Research shows that this phosphate project has the potential to...

Research shows that this phosphate project has the potential to be the largest in W.A.
----------------------------------------------------------ASX Release – 27 May 2008

EXPLORATION UPDATE

LANGEY PHOSPHATE PROJECT

• Results from seven grab samples of nodular phosphate average 22.5% P2O5
• The phosphate occurs in a laterally extensive horizon that comes to the surface near Langey Crossing
• Tenements are due for grant in August with Heron getting in place the necessary approval to
commence drilling soon thereafter
As mentioned in the March quarterly report, Heron Resources Limited (ASX: HRR) (Heron) has in the past year applied for a
number of exploration licences in the Langey Crossing area located some 40km south of Derby, Western Australia. The
applications were made as Heron considers the ground prospective for sedimentary phosphate mineralisation. Recent
sampling in the area has identified a phosphate nodule horizon exposed near Langey Crossing. The results from seven
representative grab samples have just been received and average approximately 22.5 percent P2O5 with consistent assays
being recorded for all the nodules. The results are summarised in Table 1 below:
Table 1 - Results for Langey Nodular Phosphate Samples
Sample P2O5% FeO% Al2O3% SiO2%
R100297 23.0 3.6 3.5 31.2
R100298 22.2 4.7 4.4 30.2
R100299 21.5 3.8 3.8 29.8
R100300 23.0 3.9 3.8 29.8
R100301 22.1 4.7 4.5 30.0
R100302 22.6 2.6 3.4 32.3
R100303 23.4 4.8 4.1 28.4
Previous exploration for phosphate in the mid 1960’s identified this nodular phosphate horizon at depths of between zero and
12 metres from the surface over a width of some 500m. The horizon dips gently to the west and continues in that direction
under progressively deeper cover. The historical results report the horizon to be about 0.8 metres thick and extending for at
least 6km in a north-south direction. The nodular horizon occurs within a marine sedimentary unit and Heron has applied for
a significant land holding (some 1,900 square kilometres) over this prospective unit, as shown in Figure 1.
Initial assessment of the samples and a review of previous beneficiation results from the area indicate that the nodules can
be beneficiated to increase the grade of P2O5. Published metallurgical data from previous explorers and a detailed
examination of the nodules indicate there is good potential for the grades to be increased to over 30% P2O5 through
beneficiation.
The Exploration Licences at Langey Crossing are due for grant progressively from August 2008 and Heron is working
through approvals so that initial drilling and costeaning can commence soon thereafter.

Heron is also conducting a high level marketing assessment of the Langey phosphate and initial contact with prospective
buyers has been positive. Given the project’s proximity to a port facility at Derby, the initially positive test results and
marketing response Heron will expedite exploration and metallurgical test-work upon grant of the tenements with a view to
quickly ascertaining whether Langey Crossing has the potential to be a near term cash flow generation project.
Heron’s Managing Director Mathew Longworth said “The project is at an early stage but the initial signs are positive. We will
now prioritise exploration and evaluation of this project”.