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Greatland Gold PLC - Further Outstanding Drill Results at Havieron

RNS Number : 4068B
Greatland Gold PLC
30 January 2020
 

30 January 2020

Dissemination of a Regulatory Announcement that contains inside information according to REGULATION (EU) No 596/2014 (MAR).

Greatland Gold plc

("Greatland" or "the Company")

 

Further Outstanding Drill Results at Havieron

 

Havieron grows in scale as drilling extends strike length of high-grade mineralisation

 

Greatland Gold plc (AIM:GGP), the precious and base metals exploration and development company, is pleased to provide an update on Newcrest's drilling campaign at Greatland's 100% owned Havieron deposit in the Paterson region of Western Australia.

 

Greatland notes the release of an ASX announcement titled "Newcrest Quarterly Exploration Report" by Newcrest Mining Ltd ("Newcrest") earlier today. The Newcrest announcement includes results for drill holes released mid-quarter by Newcrest and Greatland (see announcement dated 2 December 2019), and confirms that a total of 18 holes for 18,888 metres of drilling was completed during the quarter ending 31 December 2019.

 

Highlights

 

·      Drilling has continued to expand the extent of mineralisation and demonstrates continuity of mineralisation over 450m of strike, up to 150m wide, and in excess of 600m in vertical extent.

·      Mineralisation remains open to the north-west and at depth.

·      Newcrest's Managing Director and CEO, Sandeep Biswas: "The grades we are seeing are unique for this region and we are excited to progress and accelerate our evaluation of this opportunity".

 

Best new results (not previously reported on 2 December 2019):

 

·      HAD034: 136m @ 2.9g/t Au, 0.6% Cu from 504m, including

·      43.5m @ 6.1g/t Au, 1.2% Cu from 577.9m

·      HAD036: 73m @ 3.2g/t Au, 0.67% Cu from 513m, including

·      24.8m @ 7.2g/t Au, 1.6% Cu from 525m  

 

Next Steps

 

·      Drilling has recommenced following a short break over the Christmas period, with six rigs now operational and an expanded 90 person camp on site.

·      An additional 20,000 to 30,000 metres of drilling is planned in the next two quarters to support the potential delivery of a maiden resource by the end of calendar year 2020.

·      A number of environmental, geotechnical and metallurgical studies have commenced to support the potential delivery of a resource and future permitting requirements.

 

Gervaise Heddle, Chief Executive Officer of Greatland Gold plc, commented: "We are delighted that Newcrest's drilling campaign has continued to return outstanding results which further expand the extent of mineralisation at Havieron. The true scale of Havieron is beginning to emerge, with continuity of mineralisation observed over 450 metres of strike, and mineralisation still open to the north-west and at depth. These latest drill results and the initial observed dimensions of the deposit provide further evidence that Havieron represents a significant gold-copper discovery.

 

"With 20,000-30,000 metres of drilling planned in the next two quarters alone, the maiden resource at Havieron is now in sight and we expect to reach this major milestone before the end of the year. In the meantime, we expect additional step out drilling to further extend the known mineralisation of the project."

 

Final assay results for HAD023, HAD025, HAD026, HAD028, HAD031, HAD032, HAD034 and HAD036 have been received and are announced today. Significant intercepts are presented in Table 1.

 

Table 1. Significant Havieron intercepts from the December 2019 quarter (figures in bold are previously reported results - see announcement 2 December 2019).

 

Hole ID

From (m)

To (m)

Width (m)

Gold (g/t)

Copper (%)

