Koonenberry Gold Ltd. announced that it has received the assays from its Reverse Circulation (RC) drilling program at the Lucky Sevens high grade gold Prospect. All assays have been received, besides 13 (26m down hole) which are still pending Aqua Regia assays for the following holes and zones: LK7RC22006 (118-130m), LK7RC22009 (152-154m), LK7RC22010 (14-16m) and LK7RC22011 (48-58m). Structural mapping at Lucky Sevens earlier in 2022 revealed a series of NW-SE trending reefs, mostly parallel with S0 and S1 at the scale of the prospect.

Some reefs have a sigmoidal shape and step across bedding. The reefs are hosted within Delamerian sediments that have been tightly to isoclinally folded in doubly-plunging, upright F1 folds. S1 trends NW-SE.

Reefs and F1 folds are overprinted by an upright NE-SW trending S2 foliation, defined as a crenulation cleavage and/or a fracture cleavage that is responsible for open, long wavelength folds of the S1 and more rapid variation of the L1 and possibly responsible for the doubly plunging nature of F1. Reefs comprise milky and heavily iron-oxide-stained quartz. Timing of quartz and iron-oxide is not established although it was observed that the fluids associated with the iron-oxide brecciated the quartz reef.

The reefs are emplaced consistently with the flexural slip model. Even though one reef at Lucky Sevens can be followed for more than a kilometre, this reef swells and pinches along strike and is a perfect example of the variation of thicknesses (often rapid) of the reef along strike. This is explained by varying dilation during emplacement and boudinage associated with the S1 foliation.

The 11-hole, 2,258 m RC drilling program was the first ever conducted by Koonenberry Gold and targeted a 400m part of the 4km long gold in soil anomaly at Lucky Sevens. The geology observed is of a typical deep water turbidite sequence of mudstone, siltstone, matrix- supported, poorly-sorted wackes and clast-supported, better-sorted sandstone, which have been metamorphosed to lower greenschist facies. In all rock types, clastic grains are dominated by quartz accompanied by lesser feldspars, minor muscovite and trace Ti-mineral, graphite, biotite, tourmaline and zircon.

The presence of graphitic clasts indicates these sediments were weakly carbonaceous and therefore reduced in redox character. Quartz veins are generally observed on or near the contact between the grain-supported sandstone and matrix-supported wacke and/or fine-grained mudstone. In the absence of structural data (drill core) the quartz veins have been interpreted to have a moderate dip towards the east.(5) They tend to have a milky-white colour and are filled and/or sealed by varied assemblages of quartz-chlorite, or fine-grained quartz-carbonate-graphite ±sulphides (pyrite-chalcopyrite-sphalerite).(4) Quartz veins were observed to have the highest abundance on section B ­ B', which is also coincident with the highest tenor gold in soil results.

Alteration consists of silica-sericite and chlorite which are observed to increase in intensity closer to the quartz vein zones. Sulphides are observed as very fine-grained disseminations of pyrite and rare pyrrhotite which also generally increase in abundance closer to the quartz veins. Chalcopyrite and sphalerite have been observed petrographically as described above.

The Base of Complete Oxidation (BOCO), Base of Partial Oxidation (BOPO) and Base of Fracture Oxidation (BOFO) are observed to increase slightly in the centre of the A ­ A' and B ­ B' sections, (5) which is indicative of increased weathering along a structure/s and oxidation of sulphides. Given the proximity of the quartz veining and coincidence of alteration and sulphide mineralisation, this structure/s is likely to have been a conduit for hydrothermal fluids.