Source - LSE Regulatory
RNS Number : 4825V
Golden Metal Resources PLC
04 December 2023
 

04 December 2023

Golden Metal Resources plc

('Golden Metal' or the 'Company')

Garfield Project: Potential for Tier 1 Copper Deposit

Porphyry & Skarn-Type System Discovery Confirmed with Extensive High-Grade Copper, Silver & Gold Mineralisation; Several Overlimit Analyses Underway

Golden Metal Resources plc (LON:GMET OTCQB:GMTLF), a strategic mineral exploration and development company focused on Nevada, USA, is pleased to announce extensive high-grade copper, silver and gold mineralisation from laboratory assay testing undertaken following the recently completed ground exploration at the Company's 100% owned Garfield project located within the prolific Walker Lane Mineral Belt in Nevada, USA ("Garfield" or the "Project").

HIGHLIGHTS

§ Golden Metal previously announced the potential for both porphyry and skarn-type deposits at Garfield's 'High-Grade Zone' as detailed in the market announcement released on 27 September 2023 which may be viewed through the following link:

 

https://www.londonstockexchange.com/news-article/GMET/garfield-project-update/16141093

 

§ As a result, Golden Metal launched an immediate follow up ground exploration programme and the findings from this work are considered by the Company to be very promising with mineralisation styles and lithologies confirming that Garfield hosts significant large-scale skarn and porphyry type copper, silver and gold mineralisation. 

 

§ The mineralisation now confirmed through the rock sample laboratory assay results extends over a large footprint which indicates the potential for Garfield to host a material copper deposit including:

 

-     High-Grade Zone: >1% copper results returned over an area of approximately 1500 x 500m (open in multiple directions); and

 

-     across the entire Project: >1% copper results returned over an area of approximately 3000 x 1500m (open in multiple directions).

 

§ A total of 32 rock samples were taken from within the Garfield Project with laboratory assay testing confirming:

 

-     6 samples returning overlimit copper (Cu) (>10,000ppm or 1%) and 14 samples returning >3,000ppm Cu (0.3%);

 

-     2 samples returning overlimit gold (Au) (>1g/t) with six samples returning >0.3g/t Au, and;

 

-     9 samples returning >5g/t silver (Ag) with a peak of 37.1g/t Ag.

 

§ Garfield is located within a north-south trending copper-gold porphyry/skarn belt which extends southward from Hawthorne. Porphyry deposits are characterised by lower grade but bulk tonnage deposits and are one of the worlds most important sources of copper and silver as well as gold. Based on this, the analytical method used had upper limits of 1% (or 10,000ppm) for copper and 1g/t for gold. As outlined above, several samples exceeded the upper limits therefore necessitating overlimit assays which are currently underway and a follow-on update is expected to the market shortly.

Oliver Friesen, CEO of Golden Metal, commented: 

"Today's announcement demonstrates that our 100% owned Garfield Project has the potential to host a material copper deposit.  Previous exploration work demonstrated an extensive copper footprint at Garfield, however the latest findings have far exceeded the Company's expectations.

"To find extensive high-grade copper mineralisation across this footprint size points to the exceptional opportunity Garfield represents to Golden Metal Resources.

"We will endeavour to get a further update out to the market as quickly as possible which I strongly believe will even better highlight the scale of the opportunity at Garfield."

 

MEDIA

Figure 1: Sample Number 723310. Fine-grained intermediate intrusive with stockwork quartz veining. Sample returned >1g/t Au, 29.9ppm Ag, along with overlimit copper >10,000ppm (1%).

PROPERTY OWNERSHIP

Golden Metal holds a 100% interest in the Garfield Project through its wholly-owned Nevada operating company, Golden Metal Resources LLC. A 2% Net Smelter Return Royalty ("NSR Royalty") Interest, of which 1% can be bought back at any time for US$1,000,000, is payable to Sunrise Resources plc (LON:SRES). The NSR Royalty covers the original Garfield Project claims as well as a 1 mile radius outside of those claims which covers roughly half of the current 'High-Grade Zone' footprint.

