REG - Great Western Mining - Rhyolite Dome Epithermal Gold Target

Great Western MiningAnnouncement

27/03/2024 07:00

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RNS Number : 3895I  Great Western Mining Corp. plc  27 March 2024

GREAT WESTERN MINING CORPORATION PLC

("Great Western", "GWM" or the "Company")

 

RHYOLITE DOME EPITHERMAL GOLD TARGET

 

Great Western Mining Corporation PLC (AIM - GWMO, Euronext Growth - 8GW) is
pleased to report results from ongoing work on the highly prospective Rhyolite
Dome gold target at its Olympic Gold Project in Nevada.

 

HIGHLIGHTS

 

·    Soil sampling results reveal Rhyolite Dome as a high priority gold
target.

·    Best grades include 61 ppb, 58 ppb and 51 ppb gold in recent samples
and 207 ppb gold in legacy samples.

·    Results include some of the strongest soil anomalism encountered to
date at the Olympic Gold Project.

·    Rhyolite Dome is further enriched with a suite of indicator elements,
including silver, arsenic, and mercury.

·    Rhyolite Dome is located at a crossover zone between northwest and
north-northeast trending major fault sets.

·    The Warrior, Hillside, Cute Maid and Lou epithermal gold deposits all
lie along a 2.2 km trend, similar to the distance from OMCO to Rhyolite Dome.

·    Other geological features that highlight prospectivity include a
silica sinter, chalcedony veins and a mapped placer.

 

Great Western Chairman Brian Hall commented:  "Multiple overlapping lines of
evidence make Rhyolite Dome a high priority gold target for Great Western. The
next step will be to conduct IP surveys over the structure to narrow down
drill targets in three dimensions with the objective of establishing a
discovery intercept. We look forward to updating shareholders on further
progress in 2024".

 

Introduction

 

Rhyolite Dome lies within the Olympic Gold Project, approximately 2 km
southeast of the OMCO gold mine site and 15 km southeast of the Paradise Peak
epithermal gold deposits.  It is a rhyolite flow dome structure, surrounded
by clay-altered andesite volcanics and rhyolitic tuffs, with scattered gold
anomalies identified in grabs during 2023 (see RNS Exploration Update 10 July
2023). The target has never been drilled.

 

Legacy soil data and new sampling

 

Great Western has recently digitised legacy reconnaissance soil results. The
dataset comprises multi-element results from 115 samples taken from Great
Western's claims, arrayed in four northeasterly traverses. The traverse that
crosses Rhyolite Dome contains some of the strongest soil anomalism
encountered at the Olympic Gold Project, including 207 ppb gold and 1,780 ppb
silver.

 

In general, the anomalies at Rhyolite Dome exceed those proximal to the OMCO
Mine and Trafalgar Hill where known mineralisation occurs. This has prompted
follow-up sampling at Rhyolite Dome, with a total of 145 new soil samples
taken along six lines, with 100 m line spacing and 30 m sample spacing along
each line.

 

Gold results

 

The gold results are highly positive.  Of the 145 samples taken, 54 are >
10 ppb gold, 9 are > 20 ppb gold and three outliers contain 51, 58 and 61
ppb gold (values above 5 ppb have been treated as anomalous for gold). The
best gold results in the new data are clustered near the location of the peak
legacy data sample (at 207 ppb gold). Based on these results, the northwest
side of Rhyolite Dome appears most prospective.

 

Multiple prospectivity indicators

 

A strong prospectivity picture is developing at Rhyolite Dome. Additional
indicators include:

 

·    Other metals: Silver, arsenic and mercury, all of which are also
indicative of low-sulphidation epithermal mineralisation, are enriched in
Rhyolite Dome area and show good correlation with gold and local structures
(Figure 2).

·    Geology: Rhyolite flow domes are associated with thermal centres in
epithermal systems forming above vertical lava conduits.

·    Textures:  On the southern margin of the dome structure, chalcedonic
stockwork veins were identified during soil sampling. Stockworks of this type
are typically found above the ore zone in low-sulphidation systems.

·    Hot spring deposits:  Surface deposits of amorphous silica (sinters)
flooding into lake sediments have been identified by GWM on the northwest
flank of the dome structure. Sinters are another feature typically found above
low-sulphidation centres.

·    Fluid pathways:  Rhyolite Dome area lies at a crossover zone between
northwest and north-northeast trending major fault sets.  These structures
may have provided vertical plumbing for both molten rock and mineralising
fluids. Metal anomalies are aligned along interpreted structures.

·    Placers: A legacy geological map indicates both outcropping quartz
and a 'gold placer', less than 200 m north of the previous best gold soils
results at Rhyolite Dome and topographically lower. Placers form from the
erosion of outcropping gold mineralisation and subsequent deposition of gold
detritus.

