SUNRISE RESOURCES PLC






Sunrise have a significant opportunity on its Barite resource in southern Ireland,where global supply is tightening due to chinese export restriction sunrise could become a major player in the european barite market. Sunrise resources also have an interesting stake in two diamond projects and also a gold project in canada with scope for additional resources of copper / nickel / platinum.


Market Cap - £3.2m

Shares in Issue - 312m

Epic - SRES

Market - AIM


Sunrise Resources plc is a British-led diversified mineral exploration and development specialist.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 evaluating a product opportunity for white barite in south-west Ireland and has an exploration portfolio including gold and base-metal exploration interests in Canada and diamond exploration interests in Finland and Western Australia.



DERRYGINAGH BARITE PROJECT, IRELAND

Assay Results Due for release end of january 2012:

In May this year, a positive concept study was completed which suggested that a profitable underground mining operation could be developed for at least 50,000 tonnes of barite per year. Metallurgical test work continues with the objective of defining a low cost gravity separation process for the production of high-grade barite. An initial drilling program is also underway to evaluate the resource potential of the barite vein
.
Whilst the barite programme may be relatively small in comparison to original Long Lake expectations, the commodity is increasingly scarce and pricing and demand demographics are strong with supply from China looking particularly squeezed.

As an illustration from a very high level 50,000 tonnes per year would probably generate revenue of over $10m per annum at current prices. Assuming at least 20% margin the project could return operating profits of $2m per annum. Capital expense is likely to be at around $5m and certainly not more than $10m. Thus a five-year project would offer a reasonable payback and a ten-year project an attractive return. We believe if results continue to encourage, this project could underpin the company and provide free cashflow to pursue larger exploration targets.

DIAMOND EXPLORATION, AUSTRALIA AND FINLAND

Projects in Finland are currently on hold but work at the Cue exploration licence in Australia is expected to commence in early 2012. Cue is an interesting project that was originally discovered by De Beers which
recovered 13 diamonds from a small 64kg sample. Unfortunately there is no known data on the size or value of these diamonds.A small and inexpensive drilling programme starting in early 2012 is expected to help define the quality of the Cue’s diamonds.

The exploration licence application (ELA20/727) covers an area of approximately 70 square km and is located 70km to the north-west of the town of Cue in the Murchison Mineral Field in the Yilgarn Craton of Western Australia.The Cue region was explored by De Beers in the period 1994-2002 during which time De Beers discovered a number of kimberlite dykes in two separate areas within the Company’s application area.At the "Cue 1" locality a kimberlite dyke outcrops and is reported by De Beers to be 2-3 m wide. Several drill holes intersected the dyke and one vertical hole intersected kimberlite from surface to 60m depth. At Soapy Well, 7km to the west, at least three closely spaced kimberlite dykes, up to 3 m wide, were encountered in two drill traverses spaced 400m apart.

De Beers described the Cue project kimberlites as olivine macrocrystic hypabyssal kimberlites. It did not report the results of diamond sampling, although some time after the first discovery of the Cue 1 kimberlite De Beers described the area as having "...excellent potential for discovery of kimberlites and diamonds."

De Beers carried out an extensive regional exploration programme in the north-west part of the Yilgarn Craton involving stream sediment sampling, soil sampling, airborne geophysics and drill testing. De Beers last open-file report on the area reported that “….anomalous heavy mineral results from areas that are structurally analogous to the Cue and Soapy Well kimberlites suggest that additional kimberlite intrusions remain to be found.” Sunrise has carried out a preliminary evaluation of these results and included the most anomalous areas within its exploration licence application.

Also of interest within the licence area is a sulphide-bearing gabbro dyke that was intersected in several drill holes by De Beers prior to the discovery of the Cue 1 kimberlite. Although not of interest to De Beers for diamond exploration, the gabbro dyke is now targeted by Sunrise for PGM’s and gold. It is located in the same region as the Weld Range PGM deposit (inferred resource >0.5 million ounces platinum+palladium+gold) the discovery of which was initiated by the current Sunrise Executive Chairman, Patrick Cheetham, when Joint Managing Director of Dragon Mining NL.

The new licence application area has not been held under licence since the De Beers licences expired and their exploration results did not become open file until 2006. Consequently the occurrence of the Cue kimberlites is not widely documented.

The Company has applied for Exploration Licence 20/727 through a new wholly owned subsidiary in Australia – Sunrise Minerals Australia Pty Ltd.

The Cue project is the first of a number of new projects planned by the Company to broaden its geographical base and widen its commodity interests which, to date, have been focused on diamond exploration in Finland.

LONG LAKE GOLD PROJECT, CANADA ( plus potential copper / nickel / platinum )

Drilling this year produced mixed results with some early success followed by a disappointing second campaign Near surface mineralisation appears to be limited but Sunrise Resources believes there is still exploration potential down dip of the mineralised pipe. Results thus far have however only uncovered minor gold mineralisation at depth and a detailed structural analysis of the area is required to refine targets. At the E1 prospect, located 350m to the south of the Long Lake Gold Mine, sampling defined a number of high-grade gold intersections but lacked the continuity suggested by geophysical work.

