Kalgoorlie Nickel Project (KNP) Heron Resources/INCO

In the 1990’s Impress Energy Limited was involved in mineral exploration in Western Australia.  As part of a strategic review of operations conducted at the time, the company sold its interest in a number of nickel tenements to Centaur in exchange for a 10% free carried interest to production.  The tenements are Prospecting Licenses 24/3179 to 24/3184 inclusive.

These tenements, and the Impress Energy Limited free carried interest, were subsequently acquired by Heron Resources Ltd and now form part of the larger Kalgoorlie Nickel Project being developed by the company in partnership with CVRD-INCO.  Heron Resources Ltd is an established nickel explorer in the Kalgoorlie district with BHP Billiton and INCO as major shareholders.

To date Heron Resources have conducted a number of exploration activities on the tenements including the drilling of two new diamond drill holes, relogging of previous drilling, sectional interpretation, material type volume estimation and the compilation a major report on the resources estimate of the Kalgoorlie Nickel Project.  The previous drilling on the Siberia Tank tenements had indicated results of up to 2.64% nickel in RC holes.  The more recent diamond drill holes were located near the previous drilling to provide samples for metallurgical work and core for logging and assays for head grades.  Screen fraction assay results from one of the recent diamond drill holes recorded nickel grades of up to 2.49%.  More work is required to determine the areal extent and associated rock volumes in the Siberia Tank region and Impress Energy will to continue to closely monitor progress at the Kalgoorlie Nickel Project.  The company will advise shareholder on achievement of significant project milestones.