CONROY DIAMONDS and Gold said it could have discovered the biggest gold find in Ireland and the UK following the upgrading of its gold resource at Clontibret, Co Monaghan, to more than one million ounces.

Directors at the Irish exploration company, which is listed on London's Alternative Investment Market, said they believed this was the first gold resource of more than one million ounces to be reported in Ireland or the UK.

The prospect that Co Monaghan could become a major gold mining region has taken a major step forward with the announcement, the company said.

Following evaluation and appraisal work by independent mining consultants G Zandonai, Conroy said indicated resources now stood at 440,000 ounces, with an additional inferred resource of 590,000 ounces.

This related to an area amounting for only 20 per cent of the Clontibret target anomaly, the company said.

"Infill drilling is ongoing in this area and is expected to increase the mineral resource. Drilling has also commenced at other sites within the remaining 80 per cent of the Clontibret target anomaly," it said.

"The revised cut-off grade brings us in line with our peer group and gives the company a sound basis for pre-feasibility studies," said company chairman Prof Richard Conroy.

He said the company would now look at the financial and technical aspects of the find to ascertain the viability of mining, the quality of the gold and how much could be recovered. That process could take around two to three years, and the company would still face planning issues to bring a mine into operation.

Although gold prices are rising, with the price of gold standing at around $900 an ounce, Prof Conroy said a mining company would net only around one-third of the value of the find.

"Two-thirds of that price would be accounted for in operating costs and building a mine," he said.