Greatland Gold commences second drilling campaign at Havieron
New drilling programme at Havieron to test the extent and direction of the high-grade zone of gold and copper mineralisation following excellent results from maiden drill campaign
Greatland Gold plc (AIM: GGP), the precious and base metals exploration and development company, is pleased to announce that the second drilling campaign has commenced on schedule at its 100%-owned Havieron project in the Paterson region of Western Australia.
Greatland’s first drilling campaign at Havieron, carried out in April-May 2018, yielded excellent results, which included 121m at 2.93g/t gold and 0.23% copper from 497m, including 11.5m at 21.23g/t gold and 0.67% copper from 568.5m (HAD001), and 21m at 3.79g/t gold 0.44% copper from 418m (HAD003). Significantly, the first campaign established the presence of a zone of high grade mineralisation (peak grades 137.69g/t gold and 4.11% copper) and demonstrated the potential for Havieron to represent a very large mineralised system.
The new drilling campaign at Havieron, which commenced today, consists of up to ten core holes to a depth of 600 metres each for a total of approximately 6,000 metres. The drilling programme is designed to further determine the extent and direction of the high-grade zone of mineralisation at Havieron that was detected in Greatland’s maiden drilling campaign conducted earlier this year.
Gervaise Heddle, Chief Executive Officer, commented: “We are excited to be on the ground and pushing forward with our second major drilling campaign at Havieron following the excellent results from the first campaign which established a zone of high grade gold mineralisation peaking at almost 4.5 ounces gold per tonne.
“The results from the first drill programme, combined with independent geophysical modelling, indicate that Havieron has the potential to represent a very large mineralised system.”
Issue of Shares and Warrants to DDH1 Drilling Pty Ltd
As announced on 3 September 2018, Greatland re-appointed DDH1 Drilling Pty Ltd (“DDH1”), one of Australia’s most highly regarded mineral exploration drilling providers, to conduct this second drill programme at Havieron. As an expression of their support and confidence in the Havieron project, DDH1 agreed to accept part payment of its drill programme fees in the form of shares and warrants in Greatland.
Greatland has issued DDH1, as part payment for drilling services and in consideration for an amount of £142,045.45, or approximately $250,000 Australian Dollars, 11,363,636 ordinary shares of 0.1 pence each in Greatland Gold plc (the “DDH1 Shares”). Each DDH1 Share issued has an accompanying unlisted and non-transferrable warrant to subscribe for an additional Greatland new ordinary share at a price of 2.0p at any time within the 12 months following admission to trading of the DDH1 Shares (representing the issue of a total of 11,363,636 warrants). Each warrant will include an accelerated exercise condition (“Accelerator”) such that in the event the that the Company’s volume weighted average share price exceeds 3.0p for a period of five consecutive trading days the Company shall have the right, but not the obligation, to give holders of the warrants 7 calendar days’ notice that the warrants must be exercised within a further 14 calendar days, following which they will otherwise expire. Should all of these warrants be exercised, £227,272.72 in funds will be paid by DDH1 to Greatland at a price of 2.0p. The 11,363,636 DDH1 Shares are expected to be admitted to trading on, or around, 1 October 2018. For the purposes of the Financial Conduct Authority’s Disclosure and Transparency Rules (“DTRs”), the issued ordinary share capital of Greatland following the issue and allotment of the DDH1 Shares comprises 3,225,620,145 Ordinary Shares with voting rights attached (one vote per share). There are no shares held in treasury. This total figure of 3,225,620,145 may be used by shareholders as the denominator for the calculation by which they will determine whether they are required to notify their interest in, or a change to their interest in Greatland under the DTRs.