Heron’s Woodlawn G2 Lens Drilling Returns High Grade Intercepts

Heron Resources Limited (ASX:HRR TSX:HER, “Heron” or the “Company”) is pleased to provide an exploration update from the drilling program currently underway at its wholly-owned Woodlawn Zinc-Copper Project, located 250km south-west of Sydney, New South Wales, Australia.

• Initial assays received from current G2 Lens drilling program, including:
• 4.7m at 53.0% ZnEq^[1] from 107.2m (10.8% Zn, 0.7% Cu, 8.6% Pb, 10.4g/t Au, 802g/t Ag) WNDD0114
  • Including: 2.7m at 87.2% ZnEq from 107.2m (18.4% Zn, 1.2% Cu, 14.4% Pb, 16.9g/t Au, 1,299g/t Ag)
• 14.0m at 12.4% ZnEq from 146.0m (7.5% Zn, 1.0% Cu, 1.7% Pb, 0.1g/t Au, 8.7g/t Ag) WNDD0114
  • Including: 6.9m at 21.6% ZnEq from 150.6m (13.0% Zn, 1.9% Cu, 2.8% Pb, 0.1g/t Au, 21.7g/t Ag)

The drilling program of approximately 4,300m is targeting an expansion of the shallow resource at the newly identified G2 Lens. The program is progressing well with a number of significant assays returned.
Commenting on these latest results, Heron Resources Managing Director and CEO, Mr Wayne Taylor, said:
“The assay results returned for WNDD0114 represent some of the highest grades seen at Woodlawn and demonstrate the potential to delineate new zones of mineralisation close to surface with a dedicated drilling approach. This shallow location is expected to have a positive impact on early cash flows with this area being currently outside the existing mine plan and financial modelling.”
G2 Lens Drilling
The G2 Lens is located to the south of the Kate Lens, and is adjacent to the planned route of the decline, 100-200m below the surface.  Recent drilling has targeted this area for its ability to add to the early mine inventory.  A program of approximately 4,300m of diamond core drilling commenced in early May to define and expand the shallow resource base.  To date 19 holes for 3,687m have been drilled with several holes intersecting both the hanging wall zone (G2HW) and the main G2 Lens which consists of high-grade zinc-sulphide stringers.
Of particular note is drill hole WNDD0114, which has returned (See Figures 1 and 2):

• 4.7m at 53.0% ZnEq from 107.2m (10.8% Zn, 0.7% Cu, 8.6% Pb, 10.4g/t Au, 802g/t Ag) WNDD0114
  • Including: 2.7m at 87.2% ZnEq from 107.2m (18.4% Zn, 1.2% Cu, 14.4% Pb, 16.9g/t Au, 1,299g/t Ag)
• 14.0m at 12.4% ZnEq from 146.0m (7.5% Zn, 1.0% Cu, 1.7% Pb, 0.1g/t Au, 8.7g/t Ag) WNDD0114
  • Including: 6.9m at 21.6% ZnEq from 150.6m (13.0% Zn, 1.9% Cu, 2.8% Pb, 0.1g/t Au, 21.7g/t Ag)

Drill hole WNDD0114 is up-dip of WNDD0110 which intercepted high grade mineralisation in the 2016 program, including:

• 9.8m @ 28% ZnEq from 107m (8.7% Zn, 0.5% Cu, 5.2% Pb, 4.0g/t Au, 326g/t Ag) WNDD0110
• • Including 3.7m @ 56% ZnEq (18.7% Zn, 1.2% Cu, 10.0% Pb, 6.9g/t Au, 650g/t Ag) WNDD0110

• 6.0m @ 10% ZnEq from 140m (7.9% Zn, 0.2% Cu, 0.7% Pb, 0.2g/t Au, 13g/t Ag) WNDD0110

These high grade massive sulphide zones are interpreted as an annealing of the sulphide stringers within the lens, probably along a structural position, and improves the overall potential of the lens to provide a higher-grade production source of greater widths.
Drill holes located near and around WNDD0114 have intersected more typical G2 zinc stringer mineralisation which continues to help define the limits of this zone, including:
WNDD0112:

• 1.4m @ 23.4% ZnEq from 110.2m (7.9% Zn, 3.2% Pb, 0.64% Cu, 0.3g/t Au, 353g/t Ag) (G2HW)
• 4.9m @ 7.6% ZnEq from 116.2m (3.8% Zn, 2.4% Pb, 0.2% Cu, 0.4g/t Au m, 28g/t Ag) (G2 Main)

