14 September 2009
Conroy Diamonds and Gold P.l.c.
("Conroy" or "the Company")
Understanding of Clay Lake gold target enhanced by further sampling and mapping
* Rock Chip Sampling Returns Positive Additional Gold-in-Bedrock Values
* Wide Section Of Faulting And Shearing Includes Five Sulphide-Bearing Zones
Conroy (AIM: CDG) announces that systematic rock chip sampling and detailed
geological mapping of a stream bed in the north-west corner of its Clay Lake
gold anomaly in Co. Armagh has returned positive results for gold-in-bedrock
and also indicated a far broader zone of faulting and shearing than suggested
by initial reconnaissance work.
The 40 rock chip samples collected from the southern section of the stream bed
returned gold values ranging up to 0.87 grammes per tonne.
The detailed mapping identified a 40 metre wide zone of faulting and shearing
within a sequence of folded sandstones and shales. Five sulphide-bearing fault
gouge zones, each 1-3 metres wide and trending east-west, have been identified
within this 40 metre fault zone, and positive sampling results for gold were
returned from each of the faulted zones where sulphide mineralisation was
identified.
The sampled stream is located on the edge of the Clay Lake anomaly and has a
similar north-south orientation to the mineralised lode zones identified on the
Company's Clontibret and Cargalisgorran gold targets. The latest results
suggest that gold and associated sulphides from a potential north-south
trending source in the vicinity of the stream are disseminating into the
east-west faults exposed in the stream bed.
The Clay Lake gold anomaly is located about 7km to the north-east of the
Company's Clontibret gold discovery in Co. Monaghan, where a JORC-compliant
resource of over 1 million ounces of gold has thus far been identified within
about 20 per cent of the total target area.
The Clay Lake gold-in-soil anomaly covers an area of about 141 ha. It is larger
than that at Clontibret (125 ha), and sampling has returned the highest
gold-in-soil values ever recorded by the Company.
Commenting today, Professor Richard Conroy said:
"This work has enhanced our understanding of the north-west portion of the Clay
Lake gold anomaly. We now have a more detailed picture of its geology and a
better appreciation of the gold mineralisation within it. We remain very
excited about the potential of this gold target".
This release has been approved by Kevin McNulty PGeo, who is a member of the
Company's technical staff, who holds a BSc/MSc in Geology and Remote Sensing,
in accordance with the guidance note for Mining, Oil & Gas Companies issued by
the London Stock Exchange in respect of AIM Companies, which outlines standards
of disclosure for mineral projects.
Enquiries:
Conroy Diamonds and Gold Plc
Professor Richard Conroy, Chairman +353 1 661 8958
City Capital Corporation Limited
Charles Dampney +44 20 3178 3399
John East & Partners Limited, a subsidiary of Merchant Securities Plc (Nomad)
Simon Clements/Virginia Bull +44 20 7628 2200
Lothbury Financial
Ron Marshman/Michael Padley +44 20 7011 9411
Further details on Conroy Diamonds and Gold can be found on its website at:
www.conroydiamondsandgold.com
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