LONDON (ShareCast) - Gold miner Stellar Resources has bought a processing plant to handle ore from a mine in North Wales.

Stellar said the plant was capable of processing up to 2 tonnes of ore per hour from the Clogau pit.

It will be used to process previously identified high grade areas re-opened as part of the underground clean-up operations in the last 18 months.

The new plant is being made in South Africa and is expected to be delivered to Dolgellau in about eight weeks.

Through its 49% investment in GMOW (Operations) Ltd, Stellar has an exclusive option agreement with the Crown Estates over the exploration licence covering an area containing the entire Dolgellau Gold Belt, including Clogau.

Chairman David Lenigas said: "The purchase of this gold processing plant will allow the joint venture parties to more accurately assess the gold grades of some of the un-mined areas of Clogau."

The news boosted shares in Stellar, which sparkled 0.08p or 15.8% to 0.55p by 12:47 in London.

PW

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