WNDD0116:

• 2.4m @ 16.0% ZnEq from 108.1m (8.1% Zn, 0.4% Cu, 2.8% Pb, 0.8g/t Au, 119g/t Ag) (G2HW Lens)

Figure 1: Part of the high grade zone of mineralisation intersected in WNDD0114 within the main G2 Hanging-wall Lens (G2HW).  Up-hole direction is to the left in the tray.
https://www.heronresources.com/tsximages/20170719/20170719Fig1.jpg
^[1] ZnEq % used in this release refers to the calculated Zn equivalent grade based on the Zn, Cu, Pb, Au and Ag grades, the formula for which is provided at the end of this report.
Figure 2:  G2 Lens cross-section showing location of WNDD0114 in relation to previous drilling. https://www.heronresources.com/tsximages/20170719/20170719Fig2.jpg
Figure 3:  Woodlawn G2 Lens long-section showing interpreted lens shape, recent drilling and proposed infill holes. https://www.heronresources.com/tsximages/20170719/20170719Fig3.jpg
A number of mineralised intercepts have been returned with assays pending including:
WNDD0118:
5.8m of stringer and some massive zinc/lead/copper from 113.8m (G2 up-dip from WNDD0106)
10.8m of chlorite/sulphide stringers with zinc/lead/copper from 124.0m (G2 up-dip from WNDD0106)
WNDD0119:
16.1m of 50% semi massive pyrite from 110.0m (G2 Lens)
WNDD0120:
2.4m of stringer and disseminated zinc from 93.4m (G2HW)
9.1m of chlorite schist with zinc stringers from 121m (G2 main footwall chlorite)
WNDD0121:
3.5m of massive and stringer zinc/lead/copper from 102.1m (G2HW)
6.6m of stringer zinc mineralisation from 111.0m (G2 main lens)
WNDD0122: no intercept – geotech hole into Kate decline position – competent rhyolite intersected
WNDD0123:
8.0m of stringer copper mineralisation from 184.4m (G2 upper)
8.2m of stringer copper in chlorite from 208.0m (G2 Main)
12.4m of copper stringers in broad alteration halo on north extent of G2 from 250.0m
WNDD0124:
2.5m of high grade massive zinc/lead/copper polymetallic ore below G1 stopes from 200.6m
WNDD0126:
10.4m of copper stringer mineralisation from 151.6m in main G2 position
WNDD0127:
1.8m of zinc/copper stringers from 131.4m (G2)
WNDD0129:
12.5m of massive and stringer copper from 216.0m (G2 footwall, G2FW)
WNDD0130:
2.8m of massive and stringer copper from 204.4m (G2FW)
 
Forward Program
The 4,300m drilling program into the G2 Lens will be completed in the coming weeks.  A number of encouraging massive sulphide intercepts (assays pending) have been returned in the northern section of the G2 zone and these are the current focus of the drill program.
About Heron Resources Limited:
Heron’s primary focus is the development of its 100% owned, high grade Woodlawn Zinc-Copper Project located 250km southwest of Sydney, New South Wales, Australia.  In addition, the Company holds a significant high quality, gold and base metal tenement holding in central and eastern New South Wales.
Compliance Statement (JORC 2012 and NI43-101)
The technical information in this report relating to the exploration results is based on information compiled by Mr. David von Perger, who is a Member of the Australian Institute of Mining and Metallurgy (Chartered Professional – Geology). Mr. von Perger is a full time employee of Heron Resources Limited and 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 qualify as a Competent Person as defined in the 2012 edition of the “Australasian Code for Reporting of Exploration Results and “qualified person” as this term is defined in Canadian National Instrument 43-101 (“NI 43-101”). Mr. von Perger has approved the scientific and technical disclosure in the news release.
 
