Definitive Mining Plan in Development at Clonti...

19 September 2014 Conroy Gold and Natural Resources plc ("Conroy" or "the Company") A DEFINITIVE MINING PLAN IS IN THE COURSE OF DEVELOPMENT AT CLONTIBRET * Phase 1 To Comprise Starter Pit And Pit Extension * Phase 2 To Comprise Underground Mining And / Or Further Surface Pit(s) * Advantage Of Favourable Metallurgy And Infrastructure * In-house Preliminary Estimates of Capital Costs of US$41,493,000 And Operating Cash Costs of US$35/tonne ore Conroy Gold and Natural Resources plc (AIM: CGNR, ESM: CGNR.I), the gold exploration and development company focused on Ireland, is pleased to announce that a definitive mining plan is in the course of development at its Clontibret gold project. Phase 1 to comprise a starter pit and pit extension. Phase 2 to comprise underground mining and/or further surface pit(s). The Phase 1 starter pit will concentrate within a high grade, densely drilled portion of the resource and should result in accelerated total project capital payback within year 2 of the operation and a positive cash flow. Current metallurgical testwork is indicating very favourable flotation and downstream processing characteristics which together with favourable infrastructure and logistical support will be important in reducing project capital and operating costs. Phase 2 will comprise underground mining and/or further surface pit(s). For the underground mining option there are favourable grades and widths at depth that have been identified in drilling, such as 12.25 metres at 2.6 g/t gold including 6 metres at 2.95 g/t gold. This ore could be accessed by a spiral ramp at the base of the Phase 1 pit and mined by a high volume mining method such as sublevel block caving. The mining plan is set in the context of the remaining 80 per cent of the Clontibret target where significant gold intersections outside the planned mine area for Phase 1 have been previously intersected, including 11metres at 5.34g/ t gold and 21metres at 1.82g/t gold. In-house preliminary estimates of capital costs for Phase 1 are US$41,493,000. This includes Working Capital of US$3,579,000 and Sustaining Capital of US$2,391,000. The latter of which is anticipated to be paid for by cash flow over years 2-5 of the mine production Preliminary operating cash costs are estimated at US$35.79/tonne ore with total operating cash costs for the starter pit estimated at US$544/oz gold and overall total operating cash costs for Phase 1 estimated at US$693/oz gold. Total production costs for the starter pit are estimated at US$1,002/oz gold and US$947/oz gold overall for Phase 1. These figures are expected to fall further as future resource drilling and detailed feasibility and development work proceeds. Elsewhere on the Company's licences exploration continues along the 30 mile gold trend discovered by the Company, which stretches from County Armagh across Counties Monaghan and Cavan. Exploration is ongoing at the Clay Lake gold target (7km, 4.5 miles) to the North East of Clontibret where gold-in-soil values (up to 1.53g/t gold), double those seen at Clontibret, have been recorded and where drilling intersections of 98.6 metres at 0.57g/t gold (including 11.5 metres at 1.49g/t gold) and 5 metres on surface of 3.02g/t gold have been made. A recent detailed structural study by independent consultants suggests potential for high tonnage and overall gold content. Zinc exploration on the licences is also proceeding following the discovery of a very large (100 Km²) zinc anomaly to the south of the Company's Clay Lake gold discovery, and also the discovery, in rock samples, at the historic Cornanurney lead workings, of exceptionally high zinc levels of 30 per cent zinc and 18.40 per cent zinc. This release has been approved by members of the Company's technical staff, Michael Brennan (MSc, SAIMM) and Kevin McNulty PGeo, who holds a BSc/MSc in Geology and Remote Sensing, in accordance with the guidance note for Mining, Oil & Gas Companies issued by the London Stock Exchange in respect of AIM Companies, which outlines standards of disclosure for mineral projects. Professor Richard Conroy, Chairmancommented: "The definitive mining plan using a starter pit underwrites and de-risks the project and is set within what we believe is the beginning of a new European gold mining district with exploration and conceptual studies by the Company suggesting the potential for 15 - 20+ million ounces of gold within the 30 mile gold trend and also possibly zinc and other mineral potential." For further information please contact: Conroy Gold and Natural Resources plc Tel: +353-1-661-8958 Professor Richard Conroy, Chairman Sanlam Securities UK Limited (Nomad) Tel: +44-20-7628-2200 Virginia Bull/Simon Clements Hybridan LLP (Broker) Tel: +44-20-3713-4580 Claire Louise Noyce/William Lynne IBI Corporate Finance Limited (ESM Adviser) Tel: +353-766-234-800 Ger Heffernan Lothbury Financial Services Tel: +44-20-3440-7622 Michael Padley/Michael Spriggs Hall Communications Tel: +353-1-660-9377 Don Hall Visit the website at: www.conroygoldandnaturalresources.com