HAD020

673

795.9

122.9

1.7

0.36

Including

705

719.6

14.6

9.1

0.48

HAD020

1096.5

1281

184.5

0.81

0.44

Including

1134

1161.2

27.2

2.8

0.54

HAD021

670

798

128

3.4

0.44

Including

770

783

13

13

1.1

HAD021

1039.3

1150

110.7

1.9

0.12

Including

1129

1150

21

3.1

0.15

HAD021

1332.2

1356

23.8

3.3

0.58

HAD023

656

763

107

2.2

0.22

Including

665

686

21

10

0.74

HAD023

1273

1397

124

1.0

0.06

HAD025

580

698

118

0.99

0.08

Including

612

624

12

3.9

0.21

HAD025

764

803

39

6.5

0.40

Including

764.9

775.5

10.6

22

1.3

HAD026

515.3

579

63.8

2.3

0.28

HAD026

970

1024.5

54.5

1.3

0.12

HAD028

543.2

589

45.8

6.8

0.51

Including

555

587

32

9.2

0.67

HAD031

862

924

62

1.7

0.18

HAD032

907.1

975

67.9

1.1

0.23

HAD032

1364

1415.1

51.1

1.2

0.12

HAD034

504

640

136

2.9

0.6

including

577.9

621.4

43.5

6.1

1.2

HAD034

708

787

79

3.8

0.15

HAD035

573

683.5

110.5

1.8

0.97

including

620

683.5

63.5

2.6

1.4

HAD036

513

586

73

3.2

0.67

including

525

549.8

24.8

7.2

1.6

HAD036

639.7

735.2

95.5

1.6

0.39

including

667

688.8

21.8

2.3

0.41

 

Reporting Criteria: Intercepts reported are Au >0.20ppm (0.2g/t Au) and minimum 20m downhole width with maximum consecutive internal dilution of 10m. Also highlighted are high grade intervals of Au >1.0ppm (1g/t Au) and minimum 10m downhole width with maximum consecutive internal dilution of 5m, and intervals of >30 gram metres (calculated as the weighted average of consecutive assayed interval multiplied by the Au grade in ppm exceeding a value 30, with no internal dilution) are tabled. Au grades are reported to two significant figures.

In addition to this release, a PDF version of this report, with supplementary information can be found at the Company's website: www.greatlandgold.com/media/jorc/ 

 

Further Information on Newcrest Drilling and Operations at Havieron

 

The Havieron deposit is operated by Newcrest under a Farm-in Agreement with Greatland. It is centred on a magnetic anomaly located 45km east of Telfer. Exploration drilling by Greatland during 2018 resulted in the discovery of significant gold and copper mineralisation under 400m of post mineral cover. Newcrest commenced drilling at Havieron during the June 2019 quarter.

 

The new analytical results released today are considered outstanding (Table 1). Ongoing drilling and assay results confirm broad widths of gold mineralisation at Havieron. Within the larger gold-copper mineralised envelope, the geology and continuity of high-grade gold mineralisation continues to be defined across the deposit, with the limits of mineralisation not closed off. Drilling has outlined a zone of higher-grade mineralisation which continues to be defined. Geological interpretation of the drill data suggests the development of a steeply plunging tight fold with the higher-grade sub-vertical mineralisation spatially related to arcuate zones associated within a series of hydrothermal breccias.

 

Drilling has continued to expand the extent of mineralisation and demonstrates continuity of mineralisation over 450m of strike, up to 150m wide, and in excess of 600m in vertical extent. The latest drill results and the initial observed dimensions of the deposit suggest that Havieron represents a significant gold-copper discovery.

 

Additional drill hole information is presented in Appendix I and tabulated drill hole intercepts are presented in Appendix II.

 

Stage 2 of the Farm-in continues. Currently, six drill rigs are operational following a brief break over the Christmas period. An expanded 90 person camp is on-site to support ongoing operations.

 

An additional 20,000 to 30,000 metres of drilling is planned by Newcrest in the next two quarters to enable the potential delivery of a resource by the end of calendar year 2020. Various studies have commenced including geotechnical, metallurgical and environmental. 

 

Deposit mineralisation is hosted by metasedimentary (meta-sandstones, meta-siltstones and meta-carbonate) and intrusive rocks. Gold and copper mineralisation is hosted in breccia, vein and massive sulphide replacement styles, typical of intrusion-related and skarn types of mineralisation. The main sulphide mineral assemblage contains well developed pyrrhotite-chalcopyrite and pyrite. Alteration assemblages associated with mineralisation are amphibole-carbonate-biotite-sericite-chlorite. Higher grade gold zones (+10g/t Au) are often associated with quartz/chalcopyrite-pyrite veining.

 

Background to Havieron and Farm-in Agreement with Newcrest

 

In March 2019, Greatland entered into a Farm-in Agreement with Newcrest Operations Limited, a wholly-owned subsidiary of Newcrest Mining Limited (ASX:NCM), to explore and develop Greatland's Havieron gold-copper discovery in the Paterson region of Western Australia. Newcrest has the right to earn up to a 70% interest in a 12-block area within E45/4701 that covers the Havieron target by spending up to US$65m.

