ASX ANNOUNCEMENT FURTHER EXPLORATION SUCCESS AT NULLAGINE
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1 WEDGETAIL MINING LTD ABN Ground Floor, 24 Outram St West Perth WA 65 ASX ANNOUNCEMENT Postal: PO Box 117, West Perth WA 6872 Phone: Fax: Website: 13 th December 26 FURTHER EXPLORATION SUCCESS AT NULLAGINE The company is pleased to report on near-surface, high-grade gold mineralisation in exploration drilling results recently received for the Nullagine Gold Project. The four prospects drilled are proximal to the scheduled mining pits and offer the potential to expand the existing gold inventory base as the company establishes the mine in 27. Highlights from the recent programs include: Falcon Prospect drilling g/t Au from 31 m in FA g/t Au from 11 m in FA g/t Au from 22 m in FA4 Condor Prospect drilling g/t Au from 47 m in CO g/t Au from 21 m in CO9 Buzzard Prospect Drilling g/t Au from 2 m in BU g/t Au from 42 m in BU3 Angela Prospect drilling g/t Au from 28 m in GERB g/t Au from 28 m in GERB1192 Shallow drilling in the Golden Gate region continues to delineate extensions to the highgrade mineralisation at the Falcon and Condor prospects and, in a first-pass test, has confirmed the presence of high-grade mineralisation at the Buzzard prospect. Mineralisation at these prospects remains open along strike and at depth, and drilling will continue in 27. On the scout drilling front, an infill program has confirmed both the continuity and broad width of mineralisation at the Angela prospect. This prospect was discovered recently by wide-spaced drilling across a gold-in-soil anomaly located just 7 m south of the proposed Golden Eagle plant site.
2 Golden Gate Drilling After the success of previous drilling programs at Falcon and Condor, another round of step-out and infill drilling was conducted at these prospects during November. These latest programs comprised 9 holes at Falcon, and 8 holes at Condor. At the Buzzard prospect, 6 holes were drilled to verify previous high-grade intercepts within two parallel reefs. The location of these prospects is shown in the figure below, and the results of the drilling are summarised in the table and on the long sections that follow. Archaean gold mineralisation within these prospects is associated with quartz reefs that cut across east-west trending, upright beds of rhythmically interlayered siltstone and sandstone. Kestrel Falcon Golden Gate Golden Gate Nullagine Harrier Kilometers Ç ± 1 Kilometre Kite Condor Crow Buzzard Soil Metal Factor =[(3xAs ppm)+(1xau ppb)+(1xsb ppm)] < to to to to to to 1557 >= to to to to to to 3445 Golden Gate trend showing prospects, soil geochemistry, and drill hole collars.
3 PROSPECT Falcon Condor Buzzard Table of results for Golden Gate drilling HOLE ID NORTHING EASTING RL INCLINATION FROM TO WIDTH GRADE (MGA) (MGA) (AHD) /AZIMUTH (m) (m) (m) (g/t Au) FA / FA / FA / FA / FA / CO / CO / CO / CO / CO / CO / CO / CO / BU / BU / BU / BU / BU / BU / Note: Fire Assay analysis - Ultratrace laboratories. Intersections calculated as weighted averages. Intersections calculated using a 1.g/t Au lower cut, no upper cut and 2m internal dilution allowable WSW 4 6. g/t g/t g/t g/t ENE 4 ½ g/t 3 8. g/t 3 > Long section of the Falcon prospect showing results of recent drill holes
4 The latest round drilling at Falcon produced a series of strong intercepts and has allowed a clearer picture of the shoot controls on the high-grade mineralisation to emerge. It now appears that mineralisation is associated with a series of NNE-trending, steeply inclined quartz reefs that partly overlap, in an en echelon manner, within an ENE-trending corridor. The southern boundary of this corridor is now reasonably well established, but further drilling is required to define the northern boundary, and there is the potential to intersect extensions of individual high-grade quartz reefs. All of the quartz reefs remain open at depth. NNW 5 SSE 1 45 mrl g/t 3.3g/t g/t 5.3g/t 4 mrl g/t 5 metres g/t 35 mrl > g/t Long section of the Condor prospect showing results of recent drill holes Results of the drilling at Condor are very encouraging, in particular the intercept of 16 m grading 3.72 g/t in CO7, which is associated with a quartz reef cutting weakly oxidised sedimentary rocks, 45 m below the surface. Inclined drilling of the NNW strike extension of the Condor reef is currently underway, and further drilling below 5 m depth is planned.
