New US subsidiary and projects

RNS Number : 6611Y

Sunrise Resources Plc

19 May 2016

 

19 May 2016

New Subsidiary - Westgold Inc.

Claims staked at Clayton and Newark Projects

Sunrise Resources plc (ticker symbol 'SRES'), the AIM-traded diversified mineral exploration and development company ("the Company"), is pleased to advise that further to its announcement of 7 April 2016 it has incorporated a 100% owned subsidiary in Nevada USA, Westgold Inc.("Westgold").

Westgold has initiated a claim staking programme with claim rights already secured over two project areas in Nevada - the Clayton Silver-Gold Project and the Newark Gold Project.

Westgold is a special purpose vehicle for the low-cost acquisition of precious metals projects in the western USA and will operate as a project generator. It is expected that new projects will be acquired primarily through staking claims on open ground, although Westgold will also consider low-cost lease arrangements where appropriate.

The objective is to generate gold and silver project opportunities that can be leased out, sold or joint ventured to capitalize on the high level of interest in gold and silver in North America and generate returns for the Company. The incorporation of a separate subsidiary increases the Company's flexibility to valorize its projects as a package in future. The Company's interest in the Bay State Silver Project and two other precious metals projects in Nevada may be transferred to Westgold in future.

Westgold is targeting projects where drilling or other sampling methods have confirmed the presence of gold and silver and indicate the potential to define a resource with further work or where there is geological potential for multi-million ounce discoveries.

The Clayton Silver-Gold Project is an epithermal gold project located in the Walker Lane Mineral Belt. It lies 30km southeast of the producing Mineral Ridge Gold Mine and 30km southwest of the major historic mining centre of Goldfield where a number of large gold-silver deposits are currently under development. The project was last explored in the 1980s and drilling has recorded a number of significant silver-gold intersections.

The Newark Gold Project is targeting sediment hosted "Carlin-style" gold mineralisation. It is located at the south end of the famous Battle Mountain-Eureka gold trend at its intersection with the Alligator Ridge gold trend. Many of Nevada's largest gold mines, which include some of the largest gold mines in the world, are based on Carlin-style deposits. The Newark Project lies 40km south of and along the same structural zone as the past-producing Alligator Ridge Mine, 12km north of the Mt. Hamilton gold project and 20km east of the Pan Gold Mine. Limited drilling at Newark in the late 1980s identified gold anomalous jasperoids in a favorable structural and stratigraphic setting with a typical Carlin-style geochemical signature.

The Company is currently compiling and sourcing historical drilling results from these two projects and further information will be released in due course.

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]

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"

http://www.sunriseresourcesplc.com

 

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