REG - Greatland Gold PLC - Havieron Quarterly Update

Greatland GoldAnnouncement

25/01/2024 07:00

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RNS Number : 8961A  Greatland Gold PLC  25 January 2024

Greatland Gold plc (AIM: GGP)

E: info@greatlandgold.com

W: https://greatlandgold.com

: twitter.com/greatlandgold

 

 

NEWS RELEASE | 25 January 2024

 

 

Havieron Quarterly Update

 

 

THIS ANNOUNCEMENT CONTAINS INSIDE INFORMATION AS STIPULATED UNDER THE UK
MARKET ABUSE REGULATIONS.  ON PUBLICATION OF THIS ANNOUNCEMENT VIA A
REGULATORY INFORMATION SERVICE, THIS INFORMATION IS CONSIDERED TO BE IN THE
PUBLIC DOMAIN.

Greatland Gold plc (AIM:GGP) (Greatland or the Company) is pleased to provide
an update on activities and developments at Havieron, the world class
gold-copper project located in the Paterson Province, for the December 2023
quarter.

 

Highlights

 

§ Development: Total development to date now exceeds 3,060 metres,
representing approximately 80% of vertical distance through to the top of the
Havieron ore body.

 

§ Dewatering: Depressurisation and dewatering of the lower confined aquifer
is ongoing.

 

§ Mineral Resource Estimate: Greatland's updated Mineral Resource Estimate
(MRE) released in December 2023 increased estimated Mineral Resources
(including Ore Reserves) to 8.4Moz total gold equivalent metal (AuEq(1)).

 

§ Newmont: Newmont Corporation (NYSE:NEM) welcomed as Greatland's Havieron
joint venture partner following completion of its acquisition of Newcrest
Mining Limited.

 

Development update

 

Total development at Havieron now exceeds 3,060 metres including over 2,110
metres of advance in the main access decline (as at 31 December 2023).  There
is approximately 80 vertical metres of development remaining before the
decline reaches the base of the Permian cover and top of the Havieron orebody
at around 420 vertical metres. Accordingly, approximately 80% of vertical
distance is complete in terms of reaching the top of the Havieron ore body.

 

As previously announced in October 2023, the decline is approaching the lower
confined aquifer (LCA), the third and final aquifer through which the decline
passes, and a pause in development is currently underway to allow
depressurisation of the LCA. Depressurisation activities are progressing, with
six depressurisation holes now drilled into the LCA and pumping water to
evaporation facilities at the surface.  Data collection and evaluation is
continuing in parallel to increase confidence in water management from the LCA
and determine the timing of any additional water management infrastructure
that would be required at surface for resumption of the decline development.

 

The Feasibility Study continued to progress through the quarter, with several
value enhancing options being assessed to maximise value and de-risk the
project.

Updated Mineral Resource Estimate

 

Greatland was delighted to release an updated MRE for Havieron during the
quarter (refer to RNS announcement titled 'Havieron Mineral Resource Estimate
Update' dated 21 December 2023).  Key highlights included:

 

§ 29% increase in estimated gold equivalent Mineral Resources (including Ore
Reserves) to 8.4Moz AuEq(1) (7.0Moz Au plus 275kt Cu) from Greatland's March
2022 MRE.

 

§ 32% increase in contained gold equivalent metal, delivering 5.0Moz at
3.1g/t AuEq(1), in the higher confidence Indicated MRE category, which can now
be considered in the updated Ore Reserve Estimate that will be part of the
Feasibility Study.

 

§ Continuous mineralisation confirmed between the Eastern Breccia and main
Havieron Breccia domains with the definition of a new high grade "Link Zone".

 

§ Significantly increased ounce per vertical metre (OPVM) profile in the
lower levels of the Havieron deposit, in line with the upper levels. The
updated MRE now averages 7,900 OPVM (gold equivalent(1)) over the top 1,000
metres of the deposit vertically.

 

Table 1: Updated Mineral Resource Statement for the Havieron deposit (100%) (#
*)

 

 Classification          Tonnage  Grade             Metal              AuEq Metal
                         Mt       Au (g/t)  Cu (%)  Au (Moz)  Cu (Kt)  AuEq (Moz)
 Indicated               50       2.6       0.33    4.1       168      5.0
 Inferred                81       1.1       0.13    2.9       107      3.4
 Total Mineral Resource  131      1.7       0.21    7.0       275      8.4

 

# Grades are reported to one (gold) and two (copper) decimal places to reflect
appropriate precision in the estimate, and this may cause apparent
discrepancies in totals. Results represent 100% of the Mineral Resource for
Havieron. Mineral Resources in the South East Crescent and Link Zone are
reported within a A$80 Net Smelter Return(2)/t ("NSR(2)/t(")) shell while
Mineral Resources in the Breccias are reported within a A$50 NSR(2)/t shell.
Resources are inclusive of Reserves.

* The updated Mineral Resource Estimate assumes selective mining of the South
East Crescent and Link Zone and bulk extraction in the Breccias and are
reported inside A$80 or A$50 NSR(2)/t shells respectively.

