Calidus Launches Drill Campaign at Warrawoona

RNS Number : 5479J

Keras Resources PLC

20 August 2019

 

Keras Resources plc / Index: AIM / Epic: KRS / Sector: Mining

20 August 2019

Keras Resources plc ('Keras' or the 'Company')

Calidus Resources Launches Drilling Campaign

Keras Resources plc, the AIM listed mineral resource company, notes the announcement published today by Calidus Resources Limited (ASX:CAI) ('Calidus'), outlining the launch of a major drill programme in order to increase life of mine ('LOM') at Calidus' flagship asset; the 1.25Moz Warrawoona Gold Project (the 'Project') in the Pilbara region of Western Australia.  A 15,000-metre drilling campaign will target greenfield mineralisation, resource extensions and continue to de-risk the Project through infill drilling.

Calidus recently completed an AUD$9 million placement involving institutional shareholders which will fund this drilling campaign.  Following the placement Keras holds a c.33.8% interest in Calidus.

Highlights

·    A major drilling campaign comprising Reverse Circulation ('RC') and diamond drill rigs has commenced at Calidus' 1.25Moz Warrawoona Gold Project

·    The campaign aims to both improve confidence and expand the mine life outlined in the recent pre-feasibility study ('PFS')

·    The programme includes:

o  6,500m of RC and core drilling, infilling proposed underground resources at the Klondyke deposit

o  3,900m of RC drilling at Klondyke, aiming to convert Indicated to Measured Resources during initial years of production (as per PFS)

o  1,600m of shallow RC drilling at Klondyke East, aimed at expanding pit limits

o  3,000m of RC drilling at Klondyke West, testing a number of high-priority regional exploration targets

o  The drilling will be funded by the proceeds of Calidus' recent $9m share placement 

·    Calidus is well positioned to execute its strategy to undertake ongoing exploration in parallel with delivering a Definitive Feasibility Study in Q3 2020

Russel Lamming, CEO of Keras Resources, commented, "Following Calidus' successful capital raising of AUD$9 million, it is using the funds to accelerate drilling programmes over the Project, aimed towards defining and capitalising on the huge potential upside at Warrawoona.  This is an exciting time for Calidus as it moves towards getting another extensive drill campaign underway, with the overall goal of extending mine life and increasing confidence in the Project's Mineral Resources."

The information in this RNS has been extracted from the ASX announcement made by Calidus Resources Limited on 21 March 2019.  To view a full version of the Calidus announcement, which includes figures and maps, please click here: https://www.calidus.com.au/investors/asx-announcements/. For more information on Calidus and Warrawoona, please visit www.calidus.com.au.

For the purposes of MAR and Article 2 of Commission Implementing Regulation (EU) 2016/1055, this announcement is being made on behalf of Russell Lamming, Chief Executive Officer.  This announcement contains inside information for the purposes of Article 7 of Regulation (EU) 596/2014.

**ENDS**

For further information please visit www.kerasplc.com, follow us on Twitter @kerasplc or contact the following:

Russell Lamming	Keras Resources plc	[e-mail]
Nominated Adviser & Broker Ewan Leggat / Charlie Bouverat	SP Angel Corporate Finance LLP	[phone]
Financial PR Isabel de Salis / Cosima Akerman	St Brides Partners Ltd	[phone]

Notes

Keras Resources plc is focused on building a strategic portfolio of resource assets. The Company provides investors with exposure to a portfolio of development assets, including manganese, cobalt and nickel in Togo, West Africa.  It also has a significant interest in Calidus Resources Limited ('Calidus'), a highly prospective gold exploration and development company in Australia, which completed a Pre-Feasibility Study at its Warrawoona gold project in July 2019.  Keras benefits from a highly skilled management team, which has extensive operational experience in Africa and Australia and proven success in advancing assets up the value curve.

 

END

 

 

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