Greatland reports solid progress at Havieron deposit

The AIM-traded firm said the new breccia zone, ‘Northern Breccia’. identified in step-out drilling in the north west part of the deposit, was continuing to expand with further drilling.

Currently, the Northern Breccia had a footprint of around 300 by 100 by 300 metres open at depth, and highlighted a “broad bulk tonnage” target.

It said there had been “further excellent results” from the Northern Breccia, adding that higher-grade zones related to massive sulphide mineralisation were also observed within the Northern Breccia.

Infill drilling results reportedly demonstrated geological and grade continuity within the high-grade crescent sulphide zone and surrounding breccia.

The latest drill results provided additional support to the ongoing investigation of both high-grade selective and bulk mining methods, the board said.

It added that the results further advanced the geological understanding of the system, and indicated further potential for additional breccia and higher-grade sulphide style mineralisation in the less-explored Northern Breccia region.

Of the new results, Greatland reported that at hole HAD043W2, there was 116.2 metres at 2.6 grams of gold per tonne and 0.65% copper from 607 metres, including 18 metres at 6.3 grams of gold per tonne and 0.92% copper from 671 metres.

At hole HAD047, it reported 309 metres at 0.99 grams of gold per tonne and 0.07% copper from 915 metres, including 44 metres at 3.3 grams of gold per tonne and 0.15% copper from 1157 metres, while on hole HAD055W1, there were 171 metres at 1.5 grams of gold per tonne and 0.10% copper from 890 metres, including 12.1 metres at 4.5 grams of gold per tonne and 0.04% copper from 984.9 metres.

Finally, at hole HAD077, it reported 127.6 metres at 2.0 grams of gold per tonne and 0.33% copper from 551 metres, including 29.8 metres at 6.7 grams of gold per tonne and 0.86% copper from 616 metres, while on hole HAD078, there were 208.6 metres at 1.2 grams of gold per tonne and 0.22% copper from 832.4 metres, including 10.4 metres at four grams of gold per tonne and 0.11% copper from 1002.6 metres.

Looking at the next steps, Greatland said it was on track to deliver an initial resource for Havieron in the fourth quarter, as the exploration programmes continued, with both infill drilling to deliver a resource and step-out drilling to define the extent of the mineralised system.

Environmental and baseline studies were also progressing, to support the potential start of decline by the end of 2020 or early 2021, subject to market and operating conditions and the receipt of all necessary permits, consents and approvals.

Greatland said it was also continuing to investigate the potential to achieve commercial production within two to three years from the start of decline.

“The expansion of the new Northern Breccia zone is an important development that highlights the potential for a bulk tonnage mining operation at Havieron,” said chief executive officer Gervaise Heddle.

“Significantly, excellent results from step out drilling to date indicate the presence of higher-grade, massive sulphide mineralisation within the breccia bodies, which are yet to be fully defined by drilling and remain open at depth.”

As Newcrest's ongoing exploration programmes were continuing to define the extent of the mineralised system, Heddle also confirmed the expected delivery of an initial resource at Havieron in the fourth quarter of 2020.

“Alongside the progress at Havieron, we are continuing with our exploration plans at our other assets in the Paterson region and look forward to providing the market with further updates.”

At 1620 BST, shares in Greatland Gold were up 9.25% at 18.9p.