Greatland Gold (AIM:GGP), the precious metals exploration company, provided an update on Thursday regarding the ongoings at the Havieron gold-copper project in the Paterson region of Western Australia.
Drilling activities since the previous report include new results from the current Growth Drilling programme. The latest results from this programme has seen seven new drill holes.
Newcrest has now completed a total of 164,420m of drilling from 190 holes to date, with all the latest holes continuing to intersect significant mineralisation.
Excellent results from Growth Drilling continue to support the potential for resource expansion within the Havieron gold-copper mineralised system
- High-grade intercepts below the December 2020 Initial Inferred Mineral Resource shell in the South East Crescent Zone and adjacent Breccia Zones, and around the Northern Breccia.
- HAD133 returned 85m @ 11g/t Au & 0.29% Cu from 1345m, including 13m @ 32g/t Au & 0.46% Cu from 1363m, and 14.5m @ 32g/t Au & 0.33% Cu from 1396.5m1.
- High-grade Crescent Zone remains open at depth.
- Additional mineralisation identified in Northern Breccia Zone, highlighting the potential for resource extensions outside the existing resource shell.
New drill intercepts from within the 2020 Initial Inferred Mineral Resource shell support geological and grade continuity
- Additional high-grade South East Crescent intercepts from within the December 2020 Initial Mineral Resource.
- These results support the delivery of an Indicated Mineral Resource estimate in the South East Crescent Zone.
2021 Growth Drilling is progressing into FY22
- North West Crescent and Northern Breccia: Growth Drilling continues to focus on the North West Crescent and Northern Breccia zone and aimed at providing support for the potential expansion of the existing Inferred Mineral Resource Estimate.
- Eastern Breccia: Drill testing and interpretation of the geological and mineralisation controls of the Eastern Breccia Zone is ongoing.
- South East Crescent and Breccia: Targeting potential resource definition of extensions below the existing resource shell and lateral extensions adjacent to the existing high-grade resource shell.
- New Targets: New targets outside of the immediate vicinity of the Havieron deposit, but within the Havieron Joint Venture area, have been identified with the potential to conduct drill testing of these targets in the future.
Early Works Underway: As previously announced, surface earthworks are largely complete, with the box cut complete and decline development commenced:
- Excavation of the box cut commenced on 8 February 2021.
- Commencement of the underground decline access, from the base of the box cut, was announced on the 12 May 2021.
- The Joint Venture is progressing the necessary approvals and permits for the development of an operating underground mine (subject to a successful exploration program, feasibility studies, market and operating conditions, board approvals and a positive decision to mine).
- Work continues to investigate the potential to achieve commercial production at Havieron within three years of the commencement of the decline.
Canaccord initiated coverage yesterday with a price target of 25p, calling Greatland ‘unique amongst London-listed gold juniors’:
“Compared to London-listed junior gold mining peers, Greatland Gold stands out to us as a differentiated player with a significant stake in what we believe will become a large scale, top-tier asset, with a tier 1 partner (Newcrest Mining) driving development, in a tier 1 jurisdiction (Western Australia).”
“We believe that Greatland’s flagship Havieron Project could become a 400-700kozpa producer, with a mine life of >20 years, developed at a low capex cost, as a result of taking advantage of Newcrest’s existing processing infrastructure located nearby.”
Shaun Day, Chief Executive Officer of the AIM-listed company, commented: “These latest drilling results add further extensions to the high-grade mineralisation at Havieron while evolving the deposit beyond the existing resource shell. With each new set of excellent intercepts, we demonstrably advance the potential size and value of the gold-copper orebody at Havieron.”
“Development on site continues at pace with surface earthworks nearing completion and the underground decline underway. As the Joint Venture progresses, ongoing exploration continues to enhance the potential scale of the gold-copper mineralised system at Havieron.”