Conroy Gld&nres Regulatory News (CGNR)

6 Oct 2009 07:00

6 October 2009 Conroy Diamonds and Gold P.l.c. ("Conroy" or "the Company")

Further encouraging sample results from zinc discovery south of Clay Lake

* Zinc-In-Soil Values Up To 4,047ppm; Typical Background Less Than 200ppm

* Three Anomalies Merge To Form Single 8km2 Target Area That Remains Open

* Further Evidence Of Presence Of Large, Zoned Metalliferous System

Conroy (AIM:CDG) announces that further positive results have been returned from infill and regional soil sampling of the previously announced zinc discovery on its Irish prospecting licences in Counties Monaghan and Armagh, with values ranging up to 4,047 parts per million ("ppm") zinc.

The infill sampling has resulted in three separate zinc-in-soil anomalies, outlined in the Company's earlier programme, merging into a single, extensive anomaly covering an area of more than 8km2 (4km by 2km). This anomaly remains open to the north, south and west.

The anomalies are located just a few kilometres to the south-east of the Company's one million ounce gold discovery at Clontibret in Co. Monaghan (the primary focus of the Company's activities), and to the south of the large gold anomaly recently discovered at Clay Lake in Co. Armagh.

A total of 166 samples (137 infill; 29 regional) were collected and analysed, returning an average value of 466 ppm zinc. Individually, 55 samples assayed over 500ppm, including eight of more than 1,000ppm. Typical background zinc-in-soil values in the area are less than 200ppm.

The geology underlying the anomalies, comprising fine to coarse grained massive greywacke sandstones, micro-conglomerates, black shales, mafic volcanics and tuffs, is comparable to the Caledonian geology of Scandinavia which hosts stratabound base-metal sulphide deposits.

All of the Company's prospecting licences in Ireland lie within the Longford-Down Massif, a major geological structure. Apart from Clontibret, it also features a number of near-surface lead and zinc orebodies which supported historic production in the nineteenth century. These include the Annaglogh lead-zinc-copper mine which was to the west of these new zinc anomalies.

The latest results provide further evidence of the presence of a significant metalliferous system in the area which appears to be a zoned: a zinc zone indicated by the latest sampling, progressing through a lead zone on which the historic lead mines were located, into a gold zone, where significant targets have been identified at Clontibret and Glenish in Co. Monaghan and Clay Lake in Co. Armagh.

Commenting today, Chairman Professor Richard Conroy said:

"Whilst we remain focused on delineation and development of the Clontibret gold target, the latest sampling results increase the possibility that we have also made a significant zinc discovery nearby. The merging of three previously discovered zinc anomalies into a very large single target, sample values substantially higher than typical background and historic base metal mining in the region, all indicate that the area has significant upside potential."

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 Conroy Diamonds and Gold Plc Professor Richard Conroy, Chairman +353 1 661 8958 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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