Irish explorer Conroy Diamonds and Gold looks to have made another gold discovery on its1,200km2 licence area which straddles the border between Northern Ireland and the Irish Republic. While it is very early days on this particular find, the extensive gold-in-soil anomaly which has been located by Conroy's geologists is larger, and of higher value, than soil sampling indicated at the company's Clontibret discovery in Co Monaghan where a JORC-compliant resource of over one million ounces of gold has been identified on only 20% of the target area.The new discovery is at its Clay Lake target in County Armagh in Northern Ireland, but only 7km from Clontibret (in the Republic of Ireland), and one of the gold in soil samples at 1.53 grams per tonne is the highest gold-in-soil sample yet found by the company in its Irish exploration programme.What does particularly excite Conroy, though, is that the area is close to the location where the 28 gram Clay Lake gold nugget was found in a stream bed in the 1980s.Conroy reports that more than 80 soil samples were collected at Clay Lake, returning average gold-in-soil values of over 50ppb, with six greater than 100ppb and a highest value of 1,531ppb. Relative to known anomalous gold values in this terrain, these are very high.Commenting on the find, company chairman Professor Richard Conroy said We have long held the view that the Clay Lake nugget is clear evidence of the area's gold potential, and we have actively been seeking the source of this nugget for a number of years. These latest results, with the highest gold-in-soil values encountered anywhere in our licence area, may well indicate that the source of the nugget lies within the new anomaly. It could well be the Jewel in the Crown for the Company.What is apparent though is that the latest samples, which will need to be tested by a drilling programme into the anomaly itself, do seem to confirm that Conroy is indeed working on a potentially important gold belt and the company has other targets in sight as well, although with a very low share price (£0.032 a share - up over 50% on the news today), and difficulties in raising finance for junior exploration companies, it may take time to implement such a programme.With the resource at Clontibret being at shallow depth, and the Clay Lake target also likely to be shallow, it would seem a small scale low cost operation might be on the cards down the line. Providing Conroy can keep going in the current then this latest find could lead to the restart of Irish gold mining provided cross-border problems can be overcome satisfactorily, but this may yet be some time away.Conroy, with a previous company, has a good exploration track record in Ireland, having found the Galmoy base metals mine in the 1990s.
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