Sunrise Resources Plc Nevada Industrial Minerals Projects - Update (1079H)

TIDMSRES

RNS Number : 1079H

Sunrise Resources Plc

15 August 2016

15 August 2016

Nevada Industrial Minerals Projects - Update

Sunrise Resources plc (ticker symbol 'SRES'), the AIM-traded diversified mineral exploration and development company ("the Company"), is pleased to provide the following update on its industrial mineral projects in Nevada:

COUNTY LINE DIATOMITE PROJECT

   --     Under lease to EP Minerals, LLC 

-- Evaluation work in progress - Project permitted for several drill holes and a programme of trenching.

   --     EP Minerals has paid project claim fees for the year beginning 1 September 2016. 

POZZ ASH PROJECT

   --     Initial concrete tests completed - confirms pozzolan potential. 
   --     Further mineralogical & process testwork underway. 

Commenting today, Executive Chairman Patrick Cheetham said: "We are pleased to be reporting positive progress at our Pozz Ash Project, and to see an active work programme being undertaken by EP Minerals at the County Line Diatomite Project where we look forward to the prospect of advance royalty income from the middle of next year, should their results justify continuation of the lease agreement."

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

Country Line Diatomite Project

This project is located on the border of Nye and Mineral Counties some 200km south west of Reno, Nevada, USA. The 109 project claims cover an area in excess of 8 square kilometres the majority of which is underlain by deposits of diatomite.

Diatomite is an industrial raw material comprised of the hollow and lattice-like silica skeletons of aquatic algae (diatoms). It is mainly used in the filtration of beer, wine, fats, biofuels and fruit juices, etc. It is also used as an industrial filler and in various agricultural and horticultural applications.

The Country Line Diatomite Project is currently leased to existing diatomite producer EP Minerals, LLC and should EP Minerals wish to continue the Lease after 2 June 2017 it must make an initial payment to the Company of US$450,000. Should EP Minerals proceed to develop the leased claims, Sunrise will be entitled to receive a revenue based royalty, further details of which were set out in the Company's news release of 3 December 2015. EP Minerals has the right to withdraw from the Lease at any time.

Earlier this year EP Minerals, LLC applied for, and was granted, a permit for a programme of drilling and trenching and this work is in progress.

The Company notes that the advance claim fees for the year commencing 1 September 2016 have been paid by EP Minerals to the U.S. Bureau of Land Management in the amount of $16,895.

Pozz Ash Project

The Pozz Ash Project is located close to infrastructure in Nevada and comprises an extensive surface deposit of volcanic ash.

The deposit was claimed late last year and has been identified by the Company as a potential source of natural pozzolan* for use in cement and concrete mixtures. "Natural" pozzolans are in their raw state or after calcination and provide a "green" alternative to Portland Cement. Chemical analysis of the Pozz Ash shows it to have a uniform chemical composition over a wide area that meets the requirements for natural pozzolan.

Two bench tests have been carried out by an existing concrete producer using raw Pozz Ash as a replacement for ordinary Portland Cement at 20% and 25% substitution levels. After 28 days setting time the Pozz Ash concrete had between 72-75% relative strength and 9% extra water demand. The extra water demand was considered to be due to the 20% clay content of the Pozz Ash and based on these results it is predicted that the Pozz Ash has good commercial potential if the clay content can be removed or, alternatively, if the raw material is calcined. Calcination is a heating process by which the crystal structure of the contained clay minerals is favorably altered.

A follow up programme of testwork is now in progress at SGS Lakefield in Canada to determine if the clay minerals can be separated from the glass particles within the volcanic ash or if calcination may be required.

Should testwork results continue to be encouraging then a programme of trenching will be undertaken to better evaluate the resource potential of the deposit.

Further information on the Company's industrial minerals projects can be found at:

http://www.sunriseresourcesplc.com

Notes:

*Pozzolan is defined (ASTM C125) as a siliceous or siliceous and aluminous material, which in itself possesses little or no cementitious value but will, in finely divided form and in the presence of moisture, chemically react with calcium hydroxide (lime) at ordinary temperatures to form compounds possessing cementitious properties.

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

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 mining operations to sustain the Company's wider exploration efforts and create value for shareholders through the discovery of world-class deposits.

The Company is exploring a number of precious metal, base metal and industrial mineral projects in Nevada, USA. The Company holds a royalty interest from EP Minerals in a diatomite project in Nevada and holds a white barite project in South-West Ireland. The Company also holds diamond and gold exploration interests in 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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August 15, 2016 02:00 ET (06:00 GMT)