 

Greatland's Paterson project covers more than 385 square kilometres in the Paterson region of Western Australia and includes the Havieron licence, the Paterson Range East licence, and the Black Hills licence.

 

A regional map showing the Havieron licence area with regional targets and adjacent landholdings can be found at: www.greatlandgold.com/paterson        
 

 

Competent Person:

 

Information in this announcement that relates to exploration results has been extracted from the following announcements:

 

"Newcrest Quarterly Exploration Report", dated 30 January 2020

"Exploration Update - Drilling Returns High Grade Results at Havieron", dated 2 December 2019

"Newcrest Quarterly Exploration Report - September 2019", dated 24 October 2019

"Exploration Update - Havieron", dated 10 September 2019

"Newcrest Quarterly Exploration Report - June 2019", dated 25 July 2019

 

Information in this announcement, which has been taken from Newcrest Mining Limited's announcement "Newcrest Quarterly Exploration Report", dated 30 January 2020, has been reviewed and approved by Mr Mick Sawyer, a member of the Australian Institute of Geoscientists and a Registered Professional Geoscientist (R.P.Geo #10194), who has more than 15 years relevant industry experience. Mr Sawyer is Exploration Manager and a full-time employee of Greatland Pty Ltd, and holds employee options in Greatland Gold plc. Mr Sawyer, has sufficient experience relevant to the style of mineralisation and type of deposit under consideration, and to the activity which he is undertaking to qualify as a Competent Person as defined by the 2012 Edition of the Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves (the JORC Code) and under the AIM Rules - Note for Mining and Oil & Gas Companies, which outline standards of disclosure for mineral projects. Mr Sawyer consents to the inclusion in this announcement of the matters based on this information in the form and context in which it appears. The Company confirms that it is not aware of any new information or data that materially affects the information included in the relevant market announcement. The Company confirms that the form and context in which the information has been presented has not been materially modified.

 

Additional information on the project can be found on the Company's website at www.greatlandgold.com/paterson/ 

 

In addition to this release, a PDF version of this report, with supplementary information can be found at the Company's website: www.greatlandgold.com/media/jorc/

 

 

Enquiries:

 

Greatland Gold PLC

Gervaise Heddle/Callum Baxter

Tel: +44 (0)20 3709 4900

Email:  [email protected]

www.greatlandgold.com

 

SPARK Advisory Partners Limited (Nominated Adviser)

Andrew Emmott/James Keeshan

Tel: +44 (0)20 3368 3550

 

SI Capital Limited (Joint Broker)

Nick Emerson/Alan Gunn

Tel:  +44 (0)14 8341 3500

 

Numis Securities Limited (Joint Broker)

John Prior/Paul Gillam/Alamgir Ahmed

Tel: +44 (0)20 7260 1000

 

Luther Pendragon (Media and Investor Relations)

Harry Chathli/Alexis Gore/Joe Quinlan

Tel: +44 (0)20 7618 9100

 

 

Notes for Editors:

 

Greatland Gold plc is a London Stock Exchange AIM-listed (AIM:GGP) natural resource exploration and development company with a current focus on gold, copper and nickel exploration projects.

 

The Company has six main projects; four situated in Western Australia and two in Tasmania. All projects are 100% owned by Greatland.

 

In March 2019, Greatland signed a Farm-in Agreement with Newcrest Operations Limited, a wholly-owned subsidiary of Newcrest Mining Limited (ASX:NCM), to explore and develop Greatland's Havieron gold-copper deposit in the Paterson region of Western Australia. Newcrest has the right to earn up to a 70% interest in a 12-block area within E45/4701 that covers the Havieron target by spending up to US$65 million.

 

Greatland is seeking to identify large mineral deposits in areas that have not been subject to extensive exploration previously. It is widely recognised that the next generation of large deposits will come from such under-explored areas and Greatland is applying advanced exploration techniques to investigate a number of carefully selected targets within its focused licence portfolio.

 

The Company is also actively investigating a range of new opportunities in precious and strategic metals and will update the market on new opportunities as and when appropriate.

 

APPENDIX I

Havieron Project (Greatland Gold plc farm-in agreement): JORC Table 1

Section 1 Sampling Techniques and Data

Criteria

Commentary

Diamond core samples are obtained from diamond drilling in Proterozoic basement lithologies. PQ-HQ and NQ diameter diamond core was drilled on a 6m run. Diamond core was cut using an automated core-cutter and half core sampled at 1 m intervals with breaks for major geological changes. Sampling intervals range from 0.2 - 1.0 m. Cover sequences were not sampled.

