Calidus Resources Increases Warrawoona Resource

Keras Resources plc / Index: AIM / Epic: KRS / Sector: Mining

6 February 2019

Keras Resources plc ('Keras' or the 'Company')

Calidus Resources Increases Warrawoona High Grade Resource by 75% to 1.25Moz Au 

Keras Resources plc, the AIM listed mineral resource company, notes the announcement released by Calidus Resources Limited (ASX:CAI) ('Calidus') regarding a substantial increase in both quantum and confidence level in the JORC Compliant Mineral Resource at Calidus' Warrawoona Gold Project located in the Pilbara of Western Australia ('Warrawoona').  The publication of this updated resource is an important prerequisite for the completion of the Pre-Feasibility Study ('PFS') at Warrawoona, which is targeted for release by Calidus in Q3 2019.

Keras currently has 458m shares in Calidus, representing approximately 32.3% of the current issued share capital of Calidus.  On successful completion of the aforementioned PFS, an additional 265m performance shares of Calidus ('Performance Shares') owned by Keras will be converted into ordinary shares of Calidus. 

HIGHLIGHTS

·     Total JORC 2012 Mineral Resource (Measured, Indicated and Inferred) for Warrawoona now stands at 21.2Mt at 1.83 g/t Au for 1.25 million ounces

·     75% increase in total contained ounces from the previously announced December 2017 Mineral Resource

·     The Mineral Resource contains a high-grade component estimated to contain 14.6Mt @ 2.37g/t Au for 1.1 million ounces

·     Resource remains open both at depth and along strike

·     PFS work is progressing and due for completion Q3 2019

·     Drilling planned for a number of new prospects targeting additional Resource growth

Russell Lamming, Chief Executive Officer of Keras, commented, "Achieving an increase of more than 75% in resource ounces is a significant achievement and importantly, the current Resource is now well in excess of the 1-million-ounce level that many consider as a natural threshold for a successful standalone mine.  When considering that the Resource remains open at both depth and along strike, it is clear that we are looking at a very significant and high-grade gold mineralised system at Warrawoona.

"Importantly for Keras investors, not only should today's news provide considerable tangible see-through value to our holding in Calidus, but it also paves the way for allotment of the additional 265 million performance shares to be issued on completion of the PFS in Q3 2019.  The continued progress of Warrawoona towards production, coupled with the work Keras is undertaking independently at our Nayega Manganese Project in Togo, where trucked ore is now being stockpiled at the deep-water port of Lomé, demonstrates how far Keras has come in transitioning from a junior explorer to an emerging production company."

The information in this RNS has been extracted from the ASX announcement made by Calidus Resources Limited on 6 February 2019.  To view a full version of the Calidus announcement, which includes figures and maps, please click here: https://www.calidus.com.au/investors/asx-announcements/. For more information on Calidus and Warrawoona, please visit www.calidus.com.au.

For the purposes of MAR and Article 2 of Commission Implementing Regulation (EU) 2016/1055, this announcement is being made on behalf of Russell Lamming, Chief Executive Officer.  This announcement contains inside information for the purposes of Article 7 of Regulation (EU) 596/2014.

**ENDS**

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Notes

Keras Resources plc is focused on building a strategic portfolio of resource assets. The Company provides investors with exposure to a strategic portfolio of development assets, including manganese, cobalt and nickel in Togo, West Africa, as well as a highly prospective gold exploration and development portfolio in Australia through its holding in ASX listed Calidus Resources Limited (ASX:CAI).  Keras benefits from a highly skilled management team, which has extensive operational experience in Africa and Australia with proven success in advancing assets up the value curve.