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Greatland Gold (GGP) Share Price Has Fallen 37% in 2022. What’s Next?

Simon Mugo trader
Updated 4 Jul 2022

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Key points:

  • Greatland Gold (GGP) shares have fallen 37% in 2022. What’s next?
  • The decline in GGP shares has been witnessed across the gold sector.
  • So, should you buy GGP shares? Read on to find out.

The Greatland Gold plc (LON: GGP) share price has fallen 37% in 2022 despite releasing positive updates recently, including starting its 2022 drilling campaign on Thursday, 30 June 2022.

The junior mining company’s shares have come under pressure this year. Despite delivering impressive drill results during the 2020 and 2021 drilling campaigns, most of its projects are still in the exploration stage.

Also read: Five Best Gold And Gold Mining Stocks To Buy Now.

Investors have been impatient with minerals exploration companies yet to start commercial production activities like Greatland Gold, as evidenced by the decline in the GGP share price. However, companies producing and selling gold and silver have not faired much better amid falling gold prices.

As Greatland Gold begins its 2022 drilling programme, many hope it shall move closer to production at its flagship Havieron gold-copper project in Western Australia, where it has been drilling for the past two years.

GGP has identified multiple high-grade deposits at Haverion such as 0.5m @ 96.0 g/t Au & 0.10% Cu from 1,020.7m and 13.9m @ 22.8 g/t Au & 0.46% Cu from 1,013.4m from its HAD055W5 and HAD055W4 drill targets, respectively. Investors celebrated these impressive drill results, but the company is still drilling and has not commenced production.

The latest update indicated that Greatland Gold had completed and commissioned the Haverion fuel facility. Newcrest Mining was progressing construction activities at Haverion, including an exploration decline advance of 377.5 metres as of May 2022.

Therefore, the company is drawing closer to beginning the extraction of gold and copper from Haverion. GGP’s 2022 drilling campaign will focus on its Scallywag, Rudall, and Pascalle license areas, which are pretty promising given their location.

Overall, GGP is one of the more promising junior gold miners. Recently, the VanEck Junior Gold Miners ETF raised its stake in the miner to 5%, demonstrating confidence in its potential.

So, should you buy GGP shares? GGP is a solid junior miner with significant potential making it an attractive investment target for long-term investors.

*This is not investment advice. Always do your due diligence before making investment decisions.

Greatland Gold share price.

Greatland Gold share price 04-07-2022
Source: IG

Despite multiple positive updates, the Greatland Gold share price is down 37% this year. What’s next?

Simon has over six years of professional trading experience across FX, commodities and equities. He has a strong passion for financial markets and is particularly focused on price action trading