Ardea Resources Limited provided an update on nickel sulphide exploration at its Emu Lake prospect at the Kalpini Project located 70km northeast of Kalgoorlie, Western Australia. Exploration Update: Three diamond drill holes and extensions of four historic diamond drill holes for 2,753.8m were drilled from March to May 2022, followed by four diamond drill holes for 2368.5m drilled from July to September 2022 for a total of 5,122.7m. The drill holes were largely following up targets at the Binti prospect where Type 1 massive nickel sulphide mineralisation was recently discovered on an intact basal contact of the steeply east dipping overturned Western Ultramafic flow (that is AELD0003: 2.72m at 5.42% Ni and 0.85% Cu from 391.04m).

An additional diamond hole was drilled testing a regional target 6km to the southeast of Binti. A summary of significant results from the diamond drill holes completed in 2022 are shown below, including results from the DHEM surveys. All drill holes excluding AELD0010 were drilled at the Binti prospect.

AELD0004: The DHEM survey in AELD0003 was unable to generate an off-hole conductor likely due to the high in hole conductivity of the massive nickel sulphides intersected. Therefore, AELD0004 was drilled as a stratigraphic test underneath AELD0003. The hole intersected minor nickel sulphide mineralisation on the basal contact (0.6m at 0.6% Ni from 449.2m), interpreted as only intersecting the edge of the target channel.

The DHEM survey provided an off-hole plate later tested by AELD0009. This drill hole is also partly funded (50% of drilling costs) by the Geological Survey of Western Australia's Exploration Incentive Scheme. ELD023: was a historic hole that was extended to 520m depth.

The hole intersected thin primary massive nickel sulphide at the base of the Western Ultramafic unit and thicker disseminated/blebby nickel sulphides. This drillhole (and AELD0006) both extended the known mineralised Western Ultramafic 300m northwest from Binti South. ELD015, ELD034 and ELD036: were all extensions of historic holes aimed to test and define the Western Ultramafic unit at depth and provide platforms for DHEM surveys.

Results from the drilling indicate that the Western Ultramafic unit pinches out near AELD0005 and none of these holes drilled north of AELD0005 intersected this unit, but still provided valuable geological information and DHEM coverage. AELD0005: was designed to continue testing between Binti South and Binti Gossan following the success of ELD023. However, it is now known the Western Ultramafic pinches out here and the Central Ultramafic is displaced with many intermediate porphyritic intrusions.

Interestingly, the Central Ultramafic had some nickel sulphide intersections near these intrusions. AELD0006: tested the Western Ultramafic 110m down dip of ELD023 and intersected massive nickel sulphide at the base of this unit (0.3m at 3.35% Ni from 519.39m). In addition, massive nickel sulphide was intersected on the Central Ultramafic (0.3m at 5% Ni from 409.74m) that hosts nickel sulphide mineralisation at Binti Gossan.

AELD0007: targeted a 100m x 60m offhole DHEM plate (10,000 siemens) modelled near the basal contact of the Western Ultramafic. The drill hole intersected 0.19m of massive sulphide from 491.94m and 19.4m of weak-moderate disseminated sulphides from 500m. Results from the DHEM survey have now identified the peak of the target conductor to be just offhole to the south (124m x 30m; 6,000 siemens).

This drill hole is also partly funded (50% of drilling costs) by the Geological Survey of Western Australia's Exploration Incentive Scheme. AELD0008: targeted a 280m area with minimal previous drilling, between drillholes AELD0002/AELD0003 (Binti South) and AELD0006 (Binti Central). The drill hole intersected 0.55m of matrix sulphides from 511.86m and 3.6m of blebby nickel sulphides from 512.41m.

Blebby sulphides were also intersected from 486-500m in the dacite footwall unit. This drill hole was also planned as a platform hole for DHEM surveys and has detected a new off-hole conductor (82m x 50m; 5,000 siemens) mostly below and north of the hole. AELD0009: targeted a 30m x 30m offhole DHEM plate above and south of AELD0004.

The drill hole intersected 8m of blebby and stringer nickel sulphides from 446m with the lithological sequence consistent with previous interpretation. The DHEM survey detected two plates (4,130 siemens each), with northern plate consistent with the modelled basal ultramafic contact and the southern plate associated with remobilised stringer nickel sulphides 15m above the Western Ultramafic contact. AELD0010: targeted a regional magnetic anomaly 6km southeast of the Binti prospect where previous drilling identified broad zones with >100ppb Pd and >200ppm Cu (up to 1,070ppm Cu) in ultramafics (i.e. KPDD0001).

The drill hole intersected very thick ultramafic stratigraphy (578m in total, open at end of hole) with some high-MgO ultramafics (i.e. meso-adcumulates) intersected. Importantly weak-moderately disseminated nickel sulphides were intersected from 132-136m and also very fine `cloud' disseminated sulphides from 633-660m, indicating the ultramafics in this new search area are also fertile. Review of the DHEM has not identified any priority targets, however, there are multiple MLEM anomalies north and south of AELD0010 proximal to interpreted ultramafic units that require priority follow-up.