Sign In
Last checked at 
25 Nov 2009 09:28
ο»Ώ
www.sunrisediamonds.com
25Β NovemberΒ 2009
PROSPECTING LICENCE FOR BARITE INΒ SW IRELAND
PreviousΒ DrillingΒ Encountered High-ValueΒ WhiteΒ Barite Mineralisation
MarketΒ OpportunityΒ ForΒ New European ProducerΒ ofΒ Paint-Grade BariteΒ Filler
Β _______________________________________________________________________
Sunrise Diamonds plc ("Sunrise" or "the Company") is pleased to announce that it hasΒ been granted a Prospecting LicenceΒ for base metals,Β barite, silver, gold and platinum group elementsΒ near Bantry, County Cork,Β in theΒ south-westΒ ofΒ Ireland.
The Company isΒ targeting the DerryginaghΒ bariteΒ depositΒ for the production of high-value whiteΒ "paint-grade"Β barite for use as mineralΒ filler in paintsΒ andΒ plastics.Β White paint-grade bariteΒ is the highest-value useΒ for bariteΒ havingΒ significant sales volumes.Β Off-whiteΒ bariteΒ isΒ usedΒ asΒ a lowerΒ valueΒ mineralΒ fillerΒ and high volumesΒ of low-gradeΒ barite areΒ used as aΒ weighting agent in drilling mud in the oil and gas industry.
The Derrryginagh mine was worked in theΒ period 1864-1922, supplying white barite toΒ the local paintΒ industry.Β TheΒ mineΒ workings extendΒ over a strike length ofΒ 200mΒ and to a maximum depth of 60m. In the 1970s the mine workings were de-wateredΒ and mapped by a local company and in the 1980s fourΒ inclinedΒ holes were drilled to intersect theΒ bariteΒ vein at 100 meters below surface by Dresser Minerals International Inc.,Β whichΒ at that time wasΒ a major supplier of drilling mud grade barite around the world.
Β
AllΒ fourΒ DresserΒ holes intersected whiteΒ bariteΒ over an averageΒ interpreted "true"Β width of 2.4m and over aΒ totalΒ strike length of 200m,Β with the vein being open along strike and at depth.
There is a significant demand for whiteΒ paint-grade barite in Europe butΒ there isΒ noΒ majorΒ mine supplyΒ outside ofΒ ChinaΒ andΒ India.Β Consequently there is a niche opportunity for a newΒ European supplierΒ asΒ China's own internal demandΒ limitsΒ traditional exports.Β The price currently quoted for whiteΒ paint-grade barite is Β£195-220/tonne delivered to theΒ UK.Β
The Company will collect samplesΒ of the barite mineralisation forΒ metallurgical characterisation and quality testing before undertaking further drilling and economic evaluation.Β
TheΒ Derryginagh barite project is the secondΒ new projectΒ recently announcedΒ by the CompanyΒ as it seeks toΒ broaden itsΒ geographicalΒ base and widen its commodity interestsΒ which,Β until recently,Β have beenΒ focusedΒ on diamondΒ exploration inΒ Finland.
Further information:
Patrick Cheetham, Sunrise Diamonds plc. Tel: +44 (0)1625-505947.Β Mobile: +44(0)7767 458751
Brett Miller/Gavin Burnell, AstaireΒ Securities plc. Tel: +44(0)20Β 7448 4400
The information in this release has been compiled and reviewed by Mr. Patrick Cheetham (MIMMM, MAusIMM) who is a qualified person forΒ the purposes of the AIMΒ Note for MiningΒ andΒ Oil & Gas CompaniesΒ dated June 2009. Mr Cheetham is a Member of theΒ InstituteΒ ofΒ Materials, Minerals & Mining and also a member of the Australasian Institute of Mining & Metallurgy.
Follow the stocks
