REG - Great Western Mining - £500,000 Placing of New Ordinary Shares

Great Western MiningAnnouncement

25/06/2024 07:00

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RNS Number : 6799T  Great Western Mining Corp. plc  25 June 2024

This announcement contains inside information for the purposes of article 7 of
the Market Abuse Regulation (EU) 596/2014.

 

 

25 June 2024

GREAT WESTERN MINING CORPORATION PLC

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

 

£500,000 PLACING OF NEW ORDINARY SHARES

 

Great Western Mining Corporation PLC (AIM - GWMO, Euronext Growth - 8GW),
which is exploring and developing gold, silver and copper targets in the
highly prospective Walker Lane trend of Nevada, is pleased to announce a
placing to raise gross proceeds (before expenses) of £500,000 through the
issue of 1,250,000,000 new Ordinary Shares of €0.0001 each (the "Placing
Shares") at a price of 0.04 pence each (the "Placing").   CMC Markets UK Plc
trading as CMC CapX, acted as the Company's placing agent in respect of the
placing.

 

USE OF PROCEEDS

 

Great Western plans to use the net proceeds of the Placing for some or all of
the following purposes:

 

·    Transport the Company's first raw material from remote sites to
Western Milling LLC's precious metals processing plant in which Great Western
has a 50% interest.

·    Continue an active programme at West Huntoon which includes (i) a
geochronological analysis to age-date and correlate data on the copper
porphyry with neighbouring prospects (ii) a trenching programme to test for
copper in the area of granites identified last year and to follow up
bonanza-grade silver soil samples identified through surface grabs in 2023 and
(iii) to commence precious metals exploration with the Company's joint venture
partner under the Huntoon Mine Cooperation agreement signed earlier this year.

·    Carry out further work on the undrilled Rhyolite Dome in the southern
part of the Olympic Gold Project, including geophysics to identify best drill
targets.

·    Follow-up soil sampling programmes at Rock House Group and Jack
Springs Group where gold and silver intercepts have already been encountered
and reconnaissance soil sampling at the TUN Group.

·    General corporate purposes.

 

Great Western Executive Chairman Brian Hall commented: "Our projects are
moving forward on all fronts.  The Western Milling joint venture, in which we
hold a 50% interest, has now received notification of a permit from the Nevada
Department oof Environmental Protection (NDEP) which remains subject to a
30-day public consultation period, after which plant commissioning and moving
raw material to site can begin, leading to first revenues from production of
precious metal concentrates.

 

"Work at the West Huntoon copper prospect over the last 12 months has
established an independently verified copper porphyry with enormous potential
for Great Western, further supported by a geophysical survey carried out this
spring, results of which have recently been reported to shareholders.

 

"On the precious metals side, we are planning exploration in several areas,
including the undrilled Rhyolite Dome prospect at Olympic Gold.  We shall
also be exploring for gold with our partner in the 'Huntoon Mine Cooperation
Agreement' signed earlier this year, from which any shallow-mined ore could
potentially be processed through Western Milling.

 

"The proceeds of this placing will enable us to maintain the momentum in our
operations and will be well used."

 

 

ADMISSION OF NEW SHARES AND TOTAL VOTING RIGHTS

 

Admission of the Subscription Shares to trading on the AIM and Euronext Growth
markets is expected to occur on or around 1 July 2024 ("Admission").  The
Placing is conditional on Admission.

 

Following Admission, the Company's issued ordinary share capital will comprise
8,346,945,746 ordinary shares of €0.0001.  There are no ordinary shares
held in treasury.  Accordingly, this number will represent the total voting
rights in the Company, and, following admission of the Subscription Shares,
may be used by shareholders as the denominator for the calculation by which
they can determine if they are required to notify their interest in, or a
change to their interest in, the Company under the Financial Conduct
Authority's Disclosure and Transparency Rules. The new shares will rank pari
passu in all respects with the ordinary shares of the Company currently traded
on AIM and Euronext Growth.

 

For further information:

 

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

 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                                                         +44 207 933 8783

 

 

 

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.

 

The Company's properties are all in Mineral County, Nevada and are 100% owned
and operated.   Great Western's small exploration team is supported by
locally based consultants and contractors.

 

The state of Nevada is 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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