Adviser & Broker 
  Edward Hutton/David Hignell 
  John Howes/Rob Rees                     Tel:    [phone] 
 Beaufort Securities Limited 
  Joint Broker 
  Jon Belliss                             Tel:    [phone] 
 

Detailed Information

The Company's Pozz Project was established to search for and acquire, at low-cost, deposits having potential for the production of natural pozzolan. Further details on the Company's opportunity in natural pozzolan can be found on the Company's website at: http://www.sunriseresourcesplc.com/projects/pozz-overview

The staking of the CS Deposit in Nevada was announced on 14 November 2016 and the Company has moved quickly to carry out initial testwork. The results of this testwork, announced on 22 December 2016, were very positive for the production of natural pozzolan and justify an ambitious programme to evaluate the economic viability of the project.

The Company has therefore signed a retainer agreement with Magmatics Inc. to provide consultation services including:

   --     an initial Concept Study for development of the CS Deposit. 
   --     laboratory testing services to optimise the processing of pozzolan from the CS Deposit. 
   --     supervision of the certification process for Sunrise's pozzolan. 
   --     liaison with outside agencies, government departments and concrete and cement producers. 

The principal of Magmatics, Joe Thomas, is an acknowledged expert on the application of natural pozzolans and is a voting member of both the ASTM(1) and ACI(2) pozzolan committees. He has over 20 years' involvement in the development of natural pozzolan products for market including over 16 years as Vice President - R&D at Hess Pumice Products, a leading producer of natural pozzolan (Hess Pozz) in Idaho.

The Concept Study is being carried out as a high level study to define the parameters required for a commercial operation and guide the further assessment of the Company's project. It will include an initial evaluation of:

   --     target markets for initial production. 
   --     target market size and value. 
   --     appropriate start up production rates and production strategies. 
   --     minimum deposit size/quality required(3) (.) 
   --     parameters for Capex/Opex and Revenue estimates. 
   --     key steps, budgets and timelines for the project leading up to a production decision. 

Magmatics' laboratory testwork will initially test variability in the performance of samples from across different areas of the deposit at surface. This will allow decisions to be made on compositing samples for optimisation testwork as well as drill hole spacing for resource definition drilling.

Magmatics has completed an initial field visit and collected samples for testwork.

Further testwork will aim to optimise Sunrise's pozzolan product specifications in cement or concrete while maintaining economic viability in terms of processing costs. It will also test Sunrise's pozzolan in new applications such as geo-polymers, ultrafine grouts, cementitious blends, etc. and generate baseline data that will be useful for future projects involving the pozzolan.

The Company expects the Concept Study to be completed by the end of Q1 2017.

Notes:

1. ASTM International, a globally recognized leader in the development and delivery of voluntary consensus standards.

   2.   ACI, the American Concrete Institute 

3. Whilst the Company has established that its CS mining claims contain significant outcrop areas and exposed vertical thicknesses of glassy rhyolite meeting the chemical requirements for natural pozzolan, the Company has not yet carried out any drilling and no code-compliant Exploration Target or Mineral Resource or Ore Reserve has been defined.

4. This announcement contains inside information for the purposes of Article 7 of Regulation (EU) 596/2014 of the European Parliament and of the Council.

5. The information in this release has been compiled and reviewed by Mr. Patrick Cheetham (MIMMM, MAusIMM) who is a qualified person for the purposes of the AIM Note for Mining and Oil & Gas Companies. Mr. Cheetham is a Member of the Institute of Materials, Minerals & Mining and also a member of the Australasian Institute of Mining & Metallurgy.

Notes to Editors:

About Sunrise Resources plc

Sunrise Resources plc is an AIM-traded diversified mineral exploration and development company. The Company's objective is to develop profitable industrial minerals mining operations to sustain the Company's wider mineral exploration efforts and create value for shareholders through the discovery of world-class precious metal and diamond deposits.

The Company holds a royalty interest from EP Minerals, LLC in a diatomite project in Nevada and is evaluating deposits of natural pozzolan and high-grade limestone. It is also exploring for silver, gold, and diamonds in Nevada and Western Australia.

Shares in the Company trade on AIM. EPIC: "SRES"

Website: www.sunriseresourcesplc.com

This information is provided by RNS

The company news service from the London Stock Exchange

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January 25, 2017 02:00 ET (07:00 GMT)