2000 Annual Report - Heron Resources Limited

Operations Review
2.0 Continued
2.6 LEONORA LAVERTON PROVINCE
GOLD JOINT VENTURES and NICKEL
2.6.1 Laverton Nickel Project
Heron 100%. Agreement has been reached where another entity will acquire the gold rights at Merolia.
Nickel - gold.
The 534km 2 project area covering 10 tenements is located in the Laverton District. The main nickel target is at
Merolia-Mineral Patch Hill adjoining and immediately north along strike of the Coglia Well-Irwin Hills lateritic nickel
prospects. From a GIS and literature review, the Merolia-Mineral Patch Hill ultramafic occurrence is associated with
strong aeromagnetic anomalies, with previous drill-confirmed nickel laterite mineralisation.
Detailed aeromagnetic coverage has been acquired, and interpretation completed to define zones with olivine
adcumulate units. The Merolia-Mineral Patch Hill tenements are in their first year of grant. A 640x80m RC drilling
program at Merolia-Mineral Patch Hill has been designed and field checking completed. Drilling will commence once
the current Goongarrie area drilling has been completed. Tenement applications north of Laverton cover gold mining
centres at Mulga Queen and King of Creation, which were acquired through pegging. Farm-out discussions in
respect of gold rights on these targets are current.
2.6.2 Laverton Joint Venture Project
Heron 100%. Metex Resources NL right to earn 70% through spending $0.5m.
Gold.
The 30km 2 contiguous project area covering 2 tenements is located 15km WSW of Laverton immediately west of the
Chatterbox Shear Zone. The project area surrounds the Hawks Nest-Mt Gooses gold mining centres. Excellent gold
discoveries have been announced by the Metex-Delta Gold joint venture within their Chatterbox Shear Zone project,
immediately east of the Heron Joint Venture ground.
Metex advises that reinterpretation of gravity and aeromagnetic data has been completed and a number of targets
generated. Geochemical orientation surveys have also been completed in areas of known mineralisation, trialing
partial extraction gold techniques that could be used in areas of deeper cover, such those as occurring within the
Joint Venture tenements. Expenditure to date has been $0.2 million.
2.6.3 Mount Morgans Joint Venture Project
Heron 100%. Metex Resources NL right to earn 70% through spending $0.2m.
Gold.
The 14km 2 project area covering 8 tenements is located 40km WSW of Laverton immediately west of the Mount
Morgans-Korong Shear Zone. The main prospects are 5km NW along strike from the Mount Morgans gold mining
centre, associated with an intra-greenstone granitoid. Aeromagnetic, DTMs, open file geological compilations and
Vacuum and RAB drilling have been completed. A 13 hole RAB drilling program for 786m was completed, testing
prominent stratigraphic magnetic anomalies for potential gold and base metal mineralisation. Results are awaited.
Expenditure to date has almost reached $0.2 million.
2.6.4 Victory Joint Venture Project
Heron 100%. Farm-in partner right to earn 80%.
Gold - nickel.
The 23km 2 project area covering 6 tenements is located 50-120km NW of Leonora, adjoining the Marshall Pool nickel
laterite resource, and Victory and Bannockburn gold mining centres. Following field mapping and sampling, Mining
Lease applications have been lodged on resource targets at the Victory gold prospect and Doyle Well nickel laterite
prospect. A further 42km 2 project area covering 3 tenement applications is located NE of Victory, immediately north
along strike of the newly developing Thunderbox gold mining centre. Farm-out discussions are current.
Photo Strip: Cotton bush, cotton sample bags, eucalyptus and acacia scrub. The Goongarrie and Kalpini ore zones are
both almost 30km long. Rehabilitation is a key issue for Heron.
‘The Mine Site’ Naomi Ellis “My painting is of an open pit mine. There is a road with a crack in the pit.”
page 28
Heron Resources NL
Annual Report 2000