 

COMPETENT PERSON STATEMENT

The technical information contained in this disclosure has been read and approved by Mr Nick O'Reilly (MSc, DIC, MIMMM, MAusIMM, FGS), who is a qualified geologist and acts as the Competent Person under the AIM Rules - Note for Mining and Oil & Gas Companies. Mr O'Reilly is a Principal consultant working for Mining Analyst Consulting Ltd which has been retained by Golden Metal Resources plc to provide technical support.

This announcement contains inside information for the purposes of Article 7 of EU Regulation 596/2014 (which forms part of domestic UK law pursuant to the European Union (Withdrawal) Act 2018).

Forward Looking Statements

This announcement contains forward-looking statements relating to expected or anticipated future events and anticipated results that are forward-looking in nature and, as a result, are subject to certain risks and uncertainties, such as general economic, market and business conditions, competition for qualified staff, the regulatory process and actions, technical issues, new legislation, uncertainties resulting from potential delays or changes in plans, uncertainties resulting from working in a new political jurisdiction, uncertainties regarding the results of exploration, uncertainties regarding the timing and granting of prospecting rights, uncertainties regarding the timing and granting of regulatory and other third party consents and approvals, uncertainties regarding the Company's or any third party's ability to execute and implement future plans, and the occurrence of unexpected events. 

Actual results achieved may vary from the information provided herein as a result of numerous known and unknown risks and uncertainties and other factors.

For further information visit www.goldenmetalresources.com or contact the following:

Golden Metal Resources plc

Oliver Friesen (CEO)

Tel: +44 (0) 20 7583 8304

Cairn Financial Advisers LLP

Nominated Adviser

Sandy Jamieson/Jo Turner/Louise O'Driscoll

Tel: +44 20 7213 0880

First Equity Limited

Broker

Jonathan Brown/Jason Robertson

Tel: +44 20 7374 2212



 

THE PROJECTS

Pilot Mountain Project

The Pilot Mountain project is an advanced exploration and mineral resource definition stage project located in Mineral County in western Nevada. The project covers an area of 14.80 km2 (3,656.1 acres) and is located 200km southeast of Reno and 18km east of Mina, Nevada. It is well situated for the supply of power, water and skilled labour and proximity to transport infrastructure in Mineral County and is centred around four existing mineral deposits: Garnet; Good Hope; Gunmetal and Desert Scheelite, all of which possess significant skarn-style tungsten-copper-silver-zinc mineralisation. The Pilot Mountain project consists of 176 active lode mining claims and 4 filed mill site claims. The four mill site claims filed at the former Dunham mill site have secure access to groundwater supply sufficient for the proposed project.

Kibby Basin Lithium Project

The Kibby Basin Project covers two claim packages which are prospective for lithium brine mineralisation. The southern claim package is less than 250m from a 2022 drillhole which returned a significant interval (169m) of lithium brine mineralisation which was determined to be open in all directions. The Project is less than 5km to the southeast of the Company's flagship Pilot Mountain Project.

Golconda Summit Project

Golden Metal is the operator of the Golconda Summit project, which is held under an earn-in right to acquire up to 100 per cent. of the project from the mineral claim owner pursuant to an option agreement. The Golconda Summit project is an exploration stage gold and silver project located in Humboldt County and situated at the confluence of the Getchell and Battle Mountain - Eureka metallogenic trends, and consists of 44 lode mining claims, covering a total area of approximately 3.22 km2 (795.4 acres) located approximately 27km east of Winnemucca.

Garfield Project

The Garfield Project is an exciting copper-gold-silver prospect consisting of 39 lode mining claims covering 3.23 km2 (797.9 acres) located in Mineral County, Nevada, approximately 14km due east of the town of Hawthorne and 120km due west-northwest of Tonopah. Exploration to date has included detailed geochemical sampling and follow up analysis which highlighted the presence of both skarn-type and porphyry style mineralisation and alteration at the 'High-Grade Zone'. Further mapping, prospecting and rock sampling was recently completed with results confirming presence of high-grade copper, silver and gold mineralisation.

Stonewall Project

The Stonewall project is an exploration stage gold-silver property prospective for epithermal gold-silver mineralisation. The property consists of 19 lode mining claims covering 1.59 km2 (392.5 acres) located on the northern flank of Stonewall Mountain, on the western edge of the Nellis Airforce Range Restricted Access Area, in Nye County, Nevada, approximately 24km south-east of the historic gold mining town of Goldfield and 60km due south of Tonopah.

 

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