The company is currently evaluating its data in the hope of better delineating the structure. Sunrise has probably spent sufficient capital to honour the next year of its work commitments under the option agreement and its next payment, a modest £75k, is payable in May.

Sunrise Resources is also examining the area for copper and nickel potential on a possible 10km long extension to the Copper Cliff dyke system which hosts a number of large copper-nickel-platinum group metal deposits. Mapping, sampling and geochemical work is required in order to establish the potential for Copper and Nickel and PGM mineralisation.

Executive Chairman – Patrick Cheetham

Mr Cheetham is the founder of the Company. He is a mining geologist with 29 years experience in mineral exploration and 23 years in public company management. Mr Cheetham started his career as an exploration geologist in Australia with Western Mining Corporation and prior to that worked for Imperial Metals Corporation in British Columbia, Canada. From 1986 to 1993 he was joint managing director of Dragon Mining NL, during which time he was responsible for the formation of that company, the identification of and acquisition of its exploration projects, its listing on the Australian Stock Exchange and the subsequent development of its exploration projects. Patrick co-founded Archaean Gold N.L. in 1993 - the subject of a successful $50 million takeover bid by Lachlan Resources NL. He is currently also Chairman of Tertiary Minerals plc.

Northland Capital Report Summary:

http://www.sunriseresourcesplc.com/download/Northland%20Capital%20Reserach%20note%2016%20December%202011.pdf


2011 has been a turbulent year for Sunrise Resources as excitement over initially encouraging Long Lake results gave way to disappointment that the second drilling programme failed to extend the mineralisation encountered in the first programme. However, the prudently run company has a portfolio of assets and has been more successful moving forward its underrated Derryginagh barite project. Derryginagh has the potential to underwrite the business going forward as the company pursues other, possibly, higher impact prospects. Having peaked at 6.7p, shares have since fallen back to 1.05p, a capitalisation of £3.4m. From such a low base there is good scope for future outperformance given progress in any one of the three key projects.

Lets hope some of your other shares come well .

Many lost causes yet as we know - only 74% down in all but what the hell - we could be in America or in a Hospice/Mortuary or wherever at least we are still alive and have the ability to have Banter. I am becomming more Delia Smith instead of Percy Thrower since the clocks changed. GL and Good Night.

We could be in America - lol yes Florida with sunshine. Dont burn the cooking lol.

Yep! count your blessings, If that magic crystal ball was still available we would all do well but if any of the cr-p that I hold ever gets any where near the green it will be toast.My biggest book loss is ECR which is worth about 30% of its purchase price.No use crying about it, if you get in expecting to make a mint without tears you are in La La land.But it was fun.

guys well done who took advice and got out while the going was good - good to see the regulars in here winning - this is back on my watch list for now - atb and have a great evening all

sp rises as Directors issue themselves £90k's worth of shares, in lieu of Fees. On the face of it it's generaous and nice to know they believe in the Co . . . but the reality? Well, as I see it it is their incompetance that got the sp this low and lost the Co the ability to retain profits - and that's why there is no money to pay them.
So It's my belief they should receive only a miserly "fee" for this poor work . . . perhaps based on the best sp over the last 24 months (= 6.5p DYOR) - and that would cost the Shareholders much less.
The generation of shares to pay for "anything" is DILUTION - and should be seen as such. . . . and at each occurrence at least one Director should be shown the door, without pay-off, handshakes, etc.
EDIT( 23Feb2016)- [SRES] sp is 0.16p wow! However, I note that Dir have taken shares in lieu of salary . . . the snag being they get more shares as the price falls . . .
EDIT (7March2017)-SRES has raised £250k at 0.1 pence, explaining why there's been a significant fall in sp recently. Let's hope it enough; it seems a tad low IMHO.
EDOT(4Aug2017)-US Nevada looks promising for something as boring as concrete-filler.
EDIT (27April2018)- A huge! rise today on MOU (for the filler from Nevada), - but sp is only 0.19 -

StockMarketWire.com
Sunrise Resources' (LON:SRES) shares soared after it received bonanza silver grades for samples from underground sampling of the Chihuahua Vein and associated bedded mineralisation on its Bay State Silver Project, Nevada.

Executive chairman Patrick Cheetham said: "These are outstanding results. The records of production from this mine are scant but we assume it was very high grade. The confirmation of bedded style mineralisation containing bonanza silver grades, and previously sampled at surface, presents an exciting additional target with excellent tonnage potential."

Highlights:
· Sampling programme completed beyond the rock fall that had previously prevented our underground access to Chihuahua Adit.

· Bonanza values up to 4kg/tonne silver (4,020g/t or 0.4% or 117oz/t) within replacement style mineralisation at end of adit over 61cm (2ft).

· Over 1kg/tonne silver (1,123g/t or 33oz/t) average for 18 samples along 230m strike length to end of adit.

· Base metals enriched up to 10% combined lead-zinc-copper.

· Chihuahua Vein now known to carry high grade silver over sampling length of 470m. The vein remains open to the north and south.

· Sampling generally restricted to vein widths which vary up to 1.5m along the adit. No wall rock sampling was conducted in this programme.

· Drill plan being revised to focus exclusively on Chihuahua Vein System.