Sunrise Res Regulatory News (SRES)

22 December 2016

POZZ PROJECT TEST RESULTS

Sunrise Resources plc (ticker symbol 'SRES'), the AIM-traded diversified mineral exploration and development company ("the Company"), is pleased to provide an update on testing of samples from its Pozz Project deposits in Nevada.

The Pozz Project comprises two separate mineral deposits (the CS and Pozz Ash Deposits) located in different parts of Nevada and each is being evaluated as a potential stand-alone project.

HIGHLIGHTS

CS Deposit

· Preliminary testing indicates that the CS Deposit sample is a high quality natural pozzolan competitive with commercial deposits in the market today.

· CS Deposit sample in 20% substitution for Portland cement gave a favourably high "Strength Against Index" value of 97% (compared to 100% Portland cement) with acceptable water demand.

· Further testing recommended to qualify this material for use in the cement and concrete industries.

Pozz Ash Deposit

· Test results for a sample from the Pozz Ash Deposit confirm previously reported results and the need to reduce clay content.

Commenting today, Executive Chairman Patrick Cheetham said: "These first results from the CS Deposit are excellent and we look forward to progressing the commercial aspects of the Pozz Project in 2017."

Further information:

Detailed Information

The Company's Pozz Project is an initiative to search for and acquire, at low-cost, deposits having potential for the production of natural pozzolan.

Natural pozzolan has been used in concrete for millennia and many of the Roman structures built with pozzolan concrete are still standing. Today it is used as a "green" alternative to ordinary Portland cement which is responsible for 5% of the global man-made carbon dioxide emissions with nearly one tonne of CO2 generated for each tonne of cement produced. In addition to reducing greenhouse gasses, the use of pozzolan can provide benefits in terms of long-term strength and stability in cement and concrete and can replace the use of fly-ash in cement which is diminishing in quantity and quality of supply. Natural pozzolan is used as a replacement for Portland cement with substitution rates typically around 15-25%.

The Company has now received test results from preliminary cement mix testing of samples taken from its CS and Pozz Ash deposits which are located in separate areas of Nevada, USA.

CS Deposit

The staking of the CS Deposit in Nevada was announced on 14 November and the Company has moved quickly to carry out initial testwork.

A composite field sample was taken from exposures of the CS Deposit and submitted to independent cementitious materials laboratory Magmatics Inc. in Idaho, USA for bench scale physical (reactivity) testing.

The sample was finely ground and mixed as a 20% replacement with Portland cement, sand, and water and allowed to cure under ASTM1 C311 conditions. The strength of the resultant cement/pozzolan mix was then compared with the strength of an "index" 100% Portland cement sample after 7 days and then again after 28 days in accordance with normal test procedures IAW ASTM C618/C311.

The 7 day Strength Against Index (SAI) was 88% and the 28 day SAI was 97% (minimum requirement 75%). The SAI is a measure of pozzolanic reactivity and these are considered by Magmatics Inc. to be very good results.

Water demand was within the normal range for a good natural pozzolan, near that of cement. This is important as wide acceptance in the concrete market is difficult if the water demand is too high as this reduces the workability of the concrete mix and requires the use of expensive water-reducing admixtures.

The test results indicate that the CS Deposit sample is a high quality natural pozzolan competitive with natural pozzolans available on the market today. Magmatics Inc. has recommended that further tests be undertaken to optimize performance in terms of particle size and water demand, and thereafter its effectiveness against alkali-silica reaction and sulfate attack in order to qualify the material in both the cement and concrete industries as a certified natural pozzolan.

Pozz Ash Deposit

A similar test was run on a composite sample from the Pozz Ash Deposit. The test was essentially a repeat of the testwork previously reported and confirmed a marginally acceptable SAI value and a higher water demand. As previously highlighted, the use of Pozz Ash as a natural pozzolan will require that it is calcined (which may render it cost-uncompetitive) or that it is processed by a low costs method to remove deleterious clay content. Preliminary clay separation testwork is still in progress at SGS Lakefield in Canada.

Given the highly encouraging results obtained from the CS Deposit and given its more favourable location relative to the cement markets of Las Vegas and California, priority for further work under the Company's Pozz Project in 2017 will be given to the CS Deposit.

Notes:

1. ASTM standards are set by ASTM International, a globally recognized leader in the development and delivery of voluntary consensus standards.

2. This announcement contains inside information for the purposes of Article 7 of Regulation (EU) 596/2014 of the European Parliament and of the Council.

3. The information in this release has been compiled and reviewed by Mr. Patrick Cheetham (MIMMM, MAusIMM) who is a qualified person for the purposes of the AIM Note for Mining and Oil & Gas Companies. Mr. Cheetham is a Member of the Institute of Materials, Minerals & Mining and also a member of the Australasian Institute of Mining & Metallurgy.

Notes to Editors:

About Sunrise Resources plc

Sunrise Resources plc is an AIM-traded diversified mineral exploration and development company. The Company's objective is to develop profitable mining operations to sustain the Company's wider exploration efforts and create value for shareholders through the discovery of world-class deposits.

The Company is exploring a number of precious metal, base metal and industrial mineral projects in Nevada, USA. The Company holds a royalty interest from EP Minerals in a diatomite project in Nevada and holds a white barite project in South-West Ireland. The Company also holds diamond and gold exploration interests in Western Australia.

Shares in the Company trade on AIM. EPIC: "SRES"

Website: www.sunriseresourcesplc.com