Metal exploration company Greatland Gold (LON:GGP) have announced the decision to extend the strike at its Bromus project in southern Western Australia, after finding silver, zinc and other elements consistent with volcanogenic massive sulphide (VMS) style systems.
The company added that there will be a review of further targets, including gold mineralisation that was recorded in historic drilling some 1.2 kilometres to the north of the latest drilling campaign. Greatland Gold said one additional target identified by the downhole EM survey conducted last year has still to be tested.
Gervaise Heddle, Chief Executive Officer, commented: “There has been renewed interest in VMS style deposits in Western Australia after the demonstration of their potential at the DeGrussa deposit and historically at the Golden Grove deposit, a gold copper producer in Western Australia.
“VMS style deposits can have significant value with their multiple commodities, particularly if they have associated precious metals. Consequently, we intend the Bromus Project to focus solely on VMS style deposits and look forward to making progress and updating the market in due course.”
The silver and zinc mineralisation with associated cadmium and sulphur is indicative of a VMS style system which represents a relatively new target style for the district. VMS style deposits can have significant value with their multiple commodity credits, particularly if they have associated precious metals. Good examples of these types of deposits in Western Australia are Golden Grove and DeGrussa.
Investors remained unimpressed however, with the news sending shares in Greatland Gold down 6.50 percent by 1328GMT.