Operations Update

RNS Number : 6433Q

Great Western Mining Corp. plc

29 October 2021

 

GREAT WESTERN MINING CORPORATION PLC

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

OPERATIONS UPDATE

Great Western Mining Corporation PLC (AIM - GWMO, Euronext Growth - 8GW), which is exploring and developing gold, silver and copper targets in Mineral County, Nevada, is pleased to provide the following operational update on its activities:

DEVELOPMENT PLANNING

PROCESSING OF PRECIOUS METALS

During 2021 extensive work has been undertaken on proposed processing projects, both in the field and through desktop studies, based on data and material from both Mineral Jackpot and the OMCO Mine.  The work undertaken concludes that the potential recoveries from Mineral Jackpot alone are materially greater than previously thought.  A potential combination of processing material from both sites is likely to increase the scale and profitability of the final project. 

OLYMPIC GOLD PROJECT

A permit has now been granted for auger-drilling up to 12 shallow holes in the large OMCO Mine tailings heap at the Olympic Gold project and drilling will begin in the next few days, using the small multi-use coring rig which the Company has under contract.  This will enable the Company to calculate processable material in place and samples from drilling will be analysed at an independent laboratory to assess recoverable grades of precious metals.  The Company expects assay results by the year-end, which will be announced.  The data gained from the results of the cores taken at the OMCO Mine tailings will be a critical factor in determining a project plan.

MINERAL JACKPOT GROUP

As previously advised to shareholders, planning of both bulk processing of spoil heaps and new exploration drilling at Mineral Jackpot has been restricted by the limitations of the mountain road which provides access to site.  Following a site visit by contractors in October, the most severe problems have been resolved and the Company is aiming to upgrade the road prior to the 2022 work season, as good access is key to carrying out major work at this highly prospective group of claims.  The road upgrade is already fully permitted.  Alternative methods for bringing spoil heap material off the mountain once the road has been upgraded are being costed and appraised. 

EXPLORATION PROJECTS

EAST MINE ("EM GROUP")

An Induced Polarisation ("IP") and Resistivity geophysical survey is scheduled to commence during the week beginning 1 November at the EM Group, to test the potential for copper porphyry style mineralisation at depth, indicated by both historical drilling and surface sampling undertaken in 2019.  The survey will cover a surface area of 3km² reaching depths of 450m. The survey will take about 10 days, subject to weather conditions, and processing and interpretation of results are likely to be available in December.

MAGNETOMETER SURVEYS

Over the past eighteen months, Great Western has conducted extensive ground surveys using a man-portable magnetometer unit, the results of which have not only improved the Company's understanding of the potential of the areas surveyed but also facilitated successful drilling operations during the 2021 work season.  However, some mountainous terrain, including part of Mineral Jackpot, is not suitable for survey with this type of unit and the Company will shortly use  a survey team utilising an unmanned aerial vehicle (or "drone") to conduct magnetic surveys (1) to complete the Mineral Jackpot Group survey and (2) to survey the JS Group, the TUN Group and the Huntoon Valley area (HUN Group), saving a great deal of time and accelerating exploration of as-yet undrilled prospects.  A reconnaissance survey is currently being undertaken at Huntoon and the Company aims to accelerate exploration activity over both the HUN and TUN Groups, especially in the Huntoon valley where there are historical mine workings.

EXPLORATION DRILLING

Although a severe shortage of contractor availability and labour in the area delayed this year's plan for an autumn follow-up campaign to its successful spring and summer drill programme at Olympic Gold and the Rock House Group, the Company has received an assurance from its selected drilling contractors that they will undertake the programme early in the 2022 work season.  This programme currently encompasses drilling up to 14,000 feet (4,267 metres) over the two projects.  Additional holes may be added to the programme.

Great Western Executive Chairman Brian Hall commented:  "With funds in hand for our projects, Great Western is in a strong position going forward, moving ahead over our extensive exploration claims while the scale of the potential production operation under evaluation is constantly expanding.  We are using the latter part of the current work season to bring forward operations on claims which we have not had the time to work on recently, in particular the Huntoon Valley and the East Mine Group.  I invite shareholders to visit the Company's website atwww.greatwesternmining.comwhich has been redesigned during October, aimed at providing better and more user-friendly information."

For further information:

Great Western Mining Corporation PLC
Brian Hall, Chairman	[phone]
Max Williams, Finance Director	[phone]
Davy (NOMAD, Euronext Growth Adviser & Joint Broker) John Frain	[phone]
Novum Securities (Joint Broker) Jon Belliss	[phone]
Walbrook PR (PR advisers) Nick Rome/Nicholas Johnson	[phone]

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 generally 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. 

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. 

 

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