5 5 1 NW g/t SE 45 mrl 8.63g/t 4 mrl > Long section of the Buzzard prospect (western reef) showing results of drill holes 5 1 NW 7.46g/t SE g/t 45 mrl g/t 4 mrl g/t > Long section of the Buzzard prospect (eastern reef) showing results of drill holes Check drilling at Buzzard has confirmed the high-grade nature of the quartz reefs at this prospect and underlines the need for further drilling.
6 Angela Drilling A further four lines of inclined drilling at the Angela prospect has closed the line spacing down to 1 m across the discovery zone, and has extended the drill coverage another 2 m along strike to the ENE. As shown on the figure below, two sub-parallel zones of mineralisation, each about 4 m long and 2-3 m wide, are delineated by drilling. The northern of these two zones appears to offer the best potential for development of a resource, and has yielded drilling results such as 12 m grading 2.1 g/t, 4 m grading 15.8 g/t and 8 m grading 2.33 g/t Au mN Sandstone Grit Sandstone g/t ± 7568mN 244mE 244mE g/t 12 g/t Grit g/t 248mE Sandstone g/t g/t Komatiite 248mE Siltstone/Sandstone g/t 75684mN g/t 2 m g/t Siltstone/Sandstone 7568mN Komatiite Siltstone/ Sandstone Sketch of the Angela prospect showing recent drill hole intercepts (in italics) and zones of mineralisation (broken lines) HOLE ID Table of results for drilling of the Angela prospect NORTHING EASTING RL INCLINATION FROM TO WIDTH GRADE (MGA) (MGA) (AHD) /AZIMUTH (m) (m) (m) (g/t Au) GERB / GERB / GERB / GERB / GERB / GERB / GERB / GERB / GERB / GERB / GERB / GERB / Note: Aqua Regia Assay analysis - Ultratrace laboratories. Intersections calculated as weighted averages. Intersections calculated using a.5g/t Au lower cut, no upper cut and 4m internal dilution allowable. Intercepts reported are based on 4m composite samples
7 Discussion and future initiatives The recent drilling at Golden Gate has intersected significant extensions of the highgrade quartz reefs at both the Falcon and Condor prospects, and the scale of the mineralised zones delineated at these prospects is now approaching that of the mineralisation associated with the ABC and D reefs at Golden Gate, which together comprise a resource of.59 Mt grading 3.63 g/t Au. Importantly, mineralisation at both Falcon and Condor remains open along strike and below a depth of 5 m, and there is considerable scope to delineate further extensions. Drilling at the Buzzard prospect remains at an early stage, but the results of the recent check drilling shows this prospect has the potential to develop into another important resource within the Golden Gate corridor. Scout drilling at Angela has confirmed the presence of two broad, sub parallel zones of mineralisation over a strike length approaching 4 m. Given the strength of the drill intercepts, and the proximity of this mineralisation to the proposed Golden Eagle processing plant, the drilling of the Angela prospect will form an important part of the 27 drilling campaign. Looking beyond the immediate follow-up work that has been generated by this year s highly successful drilling programs, it is the company s intention to continue advancing the exploration of the Nullagine project at all levels, ranging from systematic regional soil and rock chip sampling, through to well-targeted scout drilling of surface anomalies, followed by resource definition drilling of clearly defined zones of mineralisation with obvious resource potential. Given the recent history of drilling successes using this approach, the company is confident that the flow of exciting drill intercepts will continue during 27. Inquiries: Mike Grigson Exploration Manager Peter Woodman Chief Executive Officer Clive Donner - Chairman Tel: The information in this report that relates to Exploration Results is based on information compiled by Mike Grigson, who is a Member of the Australasian Institute of Mining and Metallurgy. Mike Grigson is a full time employee of Wedgetail Mining Ltd. Dr. Grigson has sufficient experience which is relevant to the style of mineralisation and type of deposit under consideration and to the activity which he is undertaking to be qualified as a Competent Person as defined by the 24 Edition of the Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves. Mike Grigson consents to the inclusion in the report of the matters based on his information in the form and context in which it appears.
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