Herencia Resources PLC Drilling Commences in Chile (3997Y)

TIDMHER

RNS Number : 3997Y

Herencia Resources PLC

05 December 2017

Herencia Resources plc

("Herencia" or "HER" or the "Company")

Herencia Commences Copper Drilling Program in Chile

Herencia Resources plc (AIM: HER) is pleased to announce that it has commenced a significant drill program on its highly prospective Pastizal/Picachos copper field in central Chile.

The drilling program will test the newly acquired Pastizal tenement (See Figure 3) abutting the Picachos lease and consist of 3,000 metres of Reverse Circulation (RC) drilling.

Following the recent geological review of Herencia's copper properties Herencia has planned the drilling program to test under the current mine workings at Pastizal, Montenegro and Pastizal Norte as shown in green outline in Figure 3.

The geological review, conducted by Herencia's Geological Advisor, experienced international Geologist John Holliday, concluded that he believes significant upside exists for the discovery of further copper mineralisation if future drilling focuses on the 'main mineralised manto .... a cherty limestone at the base of a sedimentary sequence above a volcanic breccia'. Herencia is now testing that potential with this program.

Commenting on the program Chairman Mr Peter Reeve said, "Following a period of intense restructuring and adjustment, Herencia Resources is now getting back to the basics of drilling and evaluating its very prospective copper properties. At a time of rising copper prices and refocus on the junior exploration sector, very little value has been ascribed to Herencia for these strongly mineralised tenements in a field which is proven for returning high grade copper drill results".

Previous drilling during 2015 in the adjoining Picachos tenements, which hosts the same mantos mineralisation as Pastizal, intercepted mineralisation in 28 of the 29 drillholes with broad zones of medium grade copper interspersed with high grade copper intercepts within the mantos zones. The full details of the 2015 drill program are set out in the annoucement dated 26 August 2015.

One of the most interesting results of this style was drilled at the '40m Shaft' prospect (see Figure 1) where significant copper was intersected with; PP 14019 returning;

91 metres @ 1.42% copper and 13.5 g/t silver

Including 20 metres @ 3.10% copper and 25.4 g/t silver

Herencia expects this type of mineralised pattern to be found over several distinct areas in the tenement block

http://www.rns-pdf.londonstockexchange.com/rns/3997Y_-2017-12-5.pdf

Figure 1: High grade drill results at the 40m Shaft Prospect

Another significant success in the field was at Picachos in 2014 (see announcement dated 18 December 2014) where Diamond Drill Hole (DDH) 14003 targetting the southern end of the Picachos deposit (see Figure 2) successfully drilled down the dipping manto for approximately 250m intersecting good copper grade mineralisation as follows;

   --    27m grading 1.18% Copper (Cu) from 182m, 
   --    30m grading 0.94% Cu from 213m, and 
   --    51m grading 1.44% Cu from 248m and opening up deep exploration potential in that area. 

DDH 14003 demonstrates that the main manto horizon has good potential for consistent grade and regular-shaped mineralisation and supports the geological review indicating these structures as the main target zones for Herencia's future drilling campaigns. Significantly, little drilling has been focussed on the chert sequence in the Pastizal/Picachos field where XRF surface samples grading 7.54% and 3.77% copper have been measured.

http://www.rns-pdf.londonstockexchange.com/rns/3997Y_-2017-12-5.pdf

Figure 2: High grade copper intercepts from DDH 14003

http://www.rns-pdf.londonstockexchange.com/rns/3997Y_-2017-12-5.pdf

Figure 3: Pastizal lease

http://www.rns-pdf.londonstockexchange.com/rns/3997Y_-2017-12-5.pdf

Figure 4 Picachos tenement location

http://www.rns-pdf.londonstockexchange.com/rns/3997Y_-2017-12-5.pdf

Figure 5 Picachos tenements near existing treatment plants

For further information please contact:

   Peter Reeve, Herencia Resources plc                                           +61   3 9516 6500 
   Jeff Williams, Herencia Resources plc                                           +61   3 9516 6500 
   Katy Mitchell, WH Ireland Limited (NOMAD)                                 +44   161 832 2174 
   Jon Belliss, Beaufort Securities Limited (UK)                               +44   207 382 8300 

Further background details on the Company can be found at www.herenciaresources.com

This information is provided by RNS

The company news service from the London Stock Exchange

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December 05, 2017 03:32 ET (08:32 GMT)