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EM Identifies New Targets at Collerina

Publié le 16 août 2016

ASX Announcement 17 August 2016

EM Identifies Multiple New Targets at Collerina

  • EM Surveys have defined extensions to the existing high-grade mineralisation plus two new zones at the Collerina Copper-Zinc Project in NSW

  • A new strong off-hole conductor (4x greater response) has been identified below previous drilling at the Collerina Prospect.

    o The conductor could represent an entirely new mineralised zone within the Collerina Prospect. Refer Figure 1

  • Down dip/plunge extensions to the existing high grade mineralisation have also been identified in the EM at the Collerina Prospect

  • A new EM zone has been confirmed 1km North of the Collerina Prospect. This new zone has never been explored and attests to the potential of the area. Refer Figure 2

  • The company is finalising a large diamond and RC drilling program, to test the extensions to the existing high grade mineralisation and these new EM zones, drilling is expected to commence in early September.

Helix Resources Limited (ASX:HLX) is pleased to advise that electromagnetic (EM) geophysical surveys have been completed at the Collerina Project in Central NSW. Several drilling targets have been identified from fixed loop (FLEM), down hole (DHEM) and additional moving loop (MLEM) surveys completed in the past month.

Findings from the EM surveys have highlighted priority drill targets including two new zones beyond the high grade copper-zinc results returned from Collerina to date.

The additional MLEM and FLEM surveys have confirmed the presence of the down dip/plunge extensions to the main copper-zinc mineralisation. The eastern extensions will be targeted with additional fence lines of drilling to a depth of 400m (refer Figure 1).

A strong off-hole conductor plate has been modelled from DHEM surveys on the eastern-most line of drilling of the main Collerina mineralised zone. The new EM zone is modelled in a sub parallel position stratigraphically below the current drilling. The modelled EM Conductor has a time-constant approximately 4 times greater than the typical EM response from the higher main mineralised trend. The position and its potential lateral and up-dip/down-dip extensions are completely untested and could represent an entirely new mineralised zone within the Collerina Prospect.

Finally, the presence of a sub-parallel trend of EM anomalism has been confirmed by additional MLEM surveying in an area approximately 1km north of the main Collerina Prospect. This area sits on a subtle topographical rise and is coincident with a small amount of iron-rich (gossanous) rock float scattered along the trend. Several samples of the gossanous material have been collected and dispatched for assay (refer Figure 2).

Figure 1: A 3D schematic view of Collerina Prospect looking northwest showing the dip/plunge extension of the main zone and modelled position of the new strong off-hole DHEM conductor

Figure 2: Location of New EM Zone in mid-time MLEM image, gossanous rock float collected from surface awaiting assays

About the Collerina Copper-Zinc Prospect

The Collerina Copper-Zinc Prospect is located within a regionally significant VMS prospective belt between the Tritton Mine to the North and Tottenham deposits to the south on the eastern edge of the Girilambone Basin in Central NSW.

The Collerina Copper-Zinc Prospect was subject to small-scale mining in the early 1900's and a three hole drilling program by CRA in the 1980's; all three holes intersected copper mineralisation.

No modern exploration had been undertaken on the Prospect until Helix's involvement, commencing in mid-2014. Helix has completed 38 holes into the Collerina Prospect to date with 25 holes returning better than 1% copper over 700m of strike. The system remains open along strike and down dip/plunge.

For further information:

- ENDS -

Mick Wilson

Pasquale Rombola

Managing Director

Chairman

[email protected]

[email protected]

Ph: +61 8 9321 2644

Ph: +61 413 239 630

Competent Persons Statement

The information in this announcement that relates to Exploration Results, Mineral Resources or Ore Reserves is based on information compiled by Mr M Wilson who is a full time employee of Helix Resources Limited and a Member of The Australasian Institute of Mining and Metallurgy. Mr M Wilson 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, Mineral Resources and Ore Reserves'. Mr M Wilson consents to the inclusion in the report of the matters based on his information in the form and context in which it appears.

Details of the assumptions underlying any Resource estimations are contained in previous ASX releases or at www.helix.net.au

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