Figure 1. Schematic 3D view looking northwest, depicting the Greatland
Havieron December 2023 MRE (left hand figure) with OPVM charted to the right.
The OPVM for the March 2022 MRE is also charted (light grey dashed line).
Drilling intensity (grey horizontal bars) are a visual representation of the
extent of drilling that has informed the MRE by vertical level (not plotted to
the OPVM scale). The X axis scale (horizontal) is OPVM, while the Y axis
(vertical) is plotted as relative depth in metres RL (Reduced Level).

 

Newmont

 

Greatland welcomed world gold major, Newmont Corporation (NYSE:NEM) (Newmont),
as its Havieron joint venture partner during the quarter, following the
successful completion by Newmont of its acquisition of Newcrest Mining
Limited.

 

Newmont operates a global portfolio of world-class projects and is led by a
highly experienced management team with a proven track record of project
development and value creation.  Greatland and Newmont are engaging
constructively on various aspects of the Havieron joint venture, and Newmont's
involvement is considered highly additive to delivering the full potential of
Havieron for all stakeholders.

 

Greatland Managing Director, Shaun Day, commented: "The December 2023 Quarter
was another busy and productive period for Greatland. The updated Mineral
Resource Estimate is a particular highlight, further demonstrating the quality
and scale of Havieron. In addition, important work has been progressed to
optimise and safeguard development through the lower confined aquifer, which
is a key milestone and de-risking event in the underground decline
development."

 

Competent Person Statement

 

Information in this announcement pertaining to the Reporting of the Havieron
December 2023 Mineral Resources estimate was first announced by Greatland on
21 December 2023 (refer to RNS announcement titled 'Havieron Mineral Resource
Estimate Update' dated 21 December 2023) and is based on information compiled
and approved by Mr Michael Thomson, a Member of the Australian Institute of
Geoscientists (AIG), who has more than 20 years relevant industry
experience.  Mr Thomson is a full-time employee of the Company and has a
financial interest in Greatland.  Mr Thomson has sufficient experience
relevant to the style of mineralisation, type of deposit under consideration,
and to the activity which he is undertaking 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, which
outline standards of disclosure for mineral projects.  Mr Thomson consents to
the inclusion in this announcement of the matters based on this information in
the form and context in which it appears.

 

The Company is not aware of any new information or data that materially
affects the information included in the original market announcement and
confirms that all material assumptions and technical parameters underpinning
the Havieron December 2023 Mineral Resource estimates continue to apply and
have not materially changed.

 

Footnotes:

(1) The gold equivalent (AuEq) is based on assumed prices of US$1,700/oz Au
and US$3.75/lb Cu for Mineral Resource and metallurgical recoveries based on
block metal grade, reporting approximately at 87% for Au and 87% for Cu which
in both cases equates to a formula of approximately AuEq = Au (g/t) + 1.6* Cu
(%). It is the company's opinion that all the elements included in the metal
equivalents calculation have a reasonable potential to be recovered and sold.

(2 ) The Net Smelter Return ("NSR") is calculated using metal prices of
US$1,700/oz Au and US$3.75/lb Cu, metallurgical recoveries based on block
metal grade reporting approximately at 87% for Au and 87% for Cu, an USD:AUD
exchange rate of 0.72, as well as treatment and refining costs, payables and
royalties.

 

Contact

 

For further information, please contact:

 

Greatland Gold plc

Shaun Day, Managing Director  |  info@greatlandgold.com

 

Nominated Advisor

SPARK Advisory Partners

Andrew Emmott / James Keeshan / Neil Baldwin  |  +44 203 368 3550

 

Corporate Brokers

Berenberg  |  Matthew Armitt / Jennifer Lee  |  +44 203 368 3550

Canaccord Genuity  |  James Asensio / George Grainger  |  +44 207 523 8000

SI Capital Limited  |  Nick Emerson / Sam Lomanto  |  +44 148 341 3500

 

Media Relations

UK - Gracechurch Group  | Harry Chathli / Alexis Gore / Henry Gamble  |
+44 204 582 3500

Australia - Fivemark Partners  |  Michael Vaughan  |  +61 422 602 720

 

About Greatland

 

Greatland is a mining development and exploration company focused primarily on
precious and base metals.

 

The Company's flagship asset is the world-class Havieron gold-copper project
in the Paterson Province of Western Australia, discovered by Greatland and
presently under development in joint venture with world gold major, Newmont
Corporation.

 

Havieron is located approximately 45km east of Newcrest's existing Telfer gold
mine. The box cut and decline to the Havieron orebody commenced in February
2021. Total development now exceeds 3,060m including over 2,110m of advance in
the main access decline (as at 31 December 2023).  Subject to a positive
Feasibility Study and Decision to Mine, Havieron is intended to leverage the
existing Telfer infrastructure and processing plant.  Access to Telfer would
de-risk the development and reduces capital expenditure.

 

Greatland has a proven track record of discovery and exploration success and
is pursuing the next generation of tier-one mineral deposits by applying
advanced exploration techniques in under-explored regions. Greatland has a
number of exploration projects across Western Australia and in parallel to the
development of Havieron is focused on becoming a multi-commodity miner of
significant scale.

 

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