REG - Sunrise Resources - Pioche Sepiolite Project

Sunrise ResourcesAnnouncement

27/12/2023 10:45

For best results when printing this announcement, please click on link below:
http://newsfile.refinitiv.com/getnewsfile/v1/story?guid=urn:newsml:reuters.com:20231227:nRSa9383Xa&default-theme=true

RNS Number : 9383X  Sunrise Resources Plc  27 December 2023

27 December 2023

 

SUNRISE RESOURCES PLC

("Sunrise" or the "Company")

 

Pioche Sepiolite Project

 

Sunrise Resources plc wishes to advise the following in connection with its
agreement with Spanish sepiolite producer Tolsa USA Inc ("Tolsa"), a
subsidiary of Spanish sepiolite producer Tolsa S.A..

 

 

Key Points

 

Ø Sunrise has granted Tolsa a 12-month extension to its option to purchase
the Pioche Sepiolite Project.

 

Ø Tolsa to pay Sunrise an option extension fee of US$100,000 prior to 15
January 2024.

 

Ø Option exercise price is increased from US$1.25 million to US$1.40 million.

 

Ø Sunrise's right to 3% ad valorem royalty remains unchanged.

 

All other terms, as set out in the Company's news announcement of 28 June
2022, remain the same.

______________________________________________________________________

 

"We are pleased to generate this additional income from the Pioche Project
whilst increasing the option exercise price. This is a win-win arrangement.
Tolsa has carried out a significant amount of exploration and has defined
extensive and thick beds of sepiolite clay but needs more time to understand
the commercial properties of the Pioche sepiolite and determine the best
processing methods and range of commercial products that might be produced at
Pioche.  We believe that Tolsa, as the world's largest producer of sepiolite,
is best placed to maximise the development potential of the project and the
value of our ongoing royalty interest and so we are happy to give them the
additional time required to achieve this."

 

Patrick Cheetham, Executive Chairman, Sunrise Resources plc

 

 

"We welcome the opportunity to continue our evaluation of the Pioche Deposit
which we see as a potentially important development opportunity for Tolsa in
the US. We look forward to working closely with Sunrise to bring about a
positive result for all concerned."

 

 Rafael González, Chief Mining Officer Tolsa S.A.

 

_______________________________________________________________________

 

Further information:

 Sunrise Resources plc                  Tel: +44 (0)1625 838 884

 Patrick Cheetham, Executive Chairman
                                        Tel: +44 (0)207 628 3396

 Beaumont Cornish Limited

 Nominated Adviser

 James Biddle/Roland Cornish
                                        Tel: +44 (0)207 469 0930

 Peterhouse Capital Limited

 Broker

 Lucy Williams/Duncan Vasey

 

Market Abuse Regulation (MAR) Disclosure

The information contained within this announcement is deemed by the Company to
constitute inside information as stipulated under the Market Abuse Regulations
(EU) No. 596/2014 which forms part of UK domestic law by virtue of the
European Union (Withdrawal) Act 2018 ('MAR'). Upon the publication of this
announcement via Regulatory Information Service ('RIS'), this inside
information is now considered to be in the public domain.

 

 

About Sepiolite

 

Sepiolite is a rare form of clay with very few commercial deposits in the
world.  It is non-swelling, lightweight and highly porous. It is used
extensively in pet litter, agriculture as a slow-release absorbent and
adsorbent carrier for chemicals and pesticides and in animal feeds as a binder
and carrier for nutrients and growth promoter. It is also a valuable gelling
agent and viscosity modifier in several industrial products.

 

 

Further information on the Pioche Project and photographs from the drill
programme can be found on the Company's website at:

https://www.sunriseresourcesplc.com/pioche-sepiolite-project
(https://www.sunriseresourcesplc.com/pioche-sepiolite-project) .

 

 

Further information on the Company's agreement with Tolsa and information on
Sepiolite and Tolsa can be found in the company's news release of 28 June 2022
at:

https://www.sunriseresourcesplc.com/news/category/news
(https://www.sunriseresourcesplc.com/news/category/news)

 

 

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

Website: www.sunriseresourcesplc.com (http://www.sunriseresourcesplc.com)

 

 

This information is provided by RNS, the news service of the London Stock Exchange. RNS is approved by the Financial Conduct Authority to act as a Primary Information Provider in the United Kingdom. Terms and conditions relating to the use and distribution of this information may apply. For further information, please contact
rns@lseg.com (mailto:rns@lseg.com)
 or visit
www.rns.com (http://www.rns.com/)
.

RNS may use your IP address to confirm compliance with the terms and conditions, to analyse how you engage with the information contained in this communication, and to share such analysis on an anonymised basis with others as part of our commercial services. For further information about how RNS and the London Stock Exchange use the personal data you provide us, please see our
Privacy Policy (https://www.lseg.com/privacy-and-cookie-policy)
.   END  UPDFEFFSWEDSEDE