Operational Update

RNS Number : 3557M

Great Western Mining Corp. plc

17 September 2012

 



17 September 2012

Great Western Mining Corporation PLC

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

Exploration Update

Positive Results from Completion of Phase 1 work on Target 4 project in Nevada

·      Phase 1 work confirms near-surface copper oxide mineralisation over a 2,500m strike length

·      Trench sampling returns 0.13% copper over 35m

·      Independent exploration targets established in compliance with JORC Code

o  Near surface oxides up to 48.5 million tonnes at 0.3% to 0.5% Cu

o  Deeper sulphides up to 195 million tonnes at 0.3% to 0.8% Cu

·      Nine-hole drilling programme planned

Great Western Mining, the AIM and ESM quoted mineral exploration company, is pleased to report on further exploration results lending strength to the Company's belief in the existence of significant copper potential in its claims near Marietta, Nevada. These copper results at prospect Target 4, located in the highly prospective Walker-Lane trend, add to the encouraging results on the adjacent area, M2, announced on 19 July 2012.  The Walker Lane trend runs from Nevada to Arizona and has hosted many gold and copper producers.

Emmett O'Connell, Executive Chairman, commented:

"Completion of Phase 1 on Target 4 has provided solid evidence regarding the presence of copper mineralisation at this target and, as a result, we are encouraged to progress with our exploratory programme in the firm knowledge of the existence and proliferation of copper mineralisation within GWM's claims.

"The Target 4 prospect, which is located near the centre of the Company's seven prospects, and adjacent to the M2 prospect, represents an area of 1.25 square kilometres.  Following the independent  Phase 1 report, compiled in accordance with the JORC Code, regarding the potential propagation of copper mineralisation, the Company is now planning for, subject to permitting and financing, a nine-hole drilling programme to commence in the fourth quarter of the year."

The Phase 1 report incorporated the results of ASTER spectral analysis, magnetic and IP surveys, soil and rock geochemistry and chip channel sampling of two trenches.

The report has established an exploration model based on:

·      An interpreted east-west elongate, buried porphyry intrusive which may be the source of the copper mineralisation

·      IP results suggest that primary sulphides may extend to a depth of several hundred metres

·      Surface copper mineralisation may represent  a copper oxide 'cap' with potential for shallow oxide resource which may be amenable to open pit, heap leach extraction

·      Moderate bismuth soil and rock chip anomalies within the area under exploration strengthen support for intrusive-related mineralisation.

·      Four grab  samples from old workings averaged 1.47% Cu (1.35% acid soluble Cu)

·      Chip channel samples from trench average  0.13% Cu over 35m

·      Independent exploration targets, compiled in accordance with the JORC Code established; oxides up to 48.5 million tonnes at 0.3% to 0.5% Cu, sulphides up to 195 million tonnes at 0.3% to 0.8% Cu

Exploration targets

The exploration targets have been independently estimated, in compliance with the requirement of the JORC Code, from consideration of the extent of the visible copper oxide mineralisation at surface, grab sample grades from old workings, the results of channel chip sampling of two trenches and geophysics.

Oxides

6.5 million tonnes to 48.5 million tonnes at 0.3% Cu to 0.5% Cu containing 19,500 to 242,500 tonnes Cu

Sulphides

16.25 million tonnes to 195 million tonnes at 0.3% to 0.8% Cu containing 48,750 to 1,560,000 tonnes Cu

The potential quantity and grade in the above estimates is conceptual in nature, that there has been insufficient exploration to define a Mineral Resource and that it is uncertain if further exploration will result in the determination of a Mineral Resource.

The tonnage, grade and contained copper potential in the GWM oxide exploration target is comparable with other copper deposits in the Yerington area of Nevada; Quaterra Resources MacArthur copper project (total resources 403 million tonnes at 0.2% Cu), Nevada Copper Pumpkin Hollow project (open pit reserves 370 million tonnes at 0.43% Cu, open pit resources 138 million tonnes 0.4% Cu).

The report recommends a Phase 2 drilling programme of nine core holes (1,525m). Drilling is planned to start, subject to permitting and financing, on N-S sections, 100m apart, each consisting of three near vertical holes, planned to a depth of 50-100m. Depending on results, further step out and in-fill drilling will be undertaken.  It is hoped to drill one longer hole to confirm the potential for a 2,500m by 500m primary sulphide body at depth as indicated by the IP survey.

Competent Person Statement

Information in this release that relates to exploration results is based on information compiled by Donald G. Strachan, Consulting Geologist QP CPG. Mr. Strachan is a certified professional geologist under the American Institute of Professional Geologists, a fellow of the Geologic Association of Canada and is a Competent Person as defined in the JORC Code for Reporting of Exploration Results. Mr. Strachan consents to the inclusion in the release of the matters based on his information in the form and context in which it appears.

*Editor's Note - JORC (Joint Ore Reserves Committee) is the mineral exploration industry standard for the public reporting of orebody reserves adopted by the company

Enquiries:

Great Western Mining Corporation Plc Emmett O'Connell, Chairman         Melvyn Quiller, Chief Executive	[phone] [phone]	[e-mail]
Shore Capital (Nomad & UK Broker) Bidhi Bhoma / Toby Gibbs  (Corporate Finance) Jerry Keen (Corporate Broking)	[phone]	[e-mail] [e-mail]
Davy (ESM Adviser & Irish Broker) John Frain (Corporate Finance) Roland French (Corporate Finance)	[phone]	[e-mail] [e-mail]
Cubitt Consulting (Financial PR) Nicholas Nelson Cebuan Bliss	[phone]	[e-mail]
Gordon MRM (Irish PR) Brendan McGrath	[phone] [phone]	[e-mail]

 

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