African Consolidated Resources says Pickstone-Peerless resource upgrade could top expectations

African Consolidated Resources expects to announce a significantly higher than expected resource at its Pickstonair setting magnesite grinding blocks making mathode-Peerless project in Zimbabwe.

The company reported today that work on upgrading the JORC standard compliant resource at the project has shown the potential for a significantly higher resource estimate than previously expected.

Better than expected improvements are likely on both past resource statements and on earlier projections of contained ounces and the average grade.

As a result, the upgrade should considerably increase the company’s current resource of 1.54 million ounces of gold.

"With an existing global resource inventory of over 1.5 million ounces, soon to be followed by the expected upgrade, ACR continues to add value across its portfolio of assets,” said executive chairman of ACR Roy Tucker.

“The company intends to fast-track development in order to maximise the value at these promising gold properties, thereby establishing itself as a commercial gold producer and developer.”

ACR expects to unveil the upgraded resource within the next two months.

Investors cheered the news, sending shares in ACR up six percent to 2.25 pence by 9:30, valuing the group at £10.75 million.