·    Neighbouring deposits: To the east of Olympic, the Warrior, Hillside,
Cute Maid and Lou epithermal gold deposits all lie along a 2.2 km trend,
similar to the distance from OMCO to Rhyolite Dome. These deposits are each
located on north-northwest trending structures - a matching orientation to the
OMCO-RH trend.

 

Figure 1. Left: Locations of Olympic and Rhyolite Dome relative to other mines
in the region. Great Western claims in yellow. Right: Gold distribution across
Rhyolite Dome area, note strongest values in northwest.

Figure 2. Elemental abundances of silver, arsenic and mercury in soils over
Rhyolite dome area.

Figure 3. Overlapping geochemical, geological and structural indicators.

 

ADDITIONAL INFORMATION

 

All soil samples were processed by Paragon Geochemical Laboratories, Reno,
Nevada. Samples were screened to -80 mesh and analysed by method FSAU-25, aqua
regia digest with ICP-MS finish for a 51-element suite. Quality control
samples were inserted by the company and results reviewed prior to release.

 

Note on units - gold, silver and mercury are quoted in parts per billion
(ppb), and arsenic in parts per million (ppm).

 

QUALIFIED PERSON STATEMENT

 

The information in this announcement that relates to exploration results is
based on information reviewed by Dr James Blight MGeol PhD MAusIMM who is
Exploration Manager of Great Western Mining PLC. Dr Blight is a "Qualified
Person" as defined in the "Note for Mining and Oil & Gas Companies" which
form part of the AIM Rules for Companies. Dr Blight has reviewed and consented
to the inclusion in the announcement of the information in the form and
context in which it appears.

 

For further information:

 

 Great Western Mining Corporation PLC
 Brian Hall,                                                                                                              +44 207 933 8780
 Chairman
 Max Williams, Finance                                                                                                    +44 207 933 8780
 Director

 Davy (NOMAD, Euronext Growth Listing Sponsor & Joint Broker)

 Brian Garrahy                                                                                                            +353 1 679 6363

 SP Angel (Joint Broker)

 Ewan Leggat/Harry Davies-Ball                                                                                            +44 203 470 0470

 Walbrook PR (PR advisers)

 Nick Rome/Joe                                                                                                            +44 207 933 8783
 Walker

 

 

Notes to Editors

The Company has a large tract of acreage in Mineral County, Nevada. The area
consists of rugged, mountainous terrain, which means that large parts of it
remain under-explored. Mineral potential is hosted by the regional Walker Lane
Structural Belt, the largest structural and metallogenic belt in Nevada, yet
one of the least explored in recent times, with gold, silver and copper
currently produced in Mineral County.  Great Western has seven distinct
concession areas which offer the potential for exploiting (1) short term gold
and silver deposits and (2) long-term, world-class copper deposits.

 

Six of the Company's properties are in the west of Mineral County and are 100%
owned and operated.  The Company has an option to acquire a seventh property,
the Olympic Gold Project, in the east of the county.  Great Western's small
exploration team is supported by locally based consultants and contractors.

 

 

The state of Nevada is considered to be one of the world's most mining
friendly jurisdictions.  While tightly regulated and environmentally
conscious, Nevada welcomes the mining industry.  Great Western takes care to
ensure that its claims are maintained in good standing and all regulations
observed.

 

There are numerous gold and silver prospects on the Company's acreage,
including extensive historic mine workings which offer the opportunity for
secondary recovery. The Company is party to a 50-50 joint venture known as
Western Milling LLC which is constructing a mill to process pre-mined material
for secondary recovery of gold and silver.

 

Furthermore, through extensive drilling over a five-year period, GWM has
established a Mineral Resource on its first target area known as M2, of 4.3
million tonnes at 0.45% copper, for 19,000 tonnes of contained copper metal.
This resource has been independently reported in accordance with JORC
guidelines.

 

GWM has also established an Inferred Resource Estimate of 31,000 tonnes
grading 1.6 g/t gold and 3.0 g/t silver in tailings associated with the OMCO
Mine at the Olympic Gold Project.  Additionally, exploration targets have
been independently reported as follows:

 

·    3,400 - 6,400 tonnes grading between 0.5 and 1.2 g/t Au and 1.2 and
2.1 g/t Ag in the substrate beneath the tailings volume at the Olympic Mine.

·    9,000 - 12,000 tonnes grading between 0.9 and 2.4 g/t Au and 2.0 and
5.1 g/t Ag in a coarse stockpile at Olympic Mine.

·    4,200 - 7,700 tonnes grading between 40 and 140 g/t Ag and 0.3 and
0.3 g/t Au in spoil heaps at Mineral Jackpot.

 

 

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