ASX ANNOUNCEMENT

31 January 2017

SUCCESSFUL STAGE 1 DRILLING PROGRAMME COMPLETED AT JAURDI Highlights
  • Assay Results received from RC drilling at Jaurdi include
    • JD17C10: 11 metres at 10.17 g/t Au from 9 metres
    • JD17C67: 16 metres at 3.81 g/t Au from 8 metres
    • JD17C19: 14 metres at 3.33 g/t Au from 7 metres
    • JD17C15: 14 metres at 2.91 g/t Au from 7 metres
    • JD17C11: 12 metres at 2.83 g/t Au from 12 metres
    • JD17C48: 10 metres at 2.45 g/t Au from 9 metres
    • JD17C49: 12 metres at 2.42 g/t Au from 9 metres
    • JD17C52: 13 metres at 2.35 g/t Au from 8 metres
    • JD17C14: 11 metres at 2.35 g/t Au from 9 metres
  • The mineralised palaeochannel is open to the East and to the North West
    • 400 metres of strike identified in Eastern Arm of palaeochannel as a result of Stage 1 drilling programme
    • Average width of mineralisation in the Eastern Arm is 180 metres
    • Average thickness of the Eastern Arm mineralisation is 10 metres
    • Average depth from surface to the upper horizon of the gold bearing palaeochannel is 8 metres

Beacon Minerals Limited ("Beacon" or the "Company") is pleased to announce that the Stage 1 drilling programme has been successfully completed at the Jaurdi Gold Project, located 35 Km north west of Coolgardie in Western Australia. As announced on 3 January 2017 Beacon executed an exclusive option to purchase the Jaurdi Gold Project (Figure 1) comprising Mining Lease M16/529 (ML) from Fenton and Martin Mining Developments Pty Ltd (Fenton and Martin).

Beacon has completed 78 holes for 2,330 metres as part of their Stage 1 drilling programme which was designed to test the Eastern Arm of the Jaurdi gold system. The programme was highly successful with 52 of the 78 holes intersecting significant intervals of gold mineralisation at an average depth of 8 metres below surface. The Stage 1 drilling results extend the known position of mineralisation within the Eastern Arm of the Jaurdi gold system to both the North and the East. The system remains open to both the East and West ‐ North West.

Figure 1: Locality of Jaurdi Gold Project relative to major gold deposits in the Kalgoorlie‐Coolgardie district

Drilling was completed using a combination of Aircore (44 holes for 1,313 metres) and Reverse Circulation (34 holes for 1,017 metres) drilling techniques, the latter being employed to effectively drill through a silicified siltstone. A 25m x 50m pattern was drilled with all holes being vertical. Holes were drilled between 21 and 35 metres in depth (Figures 2 to 4). All hole collars have been surveyed using a DGPS and down hole surveying was undertaken using an open hole north seeking gyroscope.

The gold mineralisation is hosted in either a bleached, siliceous siltstone or an interbedded clay and siltstone unit. The average thickness of the mineralised system in the Eastern Arm of the Jaurdi palaeochannel is 10 metres, the average width is 180 metres and the identified strike length is 400 metres, being open to both the East and West of this arm. It appears the course of the palaeochannel system mimics the contemporary drainage system.

Figure 2: Location plan showing the collar position of the 2017 Stage 1 drill holes Figure 3: Long section A - A' through Eastern Arm of the Jaurdi gold system showing depth of palaeochannel mineralisation Figure 4: Cross section B - B' through Eastern Arm of the Jaurdi gold system showing depth of palaeochannel mineralisation

Beacon Minerals Limited published this content on 31 January 2017 and is solely responsible for the information contained herein.
Distributed by Public, unedited and unaltered, on 30 January 2017 22:34:10 UTC.

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