REG - Sunrise Resources - Update - Pioche Sepiolite Project

Sunrise ResourcesAnnouncement

02/09/2022 07:00

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RNS Number : 0136Y  Sunrise Resources Plc  02 September 2022

2 September 2022

SUNRISE RESOURCES PLC

("Sunrise" or the "Company")

 

Update - Pioche Sepiolite Project

 

Further to its announcement of 28 June 2022, Sunrise Resources plc is pleased
to advise that Tolsa USA Inc. ("Tolsa") has submitted a notice to the US
Bureau of Land Management ("BLM") for approval of an extensive trenching
programme at the Company's Pioche Sepiolite Project in Nevada, USA (the
"Pioche Project") as part of their ongoing due diligence.

 

Key Points

 

·    A surface mapping programme completed by Tolsa in July has identified
multiple sepiolite horizons throughout the project area.

 

·    Up to 2km of excavator trenching is now planned to better expose and
sample the sepiolite deposits.

 

·    Tolsa has scheduled trenching to start around the end of this month,
subject to BLM approval, and work is expected to take up to 4 weeks to
complete.

 

·    Sunrise has granted Tolsa an option to purchase the Pioche Project
for $1.25 million and an ongoing payment to Sunrise of a 3% royalty (see
announcement of 28 June 2022 for detail). Tolsa is a US subsidiary of Tolsa
S.A., the world's largest producer of sepiolite.

 

·    Sepiolite, an industrial mineral, has unique characteristics, is
scarce, with very few commercial deposits in the world.

 

 

 

 

Commenting today, Executive Chairman Patrick Cheetham said:

 

"We are very encouraged by the rapid start Tolsa has made in its evaluation of
the Pioche Project. Tolsa has hit the ground running and has already completed
a thorough programme of surface mapping and evaluation, identifying multiple
horizons of sepiolite below the original discovery level.

 

Up to 2km of excavator trenching is now proposed to excavate across these
horizons which appear to extend throughout the project area. This trenching
will provide further exposures of the mineralisation to enable a better
evaluation of the thicknesses and quality of the Pioche sepiolite deposits.

 

We are pleased to see favourable results from Tolsa's work to-date and to have
assisted Tolsa in formulating its proposals to the BLM. We look forward to the
results of further exploration work."

___________________________________________________________________________

 

 

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

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

Website: www.sunriseresourcesplc.com

 

 

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.

 

 

Notes

 

About Sepiolite

 

Sepiolite is a non-swelling, lightweight, porous clay with outstanding
sorption capacity. The largest market globally for sepiolite is for use in
light-weight non-clumping pet litters where it has superior properties
compared to other clays used in this application.

 

Sepiolite is also used extensively in agriculture as a slow-release absorbent
and adsorbent carrier for chemicals and pesticides, in animal feeds as a
binder and carrier for nutrients and growth promoter. It is also used as a
suspending agent in paints, medicines, pharmaceuticals and cosmetics, and in
high temperature drilling muds.

 

Sepiolite is a very uncommon clay because of both its peculiar characteristics
and scarce occurrence. There are very few commercial deposits in the world,
and, with one exception, there are no significant sepiolite deposits known in
the USA, so a large potential market would exist for any new US producer of
sepiolite.

 

 

About Tolsa

 

Tolsa S.A., founded in Spain in 1957, is a privately owned specialist clay
mining and processing company that now operates in 95 countries including the
USA where it has bentonite mining operations in Wyoming and processing
facilities in Nevada.

 

It is the largest producer of sepiolite in the world, mainly from its mining
operations near Madrid in Spain and it is Europe's largest producer of
lightweight hygienic pet litter with 37% of the European market.

 

In 2021, Tolsa reported global turnover of  Euros 193 million, a clay
processing capacity of 1.2 million tons/year and annual production of over 1
million tons of clay products.

 

 

Qualified Person Information:

 

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.

 

 

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