Greatland Gold PLC (AIM:GGP) Havieron Mineral Resource Estimate Update

Havieron Mineral Resource Estimate Update

Greatland Gold plc (AIM: GGP) provided an updated Mineral Resource Estimate for Havieron, its flagship gold-copper project located in the Paterson Province of Western Australia.

Highlights

§ Estimated Mineral Resources (including Ore Reserves) increased to 8.4Moz AuEq¹ (7.0Moz Au plus 275kt Cu), an increase of 1.9M oz AuEq¹ from Greatland’s 2022 Mineral Resource Estimate:

–  29% increase in total gold equivalent content to 8.4M oz AuEq¹.

–  28% increase in total gold content to 7.0M oz Au.

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

§ Drilling since Greatland’s previous Mineral Resource Estimate (MRE) update in March 2022 targeted the lower portion of the mineral system and has increased the ounce per vertical metre (OPVM) profile of these lower levels in line with the upper levels of the deposit. The updated MRE now averages 7,900 OPVM (gold equivalent) over the top 1,000 metres vertically.

§ The MRE update includes a 32% increase in contained gold equivalent metal 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.

The updated MRE incorporates approximately 93,000 metres additional drilling completed since the December 2021 drilling cut-off for Greatland’s March 2022 MRE.

Updated Mineral Resource Statement for the Havieron Deposit (100%) ^{# *}

# 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 Return²/t (“NSR²/t^“) shell while Mineral Resources in the Breccias are reported within a A$50 NSR²/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 NSR²/t shells respectively.

Greatland Managing Director, Shaun Day, commented:

“We are delighted by the continued growth in the Havieron Mineral Resource Estimate. The growth journey in the resource has been very significant with the total gold equivalent Mineral Resource content having increased from 4.4M oz in the October 2021 MRE, to 6.5M oz in the March 2022 MRE, and now to 8.4M oz in 2023.

The updated MRE now averages over 7,900 ounces per vertical metre (gold equivalent) over 1,000 metres vertically, which is testament to the quality of the Havieron ore body.

The high grade South East Crescent Zone Mineral Resource is now defined over a 1,200 vertical metres (another 200 metres deeper than in the March 2022 MRE update) and remains open at depth. 

It was particularly pleasing to delineate additional ounces in the lower third of the current extents of the mineralised system, with around 70% of the MRE increase identified in the extensions to this part of the ore body.

Another promising aspect of this update is the definition of the Link Zone, between the Eastern Breccia and main Havieron Breccia; whilst previously interpreted as separate domains, we have now confirmed mineralisation is continuous and the breccias are now defined as a singular continuous Breccia domain.

This update further demonstrates the quality and scale of Havieron, and the compelling investment proposition for Greatland.  We are excited to see the impact of the significant growth in the Indicated category on the updated Ore Reserve Estimate that will underpin the Feasibility Study which is ongoing and expected to be completed in 2024.”

Important notes

Mineral Resource estimates are expressions of judgement based on knowledge, experience and industry practice.  They are also based on a number of material assumptions (such as future commodity prices and foreign exchange, cut off grades) which may prove to be incorrect.  Estimates which were valid when originally made may alter significantly when new information or techniques becomes available.  In addition, by their very nature, Mineral Resource estimates are imprecise and depend to some extent on interpretations, which may prove to be inaccurate.  Unless and until actually mined and processed, no assurance can be given that any estimated tonnage, grades and recovery levels will be realised.

This announcement and the updated Mineral Resource Estimate for the Havieron Project contained in it have been prepared solely by Greatland based on relevant available information and have not been reviewed or approved by Greatland’s Havieron joint venture partner, Newmont Corporation (Newmont).   Newcrest Operations Limited, a subsidiary of Newmont, is the manager of the Havieron Joint Venture and holds the majority 70% joint venture interest. Whilst the information in this announcement pertaining to the estimation and reporting of the Mineral Resources has been reviewed and approved by a Competent Person³ and the updated Mineral Resource estimate has been independently reviewed by SRK Consulting (Australasia) Pty Ltd⁴, the Company considers that it is possible that, in preparing any future Mineral Resource estimate or Ore Reserve estimate for the Havieron project,  Newmont may adopt different interpretations, assumptions, parameters or plans, or make different judgements, to those used or made by Greatland in the updated Mineral Resource Estimate contained in this announcement.

Forward Looking Statements 

This document includes forward looking statements and forward looking information within the meaning of securities laws of applicable jurisdictions. Forward looking statements can generally be identified by the use of words such as “may”, “will”, “expect”, “intend”, “plan”, “estimate”, “anticipate”, “believe”, “continue”, “objectives”, “targets”, “outlook” and “guidance”, or other similar words and may include, without limitation, statements regarding estimated reserves and resources, certain plans, strategies, aspirations and objectives of management, anticipated production, study or construction dates, expected costs, cash flow or production outputs and anticipated productive lives of projects and mines. 

These forward looking statements involve known and unknown risks, uncertainties and other factors that may cause actual results, performance and achievements or industry results to differ materially from any future results, performance or achievements, or industry results, expressed or implied by these forward-looking statements. Relevant factors may include, but are not limited to, changes in commodity prices, foreign exchange fluctuations and general economic conditions, increased costs and demand for production inputs, the speculative nature of exploration and project development, including the risks of obtaining necessary licences and permits and diminishing quantities or grades of reserves, political and social risks, changes to the regulatory framework within which Greatland operates or may in the future operate, environmental conditions including extreme weather conditions, recruitment and retention of personnel, industrial relations issues and litigation. 

Forward looking statements are based on assumptions as to the financial, market, regulatory and other relevant environments that will exist and affect Greatland’s business and operations in the future. Greatland does not give any assurance that the assumptions will prove to be correct. There may be other factors that could cause actual results or events not to be as anticipated, and many events are beyond the reasonable control of Greatland. Forward looking statements in this document speak only at the date of issue. Greatland does not undertake any obligation to update or revise any of the forward looking statements or to advise of any change in assumptions on which any such statement is based.

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.

³ See Competent Person’s Statement below for details.

⁴ See Section titled “Independent Review of the Mineral Resource Update”.

Contact

For further information, please contact:

Greatland Gold plc

Shaun Day, Managing Director  |  info@greatlandgold.com