• Significant high-grade gold assay results on Lady Herial Upper Structure
• High-grade intervals present from surface down to base of planned open pit
• Results confirm high-grade zones recorded in previous drilling on the Upper Structure

Lunnon Metals has reported on the progress of infill grade control spaced drilling at the Lady Herial gold deposit, a priority development and production opportunity at its Kambalda Gold & Nickel Project. The drilling program has returned outstanding high-grade gold assay results from the Upper Structure, including 26m @ 6.37g/t Au, 14m @ 18.07g/t Au and 7m @ 34.38g/t Au. These high-grade intervals are present from surface down to the base of the planned open pit, approximately 45m depth. The results confirm the high-grade zones that were recorded in previous drilling on the Upper Structure. The company notes that the closer spaced drilling is assisting to refine and tighten the geological interpretation, with the structure narrower than previously modelled but generally similar or better grade. The opportunity to finesse the mine design and schedule will be investigated, with the objective of exploiting the high-grade components of the Upper Structure as early as possible in the short life of the open pit.

The Scoping Study at Lady Herial recently indicated that a modest sized, low strip ratio open pit could generate between 300kt-320kt of ore grading approximately 1.8g/t Au and containing 18,000oz. At a gold price of A$5,000/oz, such a pit could deliver approximately A$45 million of free cash on a 100% basis over a very short timeframe.

Lunnon Metals' strategy at its Foster-Baker project is to leverage off, and replicate, the success achieved at Lady Herial. The company's objective is to position itself to effectively self-fund an extensive discovery program at higher risk, higher reward targets like Defiance West, Plentiful and others, seeking to discover the next significant gold deposit in the +16Moz St Ives gold camp.