Ann: Drill Results & 5 Off-Hole Conductors at Tiger, page-12

Question posed:

Hi Dean, encouraging results as a starter to back up the rock chips which indicated far stronger mineralization. I am interested in your comments about potential indicated by the DHEM and DHMMR surveys. I see your team is happy with results given the immediate follow up drilling. I gather you are looking for "extent" / scale and for further lenses hidden by cover?

Answer immediate:

We are happy with the results (always want more, but certainly a great start). The DHEM/MMR are encouraging for a couple of reasons.

1. As they are off hole conductors, they are different to what we have hit in the drilling (there were no “on-hole” conductors intersected). Different doesn’t always mean good, but it means its worth finding out what is causing them.

2. According to our geophysicist, the signal is consistent with a massive sulphide source. We did not hit any massive sulphides, or even semi massive sulphides, in the first drilling. So, these conductors could be very attractive and much higher grade. They could also be massive pyrite or something else, but we are keen to drill them and see what comes up.

At these early stages, we are still looking to understand the system as well as test for scale and what the system is capable of (grades and thickness). As part of understanding the system, we trialled a couple different geophysical techniques as well to help orientate ourselves on what can work and what doesn’t given the ground conditions and style of mineralisation. These understandings will not only assist in helping to follow up on Tiger, but any other similar prospects in the area.

Four of the conductors appear to be aligned with the mineralised trend, and there is one deeper conductor which could represent a blind lode.

My comment: early exploration is never conclusive either negative or positive. They are methodical. At least we have confirmation there is mineralization present here and possible massive sulphides. It seems unlikely these will be barren given the proximity of the rock chips and now confirmation the system is pregnant with minerals.

DYOR CW