Stellar Resources subsidiary granted exploration extension

17th Aug 2015 08:26

(ShareCast News) - Stellar Resources said its subsidiary, Gold Mines of Wales (GMOW), has been given a six-year extension to its exploration license in Wales.The Crown Estate Mines Royal Exploration option over the Dolgellau gold-belt covers an area of 124km squared, but the Crown has opted to exclude an area of around 17 km squared incorporating the former Gwynfynydd mine. The company said that while potentially prospective for gold exploration, the area is difficult to explore due to dense forestation.Under its renewed Option, GMOW retains 107 km squared of exploration area, which includes the Clogau St Davids mine, the most significant historical producer within the area covered by the option, as well as the prospective southern area of the gold-belt. The granted option also covers 45 km squared of the gold-belt northern area, which is geologically prospective but vastly unexplored.Chairman Don Strang said: "This is a tremendous result after a frustrating period of time. The granting of an exclusive six year Option now provides the necessary time frame to properly develop and implement the required exploration programmes in order to adequately assess the economic potential of this famous gold mining district."Stellar Resources, which is a global mining company focused on gold resources in Wales, owns 49% of Gold Mines of Wales.At 0844 BST, the company's shares were flat at 0.35p.