Significant percussion drill intercept

Chesterfield Resources / EPIC: CHF / Market: LSE / Sector: Mining

1 July 2020

Chesterfield Resources Plc

Significant percussion drilling intersections at Evlim target

Highlights

·    Two intersections of sulphide mineralisation encountered, totalling 40m

·    The company is testing for a down-faulted copper-rich VMS deposit, overlying a significant gold feeder zone.

·    Drilling halted to evaluate the testing of a large anomaly extension to the west of the Evlim intersections

Chesterfield Resources plc is pleased to announce that, following the commencement of percussion drilling at its Troodos West licence area, it has encountered significant intersections of sulphide mineralisation at its Evlim target.

The percussion hole was drilled to search for mineralised sulphides and final target definition prior to diamond drilling. Sulphides were encountered from approximately 33m to 54m. Another zone of sulphides was encountered at 74m to 93m.

The Evlim target is around 1km from the historic Limni open pit mine from which an estimated 150,000 tons of copper was mined up the 1970s. The target is adjacent to an old satellite copper mine at surface. In late 2018 Chesterfield drilled beneath this mine and encountered significant gold mineralisation underlying the worked-over area in a feeder zone. Intersections included:

29.8m @ 1.10g (from 13.2m)

27.9m @ 0.97g (from 8.75m)

Geological mapping provided evidence that this copper and gold formation was downfaulted and continued at depth to the west. Archival information and historic drilling supported this interpretation. Last year the company conducted an IP geophysics survey over the area which returned anomalies that suggested a considerable sulphide presence at the target. The company modelled that the fault block had preserved the stratigraphy of copper sulphides overlying a gold feeder zone.

Rock chips from percussion drilling yield good data for geological logging including the presence of sulphide mineralisation, its extent, and potential thickness. Due to the unconstrained nature of the drilling method any analyses produced from the chips are indicative only. As such intersection lengths are approximate, and assays are not accurate.

The company has developed an extensive list of 30 VMS (Volcanogenic Massive Sulphide) targets within a 5km radius at Troodos West. These are shallow targets of up around 200m underground, which underlie historical mine workings on the surface.

Said Martin French, Executive Chairman "This is a highly encouraging early result from our percussion drill programme. The intersections, totalling approximately 40m, are by far the widest we have located so far. We have now drilled three target areas, have encountered sulphide mineralisation at all three and, importantly, at the predicted target horizons. This has added considerable confidence to our target modelling.

We have decided to halt drilling to appraise testing a large anomaly extension at Evlim close to these intercepts. The company is also preparing numerous further targets for percussion drilling, to be followed by a diamond drilling programme."

Follow us on Twitter at @ChesterfieldPlc

About Chesterfield Resources Plc

Chesterfield Resources is a copper-gold exploration and development Company active in Cyprus. The Company strategy is to generate value for shareholders by discovering and developing multiple deposits to production. Chesterfield is in the advanced stage exploration in on its Troodos West licence area, and has a large bank of licence areas elsewhere in Cyprus, either granted or under application.

Market Abuse Regulation (MAR) Disclosure

Certain information contained in this announcement would have been deemed inside information for the purposes of Article 7 of Regulation (EU) No 596/2014 until the release of this announcement.

**ENDS**

 For further information, please visit www.chesterfieldresourcesplc.com or contact:

Chesterfield Resources plc:

Martin French, Executive Chairman         Tel: +44(0)7901 552277

Brandon Hill (Broker):

Jonathan Evans/Oliver Stansfield              Tel: +44(0)20 3463 5000