GreenTech Metals has identified substantial gold mineralisation alongside copper and zinc at its Whundo Project, enhancing the economic potential and prompting a resource re-estimation to assess near-term production viability.
- Significant gold assays discovered within Whundo copper-zinc mineralised shoots
- Gold closely associated with copper, enhancing project economics amid rising gold prices
- Re-estimation of Mineral Resource incorporating gold underway
- Engagement of Burnt Shirt Pty Ltd for mining and processing scenario evaluation
- Whundo Project on granted mining lease with historic mining activity
Historic Data Reveals Gold Potential
GreenTech Metals Limited (ASX – GRE) has announced a pivotal development at its Whundo Project in Western Australia's Pilbara region. A comprehensive review of over 50,000 assay samples from more than 1,195 drill holes has revealed significant and consistent gold mineralisation closely associated with copper and zinc deposits. This discovery adds a new dimension to the project's economic outlook.
The historic drilling data, spanning campaigns by Fox Resources, Artemis Resources, and GreenTech itself, includes remarkable gold intercepts such as 1 meter at 64.7 grams per tonne gold from 47 meters depth and multiple other high-grade intervals. These findings suggest that gold is not an isolated occurrence but an integral part of the Whundo mineralised shoots.
Economic Implications Amid Rising Gold Prices
The timing of this discovery is particularly fortuitous given the near doubling of the gold price since 2024. GreenTech highlights that 1 gram per tonne of in-situ gold now holds an approximate value equivalent to 1% copper metal per tonne, significantly enhancing the project's value proposition. This gold-copper association could materially improve the economics of mining operations at Whundo.
GreenTech's Executive Director, Tom Reddicliffe, emphasised the importance of this development, noting that the gold endowment adds substantial economic benefit and momentum to the project. The company is now actively re-estimating the Mineral Resource incorporating gold assays to quantify this enhancement and evaluate the feasibility of near-term production.
Advancing Towards Near-Term Production
To capitalize on these findings, GreenTech has engaged Burnt Shirt Pty Ltd, a respected mining consultancy, to assess various mining and processing scenarios. The goal is to identify a viable near-term mining operation and progress towards a scoping study. The Whundo Project benefits from being situated on a granted mining lease, facilitating the commencement of mining permit applications.
Additionally, GreenTech is planning further drilling to test the lateral and down-plunge extents of mineralised shoots at Whundo and Ayshia, as well as shallow high-grade oxide mineralisation at Yannery. Metallurgical test work is also planned to support processing strategy decisions, with potential options including the Radio Hill and Anax facilities.
A Project with a Mining Legacy
Whundo has a history of mining activity, including open-pit operations in the 1970s and mid-2000s, and intermittent underground mining in the early to mid-20th century. Previous operators extracted significant copper concentrates, and recent surface mining has generated revenue through heap leaching. This legacy underpins GreenTech's confidence in advancing the project.
With the integration of gold into the resource model and the strong commodity price environment, GreenTech is well positioned to unlock additional value from Whundo. The company’s methodical approach, combining historic data analysis with new drilling and economic studies, reflects a pragmatic pathway towards production.
Bottom Line?
GreenTech’s gold discovery at Whundo could redefine project economics, setting the stage for a critical resource update and near-term production decisions.
Questions in the middle?
- How will the upcoming Mineral Resource re-estimate incorporating gold impact the overall resource size and grade?
- What are the key findings expected from Burnt Shirt Pty Ltd’s mining and processing scenario evaluations?
- How might the rising gold price trajectory influence GreenTech’s production timeline and investment decisions?