(Alliance News) - Shares rose in Great Western Mining Corp PLC on Tuesday after the company signed a memorandum of understanding with an unnamed Nevada-based mining contractor to create a new joint venture for processing waste material from Great Western's mines.
Shares in the Nevada-focused gold, silver and copper project developer were 19% higher at 0.15 pence on Tuesday in London.
The new joint venture will be for processing gold and silver initially from the waste material of Great Western's Mineral Jackpot and Olympic Gold projects in Nevada, using both gravity separation and a contained flotation system.
The joint venture also will process material owned by Great Western's unnamed partner, and both companies will source additional material from third parties for processing on a commercial basis.
So far, the joint venture has secured the use of a suitable mill site on private land, determined the initial design for a gravity separation plant and flotation plant, and secured the equipment required.
Great Western Mining will inject USD100,000 to the joint venture to help pay for the planning stage and the submission of an application to the Nevada Department of Environmental Protection.
"At the end of 2020 we successfully produced a dore bar of gold and silver from spoil material at our Mineral Jackpot claims and established the potential for processing such material on a commercial scale. An initial low level gravity separation project was evaluated but this has since expanded as other material has been identified on our concessions, including significant tailings at the Olympic gold project. The ingredients are now in place to create a commercial plant to handle such material from all our concessions, where available, as well as processing material for third parties on a commercial basis," said Chair Brian Hall.
By Dayo Laniyan; dayolaniyan@alliancenews.com
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Great Western (GWMO)