Sunkar revises resource estimate upwards at Chilisai licence area

AIM-listed integrated phosphate manufacturer Sunkar Resources has upwardly revised its estimate of the volume of phosphorus pentoxide contained at its Chilisai licence area in North West Kazakhstan.

In a mineral resource update, the company reported that the tonnage of measured and indicated resources had increased by 65% at the 6.0% cut-off grade from the previous resource estimate over 40% of the licence area at 5.0% cut-off grade.

The company reported an increase of 130% contained phosphorus pentoxide in total resource at a 6.0% cut-off grade, compared to previous resource estimate at 5.0% cut-off grade.

Serik Utegen, Chief Executive Officer of Sunkar, commented: "This resource estimate reflects the true size of the Chilisai deposit and even improves the 1970's Soviet resource estimate.

"This JORC resource update confirms that Sunkar has ample resource to support its planned integrated fertilizer manufacturing chemical complex at Chilisai with a target capacity of approximately 870,000 tonnes per annum of P2O5 [phosphorus pentoxide]."

Sunkar Resources' wholly owned subsidiary, Temir Service LLP, holds a Subsoil Use Contract to part of the Chilisai Phosphate Rock Deposit in North West Kazakhstan.

According to Sunkar, the contract area is estimated to contain 1,128m tonnes of phosphate ore.

Sunkar Resources' share price was unchanged at 10p at 09:35 following an early morning high after its announcement which saw shares jump to 14.90p on Friday.

MF