Permian Paterson Formation cover sequence was drilled using mud rotary drilling and Reverse Circulation drilling (HAD023, HAD024 and HAD027 only). Depths of cover typically observed to approximately 420 m vertically below surface. Steel casing was emplaced to secure the pre-collar.

Diamond drilling was advanced from the base of the cover sequence with PQ3, HQ3 and NQ2 diameter coring configuration. 

Diamond core from inclined drill holes are oriented on 3m and 6m runs using an electronic core orientation tool (Reflex ACTIII). At the end of each run, the bottom of hole position is marked by the driller, which is later transferred to the whole drill core run length with a bottom of hole reference line.

Diamond core recovery is systematically recorded from the commencement of diamond coring to end of hole, by reconciling against driller's depth blocks in each core tray with data recorded in the database. Drillers depth blocks provided the depth, interval of core recovered, and interval of core drilled.

Diamond core recoveries were typically 100%, with isolated zones of lower recovery.

Cover sequence drilling by the mud-rotary drilling did not yield recoverable samples.

Geological logging recorded qualitative descriptions of lithology, alteration, mineralisation, veining, and structure (for all diamond core drilled - 11,075m), including orientation of key geological features.

Geotechnical measurements were recorded including Rock Quality Designation (RQD) fracture frequency, solid core recovery and qualitative rock strength measurements.

Magnetic susceptibility measurements were recorded every metre. The bulk density of selected drill core intervals was determined at site on whole core samples.

All geological and geotechnical logging was conducted at Havieron site.

Digital data logging was captured on diamond drill core intervals only, and all data validated and stored in an AcQuire database.

All drill cores were photographed, prior to cutting and/or sampling the core.

Sampling, sample preparation and quality control protocols are considered appropriate for the material being sampled.

Diamond core was cut and sampled at the Telfer core processing facility. Half core samples were collected in pre-numbered calico bags and grouped in plastic bags for dispatch to the laboratory. Sample weights typically varied from 0.5 to 4 kg. Sample sizes are considered appropriate for the style of mineralisation. Drill core samples were freighted by air and road to the laboratory.

Sample preparation was conducted at Intertek Laboratory, Perth. Samples were dried at 105oC, and crushed to 95% passing 4.75 mm, and the split to obtain up to 3 kg sub-sample, which was pulverised (using LM5) to produce a pulped product with the minimum standard of 95% passing 106 μm.

Duplicate samples were collected from crush and pulp samples at a rate of 1:20. Duplicate results show an acceptable level of variability for the material sampled and style of mineralisation.

Periodic size checks (1:20) for crush and pulp samples and sample weights are provided by the laboratory and recorded in the Acquire database. 

Assaying of diamond drill core samples was conducted at Intertek, Perth. All samples were assayed for 48 elements using a 4-acid digestion followed by ICP-AES/ICP-MS determination (method 4A/MS907). Gold analyses were determined by 50 g fire assay with AAS finish (method FA50N/AA).

Sampling and assaying quality control procedures consisted of inclusion of certified reference material (CRMs), coarse residue and pulp duplicates with each batch (at least 1:20).

Assays of quality control samples were compared with reference samples in AcQuire database and verified as acceptable prior to use of data from analysed batches.

Laboratory quality control data, including laboratory standards, blanks, duplicates, repeats and grind size results are captured in Acquire database and assessed for accuracy and precision for recent data.

Due to the limited extent of the drilling program to date, extended quality control programs are yet to be undertaken, whereby pulped samples will be submitted to an umpire laboratory and combined with more extensive re-submission programs.

Analysis of the available QC sample assay results indicates that an acceptable level of accuracy and precision has been achieved and the database contains no analytical data that has been numerically manipulated.

The assaying techniques and quality control protocols used are considered appropriate for the data to be used for reporting exploration drilling results.

Sampling intervals defined by the Geologist are electronically assigned sample identification numbers prior to core cutting. Corresponding sample numbers matching pre-labelled calico bags are assigned to each interval.

All sampling and assay information were stored in a secure Acquire database with restricted access.

Electronically generated sample submission forms providing the sample identification number accompany each submission to the laboratory. Assay results from the laboratory with corresponding sample identification are loaded directly into the Acquire database.

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