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ALLIGATOR ENERGY LIMITED Management Reports 2021

Jun 3, 2021

64330_rns_2021-06-03_45731015-5107-431f-ba7a-c053123dd729.pdf

Management Reports

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Alligator Completes Geophysics at Samphire and Big Lake Uranium Project – 4 June 2021

Alligator Energy (ASX: AGE, ‘Alligator’ or ‘the Company’) provides the following update on its South Australian uranium resource and exploration work:

Blackbush Deposit Geophysics, Samphire Uranium Project, SA:

  • High-resolution ground magnetics survey covering the Blackbush resource successfully completed during April 2021;

  • Passive seismic surveys conducted over peripheral Blackbush airborne electromagnetic (AEM) features targeting palaeochannel refinement and continuations;

  • Improved geophysical detail provides solid data and insights into basement features and structural controls of the Blackbush resource and will assist with targeting of further high-grade mineralisation ;

  • Resource specialist being commissioned to review previous Blackbush resource and provide drilling requirements for JORC resource upgrade ;

  • Drill planning underway for infill and extensional rotary mud drilling for targeting JORC resource enhancement;

  • Engagement with local indigenous group under the existing NTMA agreement around planned program is commencing;

  • Initial procedures established with ANSTO for updated uranium recovery testwork; and

  • Sonic drilling being planned to provide core for ANSTO testwork.

Big Lake Uranium (BLU) Project, Cooper Basin, SA:

  • Data acquisition through a SkyTEM airborne electromagnetic survey has been completed, designed as first phase exploration for the BLU Project;

Alligator Energy Ltd ABN 79140575604 Suite 2 128 Bowen Street Spring Hill, QLD 4000 Ph: (07) 3839 3904 ASX Code: AGE Number of Shares: 2,364.3 M Ordinary Shares 123.7 M Listed options 60M Perform Shares 19.2 M Unlisted Options

Board of Directors: Mr Paul Dickson (Non Exec. Chairman) Mr Peter McIntyre (Non Exec. Director) Mr Andrew Vigar (Non Exec. Director) Mr Greg Hall (CEO & MD)

  • Processed interpretation and results are expected in late Q2 / early Q3; and

  • Depending on successful identification of potential paleochannel targets, drilling planning will then proceed.

Greg Hall, Alligator CEO said “Our geological team has made excellent progress to enhance the existing historical geophysical data set by acquiring high resolution magnetic data and completing additional passive seismic surveys at the Blackbush deposit which will help to refine targets for future drilling. We are also very pleased to commence our exploration of the Big Lake Uranium greenfields ISR opportunity with the planned airborne EM program. The positive market support for uranium is continuing, which reinforces our strategy of multi-project resource and exploration work, as well as a continued evaluation of further external uranium resource opportunities.”

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Samphire Uranium Project, near Whyalla, South Australia

Alligator is pleased to announce the completion of a ground magnetic and passive seismic survey at the Samphire Uranium Project. The surveys were completed over the majority of the Blackbush uranium JORC compliant resource through mid-late April 2021. The results show a marked improvement on existing magnetic data resolution (refer Figure 1) and provide additional insight and clarity into basement geological features and potential controlling factors of mineralisation within the Blackbush resource.

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Historically the Samphire granite (below the sediments containing the uranium resources) has been segregated into 5 distinct domains with the highest grades of mineralisation at Blackbush sitting predominantly within the Kanaka palaeochannels located directly above the Red Granite domain. This domain is typified by coherent northeast striking low-moderate amplitude/frequency magnetic features (refer to Figure 1 - Key Mag Features).

The new improved magnetic resolution in Figure 1 provides additional insight into understanding the interaction between these granite domains, and the mineralisation encountered so far at Samphire. Early interpretations show peak uranium mineralisation ( pink circles with black dots ) typically occurring within the main north-south palaeochannel ( white outline ) where coincident low-moderate amplitude magnetic features are intersected (lines of black dots ). This data is now being utilised as an additional targeting vector to investigate the potential for further high-grade mineralisation within the known deposit, in addition to further mineralisation proximal to the current resource boundary.

