Magnetic Resources NL announced The Lady Julie North 4 (LJN4) gold mineralization is still open at depth and to the east and two stacked zones (an upper and lower) are being followed up after promising zones were drilled in its recent drilling programme. These stacked zones are present in the central area with the upper zone including intersections of 20m at 1.5g/t from 48m in MLJRC670, 44m at 1.2g/t from 32m in MLJRC690 and 17m at 1.9g/t from 49m in MLJRC641 and the lower zone includes intersections of 56m at 1.5g/t from 92m in MLJRC679 and 67m at 1.8g/t from 101m in MLJRC689A. These two stacked zones are also noted in the northern area with the upper zone including intersections of 18m at 5.0g/t from 89m in MLJRC657, 16m at 1.0g/t from 80m in MLJRC697 and 8m at 6.9g/t from 77m in MLJRC686 and the lower zone including 16m at 1.9g/t from 121m in MLJRC628 and 15m at 2.9g/t from 162m in MLJRC643.

Most of the follow up holes planned are within the central area where the thickest intersections to date are present, including 67m at 1.8g/t from 101m in MLJRC689A and 56m at 1.52g/t from 92m in MLJRC679. These follow up holes planned are outside the resource and have potential for the enlargement of the Lady Julie North 4 Resource (Indicated and Inferred) of 3.2Mt at 1.93g/t for 204,900oz at a 0.5g/t cutoff. This forms part of the Lady Julie Combined Resources (Indicated and Inferred) of 5.89Mt at 1.68g/t for 317,900oz at a 0.5g/t cutoff.

The updated combined (Indicated and Inferred) Mineral Resources estimate for the whole project area were announced recently on 3 February 2023, Expands Mineral Resources Estimate and include: 13.5Mt at 1.40g/t Au totaling 605,000oz of gold at 0.5g/t cutoff; Increase of 18% of the total ounces over the 27 June 2022 ASX Release Maiden. The Lady Julie North 4 deposit is only 2.5km North of the Lady Julie Central deposit which in turn is 2.5km NE of the HN9 deposit. These three areas are all shallow deposits and in some cases, starting from surface providing low strip ratios and potential for economic ore that is open-cuttable and are effectively part of one mining centre.

In addition, a strong silica-pyrite-fuchsite alteration has been noted in logging in MLJRC631 and MLJRC642 and correlates with the gold intersections. The extent of this alteration within the surrounding holes will be examined when the RC chip logging has been completed. An AC programme was completed along the southern extension of the Lady Julie North 4 shear structure that is mapped and is expected to continue south towards the Mt Jumbo gold resource, looking to find new satellite deposits in areas that have not been drilled.

An intersection of 2m at 2.4g/t from 48m at the end of the MLJAC141 is encouraging and was followed up with deeper RC drilling and results are pending. This shear zone is a complex N to NNE-trending, east-dipping structural corridor which can be traced for some 22km extending from Magnetic Resources' southern boundary at Mt Jumbo and through Lady Julie North 4 and as far north as the Beasley Creek gold deposit on Magnetic's NE boundary. Within Magnetic's tenements the shear zone can be traced for a distance of 12km.

The shear zone is interpreted to comprise a series of braided faults and shears within a corridor ranging from 100m to 250m wide and is interpreted to have formed as a reverse fault on the limb of the regional Margaret Anticline during the latter stages of its folding. Importantly, this shear zone is closely associated with, gold mineralisation at several locations along its length including Magnetic's LJN4 deposit and gold deposits further north of Magnetic's tenements including the Beasley Creek deposit. It is evident in aeromagnetic imagery and in gravity images.

Within the structural corridor the shear zone is characterised by a sheared package of mafic and ultramafic rocks, sediments and an unusual massive carbonate rock, all intruded by felsic porphyries.