TIDMGGP
RNS Number : 9554F
Greatland Gold PLC
23 May 2017
23 May 2017
Dissemination of a Regulatory Announcement that contains inside
information according to REGULATION (EU) No 596/2014 (MAR).
Greatland Gold plc
("Greatland" or "the Company")
Bromus Project Drilling Identifies Elements Consistent with VMS
Style Mineralisation
Greatland Gold plc (AIM:GGP), the precious and base metals
exploration and development company, provides an update of its
drilling campaign at its 100% owned Bromus project. The drilling
campaign, which consisted of two drill holes testing downhole
Electromagnetic ("EM") targets, has intersected silver, zinc and
other elements consistent with Volcanogenic Massive Sulphide
("VMS") style systems, thereby extending the strike to 1.5
kilometres. Additionally, the results of the drilling campaign
returned low levels of nickel sulphide.
Summary of Drilling Campaign
-- Results from two drill holes testing downhole EM targets
returned elevated levels of zinc, silver, cadmium and sulphur
consistent with VMS style mineralisation; and low levels of nickel
sulphide;
-- These results extend the VMS style mineralisation over
approximately 1.5km of strike which is likely to extend further
based on a preliminary review of data;
-- Bromus to now focus on:
o further delineation of this VMS style systems and;
o a review of further targets including gold mineralisation that
was recorded in historic drilling approximately 1.2 kilometres to
the north of the latest drilling campaign.
-- One additional target identified by the downhole EM survey
conducted last year remains to be tested.
Gervaise Heddle, Chief Executive Officer, commented: "There has
been renewed interest in VMS style deposits in Western Australia
after the demonstration of their potential at the DeGrussa deposit
and historically at the Golden Grove deposit, a gold copper
producer in Western Australia. VMS style deposits can have
significant value with their multiple commodities, particularly if
they have associated precious metals. Consequently, we intend the
Bromus Project to focus solely on VMS style deposits and look
forward to making progress and updating the market in due
course.
Overview of Bromus Project
The Bromus project is located in southern Western Australia,
approximately 25km south west of the town of Norseman, and covers
approximately 93 square kilometres. Several significant gold and
nickel deposits lie in the region, such as those at Central
Norseman, Kambalda and Widgiemooltha. Greatland owns 100% of the
project.
A review of detailed airborne geophysics defined a 4.5km long
ultramafic unit displaying elevated surface geochemistry to
2,690ppm nickel within the Bromus project area. Field work
confirmed the presence of flow textured ultramafic lithologies and
little previous exploration had been carried out. A fixed loop
ground electromagnetic (EM) survey was completed in 2015 which
confirmed several significant bedrock conductors in the survey
area.
Such large bodies of conductive material are typically signs of
sulphide deposits. The tenor (or grade) of nickel in these deposits
can only be determined by drilling and laboratory analysis.
Drilling by Greatland during 2016 and 2017, and subsequent
downhole EM, better defined these buried conductors which were of
significant size (+100m long and +50m wide). Drilling intersected
ultramafic, mafic and granitic lithologies along with massive and
stringer sulphide mineralisation explaining the EM response.
Unfortunately no significant nickel was associated with the
sulphide mineralisation. Highest nickel response in BRD005 and
BRD006 was 1m at 1,812ppm nickel (0.18% Ni). Geology in both holes
was predominantly deformed and altered basalt and ultramafic rocks
adjacent to a significant, structurally altered, hanging wall
granite contact. Results for Greatland holes BRD001-BRD004 were
previously reported 20 September 2016.
However, in several Greatland drill holes, polymetallic
Volcanogenic Massive Sulphide (VMS) style mineralisation was
recognised. In BRD005 a 4m VMS intercept from 122m downhole of up
to 1m at 2.2g/t silver, 1m at 0.87% zinc, 1m at 17.3ppm cadmium and
1m at 13.6% sulphur. In BRD006 a 3m VMS intercept from 136m
downhole of up to 1m at 1.7g/t silver, 1m at 0.67% zinc, and 1m at
16.3ppm cadmium and 10.4% sulphur. Four of the six holes drilled at
Bromus by Greatland intersected VMS style mineralisation BRD002,
BRD004, BRD005 and BRD006.
The silver and zinc mineralisation with associated cadmium and
sulphur is indicative of a VMS style system which represents a
relatively new target style for the district. VMS style deposits
can have significant value with their multiple commodity credits,
particularly if they have associated precious metals. Good examples
of these types of deposits in Western Australia are Golden Grove
and DeGrussa. Greatland work to date has identified the
mineralisation over approximately 1.5km of strike which is likely
to extend further based on a preliminary review of data. Greatland
is also reviewing regional data sets to assess the broader
potential of the region for these valuable deposits.
Additional information on the Bromus project can be found on the
Company web site at www.greatlandgold.com/projects
Competent Person:
Information in this announcement that relates to exploration
results is based on information compiled by Mr Callum Baxter, a
director of Greatland Gold plc, who is a member of the Australasian
Institute of Mining and Metallurgy and Australian Institute of
Geoscientists. Mr Baxter has sufficient experience relevant to the
style of mineralisation and type of deposit under consideration and
to the activity which has been undertaken 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. Mr Baxter consents to the inclusion in
the announcement of the matters based on their information in the
form and context in which it appears.
Enquiries:
Greatland Gold PLC
Callum Baxter/Gervaise Heddle
Tel +44 (0)20 7747 9980
Email: info@greatlandgold.com
www.greatlandgold.com
SPARK Advisory Partners Limited (Nominated Adviser)
Mark Brady/Sean Wyndham-Quin/James Keeshan
Tel +44 (0)20 3368 3550
SI Capital Limited (Broker)
Nick Emerson / Andy Thacker
Tel +44 (0)14 8341 3500
Luther Pendragon (Media and Investor Relations)
Harry Chathli/Ana Ribeiro/Alexis Gore
Tel +44 (0)20 7618 9100
Notes for Editors:
Greatland Gold plc is London listed (LON:GGP) natural resource
exploration and development company with a current focus on gold
and nickel exploration projects.
The Company has five main projects; three situated in Western
Australia and two in Tasmania. All projects are 100% owned by
Greatland or Greatland has the right to take 100% ownership.
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.
This information is provided by RNS
The company news service from the London Stock Exchange
END
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