In conjunction with ground magnetic surveys a complimentary passive seismic program was conducted over four lines, with an emphasis on increasing the footprint of the current deposit. Passive seismic lines were located targeting palaeochannel margins predominantly outside of the

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existing Blackbush resource where drilling has adequately defined existing palaeochannels. Location of these survey lines can be seen below in Figure 2 orientated across modest AEM features indicating potential existing palaeochannel morphology. Data was processed by Resource Potentials (WA) who have significant experience of passive seismic data in similar settings, including direct experience from the Blackbush deposit. Resource Potentials provided modelled sections, one of which is shown below in Figure 3 .

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Line 4
Line 2
Line 1
Line 3
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Figure 2: Location of Passive Seismic stations on -60m AEM

On all modelled sections the inferred base of sediments and plotted sections correlate closely with existing drilling (where it exists). Line 1 was conducted across historic drilling within known extents of the Blackbush resource to model correlations with existing drilling and geological models. Lines 2, 3 and 4 targeted more regional channel extensions with only modest historic drill testing. These passive seismic sections in combination with this modest historic drilling reveal the potential for untested palaeochannel sections shown below within the highlighted section of Line 2 in Figure 3 , west of existing drilling.

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Untested
Palaeochannel
Section
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Figure 3: Line 2 modelled passive seismic HSVR section with interpretations.

Samphire Project Next Steps

Alligator is finalising the exploration PEPR for the planned drilling program which will be submitted to the SA Department for Energy and Mining (DEM). The geophysics programs and the likely planned drilling which will occur have been discussed with the local landowner, and a formal notice is being prepared.

Presentations and engagement with the local indigenous group under the existing NTMA agreement are also currently being planned.

Additionally, the Company has developed a shortlist of suitable ISR experienced resource modelling professionals and has commenced the engagement process to ensure the program is suitably designed and supported ensuring optimal outcomes. Drill tenders are also being prepared with the emphasis on securing suitably experienced and equipped groups to ensure the highest quality work is achieved.

The Alligator team are excited to commence the next significant JORC compliant resource enhancement and exploration steps on the Samphire Uranium Project during the second half of this year.

Big Lake Project, Cooper Basin, South Australia

Alligator announced the commencement of an airborne electromagnetic (AEM) survey on 7 May 2021 to be conducted over the Big Lake Uranium Project located in the Cooper Basin, northern South Australia. The Company is pleased to announce the completion of this survey. The data is currently being finalised allowing interpretation to commence shortly.

The Project was granted funding under the South Australian Governments Advanced Discovery Initiative (ADI) scheme. Following a stage 2 application to the scheme in March 2020, the Company was awarded $152,400 towards its “Greenfields exploration for ISR uranium deposits in the Cooper Basin”. The purpose of the survey is to delineate interpreted palaeochannels within the Eyre formation of the Tertiary sediments that would form a favourable environment for uranium deposition. SkyTEM Australia were selected to complete the survey utilising the SkyTEM 304 system which is proven to deliver accurate data from the top few metres to depths of up to 350 metres.

Approved for release by the Alligator Energy Board.

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FOR FURTHER INFORMATION, PLEASE CONTACT

Mr Greg Hall Mr Mike Meintjes CEO & Managing Director CFO & Company Secretary Alligator Energy Ltd Alligator Energy Ltd Email: [email protected] Email: [email protected]

Competent Person’s Statements

Information in this report is based on current and historic Exploration Results compiled by Mr Andrew Peter Moorhouse who is a member of the Australasian Institute of Geoscientists. Mr Moorhouse is the Exploration Manager for Alligator Energy Ltd and has sufficient experience which is relevant to the style of mineralisation and type of deposit under consideration and to the activity he is undertaking to qualify as a Competent Person as defined in the 2012 Edition of the ‘Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves. Mr Moorhouse consents to the inclusion in this release of the matters based on his information in the form and context in which it appears.

Forward Looking Statements

This announcement contains projections and forward looking information that involve various risks and uncertainties regarding future events. Such forward-looking information can include without limitation statements based on current expectations involving a number of risks and uncertainties and are not guarantees of future performance of the Company. These risks and uncertainties could cause actual results and the Company’s plans and objectives to differ materially from those expressed in the forward-looking information. Actual results and future events could differ materially from anticipated in such information. These and all subsequent written and oral forward-looking information are based on estimates and opinions of management on the dates they are made and expressly qualified in their entirety by this notice. The Company assumes no obligation to update forward-looking information should circumstances or management’s estimates or opinions change.

