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(Alliance News) - Great Western Mining Corp PLC on Friday said a soil survey at the Rock House area of its Mineral County properties in the US state of Nevada found "compelling evidence" of mineralisation.
Shares in Great Western were down 13% at 0.11 pence in London in morning trading.
The survey of the previously unmined and unexplored Rock House Group area has identified three "highly-prospective zones of mineralisation" which are separate from each other, and which have been designated the Eastern Shear Zone, Southern Alteration Zone, and Northern Slate Zone.
An area of around 35,000 metres squared which is enriched in copper, gold, antimony, and lead was identified at the Eastern Sheer Zone, verifying previous rock sampling results. Great Western Mining will apply to the US Federal Bureau of Land Management to obtains a surface distrubance exemption permit so it can conduct shallow percussion drilling in this zone.
At the Northern Slate Zone, meanwhile, soil samples taken over an area of 700,000 metres squared indicate gold enrichment as well as the presence of copper and nickel.
Finally, at the Southern Alternation Zone, sampling found "moderate gold and silver signatures" plus very strong antimony, arsenic, and tungsten elements - often associated with silver and gold deposits. The zone appears "as a bright white zone of intense alteration within a dark sedimentary package", according to Great Western.
The alteration zone is exposed at surface for over 300 metres before being buried. No surface rock sampling has taken place in the alternation zone, so this will be part of the next stage of exploration and positive results will lead to a round of shallow drilling, trenching, or both.
Chair Brain Hall said: "The results of this soil sampling exercise show the [Rock House] Group of claims to be an exciting target with high potential for precious metals and analogous to the nearby prolific Candelaria silver mines. Unlike the Mineral Jackpot area, in the Black Mountain Group to the west, for which soil sampling also produced positive results for precious metals, the RH Group has never previously been mined and its potential was initially identified through very clear satellite imagery, now supported and verified by sampling on the ground.
"The terrain at the RH Group is easily accessible which will make further exploration work relatively straightforward to accomplish. Updated maps and sampling results will shortly be posted to our website and we will update shareholders on our progress in this exciting area."
By Anna Farley; annafarley@alliancenews.com
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