Greatland Gold (LSE:GGP) has reported another strong set of high-grade drill results at its copper-gold Haveiron project in Western Australia.
Shares in the AIM-listed explorer were up 9% to 12.55p in early Thursday trading.
CEO Gervaise Heddle hailed the “truly spectacular” results, including short sections as high as 76g/t gold and 1.2% copper, 66g/t gold and 2.6% copper, and 86g/t gold and 0.87% copper.
Greatland has in its hands one of the most exciting mineral discoveries in Australia in recent years.
Since the last update on 30 April 2020 a further 20,202m of new drilling from 27 holes has been reported.
The drill also revealed lengthy high-grade gold and copper intercepts.
The higher the grade discovered, the more economically viable drilling becomes.
“Analytical results released today from the Haveiron project are considered outstanding,” said Heddle, “and include 109m @6.3g/t gold and 0.71% copper from 668m, which represents one of the best results from the project to date.”
“Drilling continued to deliver high-grade broad intersections confirming the significance of this discovery, Activities were focused on infill drilling to support a maiden resource in the second half of 2020, as well as extension drilling to further understand the upside potential.”
Greatland said nine drill rigs are currently operational, supported by a camp comprising 100 staff.
Australian partner Newcrest Mining (ASX:NCM) is planning a further 80,000 metres of drilling at Haveiron in the 12 months from 1 July 2020.
Stage 2 of its farm-in agreement is now complete and as such Newcrest has earned a 40% interest in Haveiron.
In order to complete Stage 3 and earn an additional 20% interest, Newcrest must spend a further $25 million and deliver a pre-feasibility study. It will get first refusal on Greatland’s other local projects at Black Hills, Paterson Range East and the remainder of the Haveiron licence.
Haveiron sits 45km from Newcrest’s large but ageing Telfer mine.
Greatland acquired the Haveiron project from Pacific Trends Resources in September 2016 in a cash and shares deal. Greatland agreed an initial payment of $25,000AUD cash along with 65.5 million shares worth $225,000AUD, and a second payment of 145.5 million shares worth $500,000.
Greatland is pre-revenue and certainly pre-profit, having lost money every year for the last five years. Shareholders won’t be that concerned given the results that keep flowing from Haveiron.
In the last six months GGP shares have rocketed 629% from 1.72p to today’s price north of 12.5p.
Author: Mark Sheridan
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