About Alligator Energy

Alligator Energy Ltd (Alligator or the Company) is an Australian, ASX-listed, exploration company focused on uranium and energy related minerals, principally cobalt-nickel.

Alligator’s Directors have significant experience in the exploration, development and operations of both uranium and nickel projects (both laterites and sulphides)

Uranium

Alligator is exploring for uranium in West Arnhem, utilising modern exploration techniques, combined with the best geological knowledge acquired by Alligator and consultant geologists, in search for uranium deposits of similar mineralisation style and tenure to that of the world class Alligator Rivers Uranium deposits of Jabiluka and Ranger, concealed beneath the covering sandstone. The Company has been researching and developing novel uranium decay isotope geochemical techniques and has modified and is applying airborne geophysical techniques with the objective of detecting such concealed targets. The previously drilled Caramal and Beatrice deposits represent eroded remnants of once much larger deposits.

The Company also has in excess of 1000km2 of Exploration Licence applications awaiting grant within the Alligator Rivers Uranium Province.

Alligator also has exploration ground in South Australia (SA) having entered into a Share Purchase Agreement to obtain up to 100% of the BLU project. This project represents an exploration opportunity for ISR shallow sandstone hosted style deposits in the Cooper Basin of SA, similar to those of the Beverley, Four Mile and Honeymoon resources of the Frome basin in SA.

In early October 2020 Alligator acquired the Samphire Project within the shallow Kanaka Beds of the Pirie Basin at Samphire, a location approximately 20 kilometres southwest of Whyalla within the South Australian Gawler Craton. Over several years two uranium deposits were identified, Blackbush and Plumbush, with

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multiple other uranium targets established.

Cobalt- Nickel

Alligator signed a binding Heads of Agreement with Chris Reindler and Partners (CRP) in January 2018 to earn up to 70% interest in the Piedmont sulphide cobalt – nickel project in Northern Italy.

The project covers four titles containing ultramafic-hosted cobalt-nickel sulphide deposits that were mined between the 1860’s and the end of World War II. Sulphides in pipe-like intrusive bodies and massive sulphide accumulations at the base of large, layered ultramafic intrusions were mined. The cobalt to nickel ratio was high in these deposits.

Airborne surveys obtained by CRP have defined a number of conductors potentially indicative of massive sulphides as well as a number of magnetic features which may represent the responses from intrusive bodies hosting disseminated sulphides. These represent very attractive targets in an area with clear cobalt-nickel pedigree untouched by modern exploration techniques.

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Project Location Diagrams.

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A Australia – Samphire U:
S
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Project Location Diagrams cont.

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JORC Code, 2012 Edition – Table 1

Section 1 Sampling Techniques and Data

(Criteria in this section apply to all succeeding sections.)

Criteria JORC Code explanation Commentary Commentary
Sampling
techniques
Nature and quality of sampling (eg cut
channels, random chips, or specific
specialised industry standard measurement
tools appropriate to the minerals under
investigation, such as down hole gamma
sondes, or handheld XRF instruments, etc).
These examples should not be taken as
limiting the broad meaning of sampling.
Include reference to measures taken to
ensure sample representivity and the
appropriate calibration of any measurement
tools or systems used.
Aspects of the determination of
mineralisation that are Material to the Public
Report.
In cases where ‘industry standard’ work has
been done this would be relatively simple (eg
‘reverse circulation drilling was used to obtain
1 m samples from which 3 kg was pulverised
to produce a 30 g charge for fire assay’). In
other cases more explanation may be
required, such as where there is coarse gold
that has inherent sampling problems.
Unusual commodities or mineralisation types
(eg submarine nodules) may warrant
disclosure of detailed information.






