Conroy Gld&nres Regulatory News (CGNR)

9 Feb 2005 09:00

Conroy Diamonds & Gold PLC09 February 2005 Conroy Diamonds and Gold plc FINDS ANOMALOUS BEDROCK GOLD ON ONE OF THREE PROSPECTIVE AREASIDENTIFIED BY RECENT CONSULTANTS' REPORT - Two Mineralised Zones 400m Apart Outlined At Slieve Glah Prospect- SRK Interprets Presence Of Major Deep-Seated Lineament In Area- Deep Sampling Has Covered Only One Fifth Of Original Soil Anomaly AIM-listed Conroy Diamonds and Gold Plc says that recent deep overburdensampling has outlined two zones of anomalous gold mineralisation 400m apart atits Slieve Glah prospect in County Cavan. This lies 45km south-west of theArmagh-Monaghan Gold Belt at the south-western end of the company's 1,500km2exploration licences over the Longford-Down Massif. Commenting today, Chairman, Professor Richard Conroy said: "Exploration atSlieve Glah is still at a very early stage, but results so far indicate thatthere is excellent potential for another gold discovery in the Longford-DownMassif." To date, all of the company's gold discoveries in the Massif are spaciallyrelated to the Orlock Bridge Fault and are seen to be structurally controlled.Conroy previously identified Slieve Glah as a structural target because asignificant strike swing of the Orlock Bridge occurs at that point and may havecreated a dilation zone in the area. Significant mineralisation can beassociated with dilation zones. Significantly, in its recent report on Conroy's Irish gold prospects, SRKConsulting identified Slieve Glah as one of three particularly prospective areason Conroy's exploration licences in the Longford-Down Massif. SRK based itsselections on structural interpretation and lineament analysis which indicatethat a major deep-seated lineament intersects the Orlock Bridge Fault in theSlieve Glah area. In this context the consultants comment that major economicgold deposits elsewhere in the world have often been found on such lineaments. Previous exploration by Conroy at Slieve Glah outlined anomalous gold in soilover an area covering more than 5 km2. As part of the company's Autumn-Winter2004 exploration, a programme of grid-based deep overburden sampling coveringapproximately 1 km2 of the original anomaly was completed at Slieve Glah. Thissampling technique has been successfully employed by the company to tracebedrock sources for large gold in soil anomalies at other locations in theLongford-Down Massif, most notably at the company's recent discovery at Glenishin County Monaghan. At both Glenish and Slieve Glah, deep overburden samplinghas been employed in order to optimise sample collection at the interfacebetween bedrock and glacial till. Sampling at Slieve Glah was carried out over a 100m by 100m grid and involvedcollection of approximately 80 bedrock samples. Assay results from these samplesshow two anomalous zones of gold in bedrock on a roughly north - southorientation approximately 400m apart. It is important to note that mostoccurrences of gold mineralisation discovered so far by Conroy in theLongford-Down Massif show a similar orientation, including those atTullybuck-Lisglassan and Cargalisgorran. To date, only about one-fifth of the original soil anomaly at Slieve Glah hasbeen followed-up with deep overburden sampling. Further Information: Professor Richard Conroy, Chairman Conroy Diamonds and Gold Plc.Tel: 00-353-1-661-8958 Ron Marshman/John Greenhalgh, City of London PR Limited.Tel: 020-7628-5518 Visit website at: www.conroydiamondsandgold.com This information is provided by RNS The company news service from the London Stock Exchange