Thursday 21 June 2018

Conroy Gold increases drilling in Monaghan following 'positive' results

Stock photo: Reuters
Stock photo: Reuters
Ellie Donnelly

Ellie Donnelly

Natural resource exploration company Conroy Gold has announced plans to increase drilling at its gold deposit site in Monaghan.

The gold exploration and development company, which is focused on Ireland and Finland, will increase the meterage drilled by around 70pc to over 1,700 metres at the Clontibret gold deposit.

"We decided to materially increase the drilling meterage at Clontibret following the recent positive drilling results," Professor Richard Conroy, chairman of Conroy Gold, said.

"The board is very enthusiastic that it now has reached the "drill ready" phase across its properties with a view to building a multi-million ounce resource in a first class mining country."

Today’s update follows an initial announcement in February this year to drill 1,000 metres to target an increased resource and to increase the existing Joint Ore Reserves Committee Indicated Resource of the known deposit.

In February and April the company announced the discovery of additional extensive gold zones, with wide mineralised intersections reported and with grades of up to 24 grammes per tonne gold.

Work is ongoing on this additional drilling and, in a statement to the Irish Stock Exchange today, the company said it will update the market as new findings are confirmed.  

Analysis of drill results and geotechnical studies is continuing and the company awaits assay results from the latter stages of the revised drill programme.

The news is a welcome boost to the company, which in February announced losses of €458,222 for the six-month period to November 30, 2017, according to the group's financial report.

The loss before taxation has increased from a loss of €178,660 in the same period in 2016.

Last year, the company found itself embroiled in legal proceedings after Patrick O'Sullivan, a minority shareholder, claimed that he and his two nominees had been wrongfully stopped from becoming members of the board of directors at the company's EGM in August.

Conroy Gold was successful against Mr O'Sullivan in the proceedings and costs were awarded to the company, with a stay on that order pending any appeal.

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