Ground Magnetics:
Sampling of Geophysical data referenced
within this repost was obtained utilising a
GEM Systems GMS-19T advanced
magnetometer base station in conjunction
with two GSM-19W overhauser rover unit.
Survey data acquisition was obtained
through “Walking” mode on the rover units.
Continuous magnetic readings were
recorded along 25m line spaced traverses.
To ensure data integrity both the base
station and rover units were time synced
daily and data was quality checked by
contracted geophysical consultants at
Geodiscovery Brisbane.
Units are hired from Modern Magnetic
Australia who maintain the units and their
calibration.
Passive Seismic:
Sampling of Geophysical data referenced
within this repost was obtained utilising 6
Moho Tromino Blu 3G Seismometers.
Survey data acquisition was obtained at
25m sample spacing along selected
traverses.
Sample acquisition time was 20 minutes
per station at 128hz sample frequency.
Drilling
techniques
Drill type (eg core, reverse circulation, open-
hole hammer, rotary air blast, auger, Bangka,
sonic, etc) and details (eg core diameter,
triple or standard tube, depth of diamond
tails, face-sampling bit or other type, whether
core is oriented and if so, by what method,
etc).
N/A New geophysical data only
Drill sample
recovery
Method of recording and assessing core and
chip sample recoveries and results
assessed.
Measures taken to maximise sample
recovery and ensure representative nature of
the samples.
Whether a relationship exists between
sample recovery and grade and whether
sample bias may have occurred due to
preferential loss/gain of fine/coarse material.
N/A New geophysical data only
Logging Whether core and chip samples have been
geologically and geotechnically logged to a
level of detail to support appropriate Mineral
Resource estimation, mining studies and
N/A New geophysical data only

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Criteria JORC Code explanation Commentary Commentary
metallurgical studies.
Whether logging is qualitative or quantitative
in nature. Core (or costean, channel, etc)
photography.
The total length and percentage of the
relevant intersections logged.
Sub-
sampling
techniques
and sample
preparation
If core, whether cut or sawn and whether
quarter, half or all core taken.
If non-core, whether riffled, tube sampled,
rotary split, etc and whether sampled wet or
dry.
For all sample types, the nature, quality and
appropriateness of the sample preparation
technique.
Quality control procedures adopted for all
sub-sampling stages to maximise
representivity of samples.
Measures taken to ensure that the sampling
is representative of the in situ material
collected, including for instance results for
field duplicate/second-half sampling.
Whether sample sizes are appropriate to the
grain size of the material being sampled.
N/A No sampling required. Ground based
continuous magnetic readings only.
Quality of
assay data
and
laboratory
tests
The nature, quality and appropriateness of
the assaying and laboratory procedures used
and whether the technique is considered
partial or total.
For geophysical tools, spectrometers,
handheld XRF instruments, etc, the
parameters used in determining the analysis
including instrument make and model,
reading times, calibrations factors applied
and their derivation, etc.
Nature of quality control procedures adopted
(eg standards, blanks, duplicates, external
laboratory checks) and whether acceptable
levels of accuracy (ie lack of bias) and
precision have been established.






Ground Magnetics:
The magnetometer survey referenced within
this report was conducted by AGE personnel
using hire equipment to acquire improved
resolution magnetic imagery for the purposes
of ongoing geological interpretations.
Sampling of geophysical data was obtained
utilising a GEM Systems GMS-19T advanced
magnetometer base station in conjunction
with two GSM-19W overhauser rover unit
supplied by Modern Magnetic Australia.
Survey data acquisition was obtained
through “Walking” mode on the rover unit
recording continuous magnetic readings
every 1 second along 25m line spaced
traverses forming the surveyed area.
RAW data was submitted to Geodiscovery
Australia daily for independent QAQC,
filtering and processing.
Passive Seismic:
The passive seismic survey referenced within
this report was conducted by AGE personnel
using hire equipment to continue historic
acquisition of passive seismic traverses for
sedimentary ground profile understanding.
Sampling of geophysical data referenced
within this report was obtained utilising 6
Moho Tromino Blu 3G Seismometers
supplied by Resource Potentials Australia.
Survey data acquisition was obtained at 25m
sample spacing along selected traverses.

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Criteria JORC Code explanation Commentary Commentary

Sample acquisition time was 20 minutes per
station at 128hz sample frequency
RAW data was submitted to Resource
Potentials Australia daily for independent
QAQC, filtering and processing.
Verification
of sampling
and
assaying
The verification of significant intersections by
either independent or alternative company
personnel.
The use of twinned holes.
Documentation of primary data, data entry
procedures, data verification, data storage
(physical and electronic) protocols.
Discuss any adjustment to assay data.

