Hexagon Resources provides an update on McIntosh Flake Graphite Project exploration

2017-09-27

Sep. 27, 2017 - Hexagon Resources Limited is pleased to provide an update on exploration completed during the current field season at its 100% owned McIntosh Flake Graphite Project located in northern Western Australia.

Exploration activities, focussed on advancing the feasibility study and continuing to assess and demonstrate the large scale potential of the Project area, consisted of:

• drilling at the Longtom and Barracuda deposits to generate metallurgical samples, geotechnical data and confirm/upgrade some areas of the current Mineral Resource;

• reconnaissance rock chip sampling across high priority targets identified by airborne EM in the eastern prospects; and

• continuing the negotiation process with the native title groups in regard to the Mining Lease applications and access to explore the new high priority targets.

Highlights from the drilling program include wide, up to 15 metre (true width) intersections of graphitic bearing rocks along a continuous 1.8km strike length from the current Longtom resource. A very positive outcome from the rock chip program was the identification of outcropping graphitic schist at the Mahi Mahi and Threadfin prospects, which have now been confirmed as high priority areas. These lie in close proximity to the Copernicus nickel mine haul road.

Hexagon’s Managing Director, Mike Rosenstreich commented “Shane and his team have done an outstanding job executing a well targeted program to enable us to upgrade the resource size at Longtom and resource classification at Barracuda whilst also providing the necessary samples to carry out further metallurgical test work.

We need a lot of sample for those tests, which are progressing on two fronts; 1 the primary flotation flow sheet where we consider major improvements are possible to improve product quality and diversity and 2 – secondary downstream processing where we are about to embark on a very exciting test work program to follow-up on the initial encouraging battery test outcomes reported recently.

Coming back to the geology - I am really excited how boots on the ground have found outcropping graphitic schist indicating very shallow mineralisation and so close to the main haul road. This is great technical support to the previously announced global Exploration Target1 , which underpins our view of the large scale of the McIntosh Project.