Bardoc Tectonic Zone Gold Project

Ardea 100%

Ghost Rocks gold prospect

The Lady Isobel group of workings trend NNW over an area of 170m x 70m. The workings include a substantial underlay shaft dipping approximately 45° towards 120° (discordant to the overall trend of workings), with smaller subsidiary workings distributed over the full area on multiple structural orientations. Mullock consists of white quartz vein stockworks within an amphibolite host.

Random mullock sampling by Ardea on the main shaft assayed up to 5.3 g/t Au. There appears to be a deficiency of mullock when considering the depth of shafts, suggesting part of the excavated material has been milled.

Big Four gold prospect

The Big Four gold prospect is being evaluated as a potential open-pit. The main lode has excellent visual expression, being a subvertical quartz lode within clay-limonite altered dioritic porphyry. Visual grade control should be possible in any open-pit mining.

Reconnaissance in late 2016 was aimed at assessing additional exploration targets along strike, notably soil geochemical anomalies to the south.

The target concept at Big Four is an open-pit developed over the historic workings. Elsewhere in the Bardoc Tectonic Zone (BTZ), such occurrences were drilled and mined during the various “gold booms” of the 1990-2000s. With Heron’s historical focus on the KNP nickel laterite within the BTZ tenure, gold exploration was minimal.

A proposal was received by Ardea from a local contractor to complete a trial pit at Big Four under a profit share arrangement. In view of open ore positions at Big Four, it was concluded that further exploration was required at Big Four before a transaction could be considered.

Various gold joint ventures were also proposed, but decisions will await completion of the Ardea IPO.