Exploration Drilling

Heron Drilling Returns Significant Assay Results

Heron Resources Limited: update to the drilling program at its wholly owned Currawang prospect located 10 km NW from the Company’s Woodlawn Zinc-Copper Project in New South Wales, Australia.

Heron’s Managing Director, Mr Wayne Taylor said “The assay results confirm the potential of Currawang to provide an additional production source to Woodlawn. And, the geological interpretation of the five

DDH holes suggest the possibility of a broader mineralised system. The five DDH holes were strategically placed along the strike of the mineralised system to provide an expansive platform for follow-up down-hole electromagnetic testing (DHEM) to be completed over the next few weeks. Currawang is still at a very early stage of delineation drilling and we are looking forward to completing the program to establish the next phase of work. Currawang is a significant new growth option for the Woodlawn Project.

Currawang Prospect

A program of five DDH holes for 2,994m was recently completed at Currawang, targeting extensions to the existing lenses, as well as the broader testing of the genetic and post-mineral structural environment associated with high-grade volcanic massive sulphide (VMS) mineralisation that was previously mined in the mid-1990’s (approximately 0.5Mt). Heron’s drilling program represents the first at Currawang since 1996.

The second drill hole in Heron’s program, targeted the down-plunge extension to the main Currawang Lens (Figure 1; DDH CWDD0002) and intersected 6.4m of 5 to 10cm stringers, and semi-massive Zn sulphide mineralisation (Figures 2 and 3) from 485m within a broad zone of hydrothermal alteration hosted by the basalt sequence. Copper sulphides within this zone are thought to be responsible for the DHEM anomaly previously measured in this area.

This hanging-wall position represents a potential new zone, or lens, of mineralisation at Currawang. DDH CWDD0002 continued to a depth of 640m and passed through a broad (50m+) zone of intense chlorite alteration with copper-sulphide stringers. These type of chlorite zones are typically associated with the massive sulphide feeders which create the main VMS lenses. Assay results have been received and returned two significant intercepts from these two zones:

These results are highly encouraging. The last DDH of the program (CWDD0005) was drilled beneath and down-plunge from these intercepts and intersected a broad zone (17.4m) of weak and low-grade Zn sulphides stringers from 428m depth.

Other DDH in the program targeted the primary Currawang structural controls along-strike to the north of the main Currawang Lens in an area of limited historic drilling (Figure 1; CWDD0001 and 03). DDH CWDD0001 intersected a broad interval (38m from 341m down-hole) of moderate to intense alteration comprising sericite, silica, pyrite, and chlorite development within a strongly foliated, and in-part brecciated basalt (the Currawang Basalt). Within this interval is 16m of an intensely developed hydrothermal alteration assemblage, with minor stringers of Zn sulphides with lesser amounts of Pb and Cu sulphides. DDH CWDD0003 intersected a broad zone of moderate to strong silica, chlorite, biotite alteration (381 to 433m depth) with some stringers of base-metal sulphides.

DDH CWDD0004 was drilled to a depth of 675m testing the southern extent of the mineralisation, and intersected a weakly developed zone of silica, chlorite, pyrite alteration towards the bottom of the hole – this was less well developed than the other intercepts to the north.

Overall, the 5 DDH hole campaign was very successful, intercepting high-grade intercepts in new stratigraphic and structural positions, which both extend and further delineate the known extents of mineralisation and alteration. These five broadly spaced DDH intercepts provide a geospatial platform enabling Heron to develop a down hole electromagnetic survey (DHEM) program to test for potential conductors peripheral to these DDH intercepts which may indicate conductors related to extensions of existing, or new, sulphide mineralisation.

Heron’s exploration program is part of the NSW Government’s Cooperative Drilling Program, with 50% of the direct drilling costs being reimbursable to Heron for the first 4 holes.

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