Mt Malcolm Mines NL provided an exploration update following recently received assay results from selected lower portions of Diamond Drill holes 22CALDD0011 and wedge hole 22CALDD0011W1 at the flagship Calypso (P37/8792) Prospect. To date eleven (11) HQ diamond drill holes for an advance of 3,636m have been drilled at Calypso. Ten (10) holes targeted the (T3) litho-structural target area, the mineralized discovery zone at T3 is the largest of four identified apophysate stocks (T1-T4) that extend towards the surface originating from an extremely large gravity and coincident strongly magnetic anomaly at depth.

Geological interpretation suggests that the extension of the defined porphyry altered corridor, at T3, is continuous and intersects T2 further along strike. The magnetite altered porphyry zone remains the principal target corridor. The significant anomalous results from the drill program complement the geological model and confirm geophysical target generation.

The identified multi-level panels of mineralisation are shear hosted within a distinctive porphyry altered corridor that extends from T3 to T2. Continuity within several shear zones has been identified on multiple levels. The lithologies at Calypso include a strongly deformed sedimentary sequence of magnetic siltstones, interbedded sandstone, conglomerates, shale and BIF that have been intruded by cross cutting quartz stockworks ± calcite and sulphide bearing felsic porphyries.

Sulphide assemblages can be massive to semi-massive, they include pyrrhotite, pyrite and arsenopyrite with interspersed hydrothermal alteration zones. Magnetite has been replaced by intersecting schistosity and veining, resulting in sulfidation and intense sericite-silica alteration. The latest round of diamond drilling has successfully defined mineralisation continuity according to objectives and justified the change in drilling orientation to intersect the hosting shear zone perpendicular to its orientation, resulting in very close to true width mineralised intercepts.

The potential size of the system at depth was demonstrated in the extension of 22CALDD0005 to over 600 metres that validated the predicted broadening of the prospective porphyry corridor. As a bonus, the deep hole intersected an altered volcaniclastic unit within the magmatic-hydrothermal corridor that had undergone tectonic brecciation and veining. In comparison with regional analogues the altered volcaniclastic unit is considered an optimal mineralisation host.

The current round of geological modeling will utilise the consistent spacing between stacked mineralised lodes - evidenced in 22CALDD0011 - to predict further repetitions of mineralisation-controlling shear zones. This new knowledge will assist the definition of a shallow resource within the porphyry corridor linking T3 and T2, previously shown to host encouraging gold intercepts, but hampered through an inability to predict and define lode continuity. Drill intersections received to date are regarded as extremely encouraging, particularly the increase in grade of >10m-wide intercepts and the consistent spacing between mineralised shear zones within a stacked lode system; shown in 22CALDD0011 to be repeated every 115m, i.e. 4.03m @ 2.23 g/t Au (111.91-115.94m) and 4.90m @ 3.63 g/t Au (225.40-231.12m) and 5.30m @ 3.22 g/t Au (343.00-348.30m).

The latest assay and drill results have confirmed two styles of gold mineralisation at Calypso: Sulphide replacement of magnetic sediments associated with multi-phase intrusive; mineralised felsic porphyries, and Mineralised quartz-carbonate-sulphide veining. Diamond core processing continues and outstanding assay results are expected this quarter. Further announcements will be released as assays are received.

There is evidence of widening porphyry intervals at depth and polymictic brecciated and veined conglomerates display similar carbonate-sulphate assemblages to the Gold Fields Ltd. (7.4Moz Resource) Wallaby deposit host alteration. Wallaby displays porphyry dykes as a fundamental control and sub-horizontal structurally controlled gold lodes that are largely within the magnetite rich pipe associated with shallow dipping shear zones within a magmatic-hydrothermal alteration halo (Salier 2004). At Calypso increasing porphyry concentrations highlight mineralisation potential and secondary magnetite alteration as a selvage to carbonate veins.

Altered magnetite phenocrysts within felsic porphyries indicate a magmatic-hydrothermal origin supported by a spatial association between the highest magnetite susceptibility and the felsic porphyry distribution. At Wallaby gold mineralisation is highest within the conglomerate where it is adjacent to the margin of the actinolite-magnetite alteration halo, or proximal to the intrusive syenite porphyry complex. Mineralisation is found within the intrusive complex however it is generally of a substantially lower tenor compared to the conglomerate (Tully 2017).

At Wallaby two main phases of gold mineralisation have been recognised (Tully 2017). A low grade stage associated with an early oxidised Fe mineral phase of heamatite-albite-dolomite-sericite-pyrite alteration, and A subsequent high grade stage associated with a reduced hydrothermal fluid that produced an alteration assemblage of dolomite-albite-sericite-quartz-pyrite±fuchsite with visible gold.