Ground Magnetics:
Geophysical data has been verified
externally by Geodiscovery Australia.
Passive Seismic:
Geophysical data has been verified
externally by Resource Potentials Australia.
Location of
data points
Accuracy and quality of surveys used to
locate drill holes (collar and down-hole
surveys), trenches, mine workings and other
locations used in Mineral Resource
estimation.
Specification of the grid system used.
Quality and adequacy of topographic control.





Ground Magnetics:
RAW data lactation points were recorded by
GPS in WGS84 Zone 53H datum.
A high accuracy GPS is fitted to the GEM-
19W overhauser rover units.
Topographical control requirements for the
survey referenced within the report are
negligible with the survey area considered
flat.
Passive Seismic:
RAW data lactation points were recorded by
hand held GPS in GDA94 Zone 53H datum.
Hand Held GPS accuracy in considered to be
within a +/-3m range.
Topographical control requirements for the
survey referenced within the report are
negligible with modest rises and undulose
terrain on sample line 3 only.
Data
spacing and
distribution
Data spacing for reporting of Exploration
Results.
Whether the data spacing and distribution is
sufficient to establish the degree of
geological and grade continuity appropriate
for the Mineral Resource and Ore Reserve
estimation procedure(s) and classifications
applied.
Whether sample compositing has been
applied.




Ground Magnetics:
Survey data acquisition was recording
continuously every 1 second along 25m line
spaced traverses totalling 333 line
kilometers.
The combined survey includes an additional
40.6 line kilometres previously acquired and
reported for a total survey area of 373.6 line
kilometers
The spacing and density of magnetic data
forming the survey is deemed high resolution
and forms the basis of a program to improve
geological understanding in the survey area.
RAW data was diurnally corrected and split
into lines by Geodiscovery to form survey
located data from which various grid and
enhanced filtered images have been
produced.
Passive Seismic:
Survey data consisted of 4 traverses totalling
185 station recording, 15 of which were

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Criteria JORC Code explanation Commentary Commentary





repeat station recordings for line 1.
Line 1 = 41 station points oriented East-West
Line 2 = 33 station points oriented East-West
Line 3 = 66 station points oriented North-
South
Line 4 = 30 station points oriented East-West
The station spacing along passive seismic
traverses forming the survey is deemed to be
of reasonable resolution for the basis of a
program to improve geological understanding
in the survey area.
RAW data was processed and normalised by
Resource Potentials using wave length
velocity analysis to refine data and generate
representative georeferenced cross-sections.
Orientation
of data in
relation to
geological
structure
Whether the orientation of sampling achieves
unbiased sampling of possible structures and
the extent to which this is known, considering
the deposit type.
If the relationship between the drilling
orientation and the orientation of key
mineralised structures is considered to have
introduced a sampling bias, this should be
assessed and reported if material.




Ground Magnetics:
Survey lines were conducted East-West with
geological features within historic magnetics
primarily orientated North-South, northeast-
southwest and northwest-southeast.
High resolution 25m line spacing additionally
mitigates any sampling orientation bias high
density gridded sampling.
Passive Seismic:
Survey transects were conducted oblique to
targeted AEM (Airborne Electromagnetic)
features.
Lines 1,2 and 4 were orientated East-West
cross cutting interpreted North-South
features.
Line 3 was orientated North-South cross
cutting an interpreted Northeast-Southwest
AEM feature.
Sample
security
The measures taken to ensure sample
security.

No physical samples take. Digital data
provided by e-mail only to geophysical
contractors.
All data backed up from hire equipment daily
and equipment data erased prior to being
returned.
Audits or
reviews
The results of any audits or reviews of
sampling techniques and data.
None

Section 2 Reporting of Exploration Results

(Criteria listed in the preceding section also apply to this section.)

