Greatland Gold plc (AIM:GGP) has issued an independently assessed update on the mineral resources and ore reserves at the Havieron gold-copper deposit in the Paterson region of Western Australia.
The update is based on increased drill density throughout the deposit with a further 87 drill holes for 59,270m completed since the last resources and reserves update published in miner’s Pre-Feasibility Stud, which used drill data up to February 2021.
We note that the resource update is at a ‘point in time’, with a 2 December 2021 cut-off for drilling information used to inform the Mineral Resource Estimate. Greatland Gold said that drilling is ongoing, with extension drilling targeting the South East Crescent Zone at depth, while growth drilling targeting the Eastern Breccia is underway with initial high grade intersections, evidenced by HAD1046 being comparable to those seen at the South East Crescent Zone, demonstrating a promising start.
“This Mineral Resource and Ore Reserve update represents a considerable increase on that which was defined in the Stage 1 PFS,” explained CEO Shaun Day this morning. “The update has unearthed further aspects of the Havieron system and validates that Havieron is a world class deposit with significant growth potential. Through an independently verified analysis, the total Mineral Resource at Havieron has increased to 6.5M oz of gold equivalent, an increase of almost 50% in 10 months of drilling.”
Drilling is also underway to continue to assess the broader Havieron breccia system’s suitability for a bulk mining approach. Concurrent studies are underway to assess production rates greater than 3 million tonnes per annum. Greatland Gold is targeting a further 40,000m of growth drilling in the year to 30 June 2022 which has the potential to further expand the Havieron resource.
Increase in total Mineral Resource
This update represents a considerable increase on that which was defined in the Stage 1 PFS. The update has unearthed further aspects of the Havieron system and validates that Havieron is a world class deposit with significant growth potential. Through an independently verified analysis, the total Mineral Resource at Havieron has increased to 6.5M oz of gold equivalent, an increase of almost 50% in 10 months of drilling.
“The exceptional 86% rate of conversion of Mineral Resources to Ore Reserves demonstrates the quality of the high grade South East Crescent Zone at Havieron,” Day said.
Progress on Breccia complex
In addition to the Mineral Resources within the Havieron Breccia complex, growth drilling has now defined an initial Mineral Resource within the separate Eastern Breccia complex. This is the first Mineral Resource in a mineralised system outside the Havieron Breccia system and remains open at depth and to the south.
Greatand Gold said this Eastern Breccia Mineral Resource does not capture the recent high grade intercepts to its south, which is of similar grade to the South East Crescent Zone.
“With an ongoing and substantial expansion drilling campaign continuing, there is every opportunity to deliver more growth to the Mineral Resource and Ore Reserve as we continue to better understand the extent of mineralisation across the broader Havieron zonation,” Day noted.
The investment proposition for Greatland remains very interesting, with this further understanding of the quality and scale of Havieron supported by this new Mineral Resource update.