CAUTIONARY NOTE REGARDING FORWARD-LOOKING INFORMATION
This report contains forward-looking statements and forward-looking information within the meaning of applicable Canadian securities laws, which are based on expectations, estimates and projections as of the date of this report. This forward-looking information includes, or may be based upon, without limitation, estimates, forecasts and statements as to management’s expectations with respect to, among other things, the timing and amount of funding required to execute the Company’s exploration, development and business plans, capital and exploration expenditures, the effect on the Company of any changes to existing legislation or policy, government regulation of mining operations, the length of time required to obtain permits, certifications and approvals, the success of exploration, development and mining activities, the geology of the Company’s properties, environmental risks, the availability of labour, the focus of the Company in the future, demand and market outlook for precious metals and the prices thereof, progress in development of mineral properties, the Company’s ability to raise funding privately or on a public market in the future, the Company’s future growth, results of operations, performance, and business prospects and opportunities. Wherever possible, words such as “anticipate”, “believe”, “expect”, “intend”, “may” and similar expressions have been used to identify such forward-looking information. Forward-looking information is based on the opinions and estimates of management at the date the information is given, and on information available to management at such time. Forward-looking information involves significant risks, uncertainties, assumptions and other factors that could cause actual results, performance or achievements to differ materially from the results discussed or implied in the forward-looking information. These factors, including, but not limited to, fluctuations in currency markets, fluctuations in commodity prices, the ability of the Company to access sufficient capital on favourable terms or at all, changes in national and local government legislation, taxation, controls, regulations, political or economic developments in Canada, Australia or other countries in which the Company does business or may carry on business in the future, operational or technical difficulties in connection with exploration or development activities, employee relations, the speculative nature of mineral exploration and development, obtaining necessary licenses and permits, diminishing quantities and grades of mineral reserves, contests over title to properties, especially title to undeveloped properties, the inherent risks involved in the exploration and development of mineral properties, the uncertainties involved in interpreting drill results and other geological data, environmental hazards, industrial accidents, unusual or unexpected formations, pressures, cave-ins and flooding, limitations of insurance coverage and the possibility of project cost overruns or unanticipated costs and expenses, and should be considered carefully. Many of these uncertainties and contingencies can affect the Company’s actual results and could cause actual results to differ materially from those expressed or implied in any forward-looking statements made by, or on behalf of, the Company. Prospective investors should not place undue reliance on any forward-looking information. Although the forward-looking information contained in this report is based upon what management believes, or believed at the time, to be reasonable assumptions, the Company cannot assure prospective purchasers that actual results will be consistent with such forward-looking information, as there may be other factors that cause results not to be as anticipated, estimated or intended, and neither the Company nor any other person assumes responsibility for the accuracy and completeness of any such forward-looking information. The Company does not undertake, and assumes no obligation, to update or revise any such forward-looking statements or forward-looking information contained herein to reflect new events or circumstances, except as may be required by law.  No stock exchange, regulation services provider, securities commission or other regulatory authority has approved or disapproved the information contained in this report.
Appendix 1
Drill hole details for diamond drill holes completed as part of the Phase IV drill campaign. 

Notes: WMG = Woodlawn Mine Grid
Assays results to date  for diamond drill holes completed as part of the Phase IV drill campaign. 

Notes: True width is an estimate of the actual thickness of the intercept based on interpreted lens orientation (approximately 80% to 90% of downhole width, with 80% used in this table as a general guide); unless noted grades are weighted average grades, weighted by length of samples intervals downhole, which are nominally 1 metre. No weighting was applied for differences in specific gravity; * Previously reported results; ^ SG weighted grades used due to significant differences in SG of individual samples.
 
Zinc equivalent calculation
The zinc equivalent ZnEq calculation takes into account, mining costs, milling costs, recoveries, payability (including transport and refining charges) and metal prices in generating a Zinc equivalent value for Au, Ag, Cu, Pb and Zn.  ZnEq = Zn%+Cu%*3.12+Pb%*0.81+*Au g/t*0.86+Ag g/t*0.03.  Metal prices used in the calculation are: Zn US$2,300/t, Pb US$ 2,050/t, Cu US$6,600/t, Au US$1,250/oz and Ag US$18/oz.  It is Heron’s view that all the metals within this formula are expected to be recovered and sold.
 
JORC 2012 Table 1
Section 1 Sampling Techniques and Data 
(Criteria in this section applies to all succeeding sections)

 
Section 2                             Reporting of Exploration Results
(Criteria listed in the preceding section also apply to this section.)

For further information, please visit www.heronresources.com.au or contact:
Australia:
Mr Wayne Taylor
Managing Director and Chief Executive Officer
Tel: +61 2 9119 8111 or +61 8 6500 9200
Email: heron@heronresources.com.au
Canada:
Tel: +1 647-862-1157 (Toronto)

Source: globenewswire.com