Criteria JORC Code explanation Commentary
Mineral
tenement
and land
tenure
status
Type, reference name/number, location and
ownership including agreements or material
issues with third parties such as joint
ventures, partnerships, overriding royalties,
native title interests, historical sites,
wilderness or national park and
The JORC2012 compliant Blackbush
deposit, referenced historical drilling and
geophysics covering the Samphire project
are located within Exploration Licence 5926
granted 20th November 2016 for a term
expiring 2018 and subsequently renewed for

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Criteria JORC Code explanation Commentary
environmental settings.
The security of the tenure held at the time of
reporting along with any known impediments
to obtaining a licence to operate in the area.
a further 3 years expiring 2021 where a
subsequent renewal will be required.
The land covering the licence area is Crown
Lease; consisting of several leases over 2
respective pastoral stations.
Exploration
done by
other
parties
Acknowledgment and appraisal of
exploration by other parties.
Samphire Uranium Limited (SUL), previously
UraniumSA (USA) historically conducted
almost all previous exploration within EL5926
defining the Plumbush (JORC2004) and
Blackbush (JORD2012) resources and all
relevant drilling, geophysics except new
ground magnetics conducted AGE.
Third party drilling is confined to one rotary
mud hole for lignite exploration located in the
southeast of the licence area.
Geology Deposit type, geological setting and style of
mineralisation.
Mineralisation is dominantly sediment hosted
uranium within Eocene Kanaka Beds. Minor
amounts of mineralisation are present in the
overlying Miocene Melton sands (informal
name) and underlying Samphire granite
(informal name).
Drill hole
Information
A summary of all information material to the
understanding of the exploration results
including a tabulation of the following
information for all Material drill holes:
o easting and northing of the drill hole collar
o elevation or RL (Reduced Level –
elevation above sea level in metres) of the
drill hole collar
o dip and azimuth of the hole
o down hole length and interception depth
o hole length.
If the exclusion of this information is justified
on the basis that the information is not
Material and this exclusion does not detract
from the understanding of the report, the
Competent Person should clearly explain
why this is the case.
N/A
Data
aggregation
methods
In reporting Exploration Results, weighting
averaging techniques, maximum and/or
minimum grade truncations (eg cutting of
high grades) and cut-off grades are usually
Material and should be stated.
Where aggregate intercepts incorporate short
lengths of high grade results and longer
lengths of low grade results, the procedure
used for such aggregation should be stated
and some typical examples of such
aggregations should be shown in detail.
The assumptions used for any reporting of
metal equivalent values should be clearly
stated.
N/A
Relationshi
p between
These relationships are particularly important
in the reporting of Exploration Results.
N/A

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Criteria JORC Code explanation Commentary
mineralisati
on widths
and
intercept
lengths
If the geometry of the mineralisation with
respect to the drill hole angle is known, its
nature should be reported.
If it is not known and only the down hole
lengths are reported, there should be a clear
statement to this effect (eg ‘down hole length,
true width not known’).
Diagrams Appropriate maps and sections (with scales)
and tabulations of intercepts should be
included for any significant discovery being
reported These should include, but not be
limited to a plan view of drill hole collar
locations and appropriate sectional views.
All diagrams within this release have
respective appropriate scales.
Scaled maps, sections and tabulations of
intercepts for the Blackbush resource have
previously been released by SUL.
Balanced
reporting
Where comprehensive reporting of all
Exploration Results is not practicable,
representative reporting of both low and high
grades and/or widths should be practiced to
avoid misleading reporting of Exploration
Results.
All referenced drilling and exploration results
have been reported in prior announcements
by SUL.
No new exploration results are contained
within this report. Geophysical data has been
acquired for assisting geological
interpretations and understanding.
Other
substantive
exploration
data
Other exploration data, if meaningful and
material, should be reported including (but
not limited to): geological observations;
geophysical survey results; geochemical
survey results; bulk samples – size and
method of treatment; metallurgical test
results; bulk density, groundwater,
geotechnical and rock characteristics;
potential deleterious or contaminating
substances.
All previous geophysical data covering the
area is publicly available and has been
sourced and utilised by AGE. Historic
surveys will continue to be used in
conjunction with new data to further
geological understanding and support future
exploration.
Further
work
The nature and scale of planned further work
(eg tests for lateral extensions or depth
extensions or large-scale step-out drilling).
Diagrams clearly highlighting the areas of
possible extensions, including the main
geological interpretations and future drilling
areas, provided this information is not
commercially sensitive.
Extend passive seismic and ground magnetic
surveys as required.
Consideration of new techniques and
differing geophysical surveys to further
exploration methods.
Rotary mud and sonic drilling.
Continued reprocessing of new and historical
geophysics.

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