Ardea Resources Limited (Ardea or the Company) advises that diamond drill core drilling at the Goongarrie Hill nickel-cobalt deposit confirms high-grade near surface nickel-cobalt mineralisation.

Results very closely validate mineralisation models used in generating the Goongarrie Hill Mineral Resource Estimate (MRE).

Pits at Goongarrie Hill will be the key Atmospheric Leach base load feed source for the proposed nickel-cobalt processing plant at the Kalgoorlie Nickel Project - Goongarrie Hub (KNP - GH).

The drilling program was designed to generate run-of-mine Atmospheric Leach mineralisation for the bench-scale metallurgical programs currently in train at the ALS Balcatta metallurgical laboratories. The metallurgy is an initial program for the KNP Definitive Feasibility Study (DFS). The drilling was particularly useful in upgrading the KNP mineralisation and geometallurgical models.

There is notable change in regolith style between the Goongarrie Hill duricrust residual profile with dominant Atmospheric Leach (AL) feed, and intensely weathered Goongarrie South setting of lacustrine deposition with dominant High Pressure Acid Leach (HPAL) feed. In terms of project metallurgy, this contrast of mineralisation styles is an ideal outcome to maximise project flexibility through the scheduling of plant feeds

Ardea's Managing Director, Andrew Penkethman said: 'The Goongarrie Hill core drilling was a further field test of the KNP low-carbon flowsheet model. In contrast to Goongarrie South, Goongarrie Hill lacks the intense weathering associated with the Bardoc Tectonic Zone and ancestral Lake Goongarrie hydrology. None-the-less, premium High Pressure Acid Leach feed still occurred at Goongarrie Hill above an extensive and more uniform sheet of high-magnesium mineralisation well suited as an Atmospheric Leach feed. In terms of Mineralised Neutraliser, the neutraliser at Goongarrie Hill appears to be a sheet below the Atmospheric Leach feed. In a production situation, this material will be mined from grade control drilling and 'goodbye cuts'. With the unique Goongarrie geological model yet again confirmed, we continue to await the results of the ALS benchscale metallurgy from Highway, as a control for the waiting Goongarrie South and Goongarrie Hill programs. These results will feed into ongoing DFS work flows and continue to enhance the KNP Goongarrie Hub as a globally significant source of sustainable and ethical ESG-compliant nickel-cobalt for the lithium ion battery sector.'

The drilling program was predicated on acquiring representative 'Run-of-Mine' (ROM) Material Types for the current ALS Balcatta bench-scale metallurgical program. In particular, high-magnesium Atmospheric Leach (AL) and Neutraliser Material Types were targeted. These specific geo-metallurgical Material Types are integral to the KNP flowsheet, specifically the low-carbon objective. These Material Types are largely lacking in historic Goongarrie Hill bench-scale metallurgy, which focussed on screen beneficiation of silica-goethite mineralisation for the High Pressure Acid Leach (HPAL) circuit. The diamond core drilling program has confirmed a consistent sheet geometry for the ROM mineralisation and is eminently suited to open pit bulk excavation. With the deeper testing of the core drilling program, zones of a distinctive cave-fill style of clay mineralisation within saprock was identified, sometimes with very high nickel (Ni) and cobalt (Co) grade within the clay component. As cave-fill, such zones can be variable and not always correlate between adjoining holes. However, the recent program demonstrated good correlation between drill holes. In selective open pit mining, the zones of high-grade haematite-goethite clay will be easily recovered through visual grade control and excavator supervision.

Contact:

Andrew Penkethman

Tel: +61 8 6244 5136

About Ardea Resources

Ardea Resources (ASX:ARL) is an ASX-listed nickel resources company, with a large portfolio of 100%-controlled West Australian-based projects, focussed on: Development of the Kalgoorlie Nickel Project (KNP) and its sub-set the Goongarrie Hub, a globally significant series of nickel-cobalt and Critical Mineral deposits which host the largest nickel-cobalt resource in the developed world at 830Mt at 0.71% nickel and 0.046% cobalt for 5.9Mt of contained nickel and 380kt of contained cobalt (Ardea ASX releases 15 February, 16 June 2021), located in a jurisdiction with exemplary Environmental Social and Governance (ESG) credentials, notably environment. Advanced-stage exploration at compelling nickel sulphide targets, such as Emu Lake, and Critical Minerals targets including scandium and Rare Earth Elements throughout the KNP Eastern Goldfields world-class nickel-gold province, with all exploration targets complementing the KNP nickel development strategy. Ardea's KNP development with its 5.9 million tonnes of contained nickel is the foundation of the Company, with the nickel sulphide exploration, such as Emu Lake, as an evolving contribution to Ardea's building of a green, forward-facing integrated nickel company. Put simply, in the Lithium Ion Battery (LIB) sector, the Electric Vehicle and Energy Storage System battery customers demand an ESG-compliant, sustainable, and ethical supply chain for nickel and other inputs. In the wet tropics, with their signature HPAL submarine tailings disposal and rain forest habitat destruction, an acceptable ESG regime is problematic. In contrast, the world-class semi-arid, temperate KNP Great Western Woodlands with its benign environmental setting is likely the single greatest asset of the KNP. The KNP is located in a well-established mining jurisdiction with absolute geopolitical acceptance and none of the land-use and societal conflicts that commonly characterise nickel laterite proposals elsewhere. All KNP Goongarrie Hub production tenure is on granted Mining Leases with Native Title Agreement in place.

CAUTIONARY NOTE REGARDING FORWARD-LOOKING INFORMATION

This news release contains forward-looking statements and forward-looking information within the meaning of applicable Australian securities laws, which are based on expectations, estimates and projections as of the date of this news release. This forward-looking information includes, or may be based upon, without limitation, estimates, forecasts and statements as to management's expectations with respect to, among other things, the timing and amount of funding required to execute the Company's exploration, development and business plans, capital and exploration expenditures, the effect on the Company of any changes to existing legislation or policy, government regulation of mining operations, the length of time required to obtain permits, certifications and approvals, the success of exploration, development and mining activities, the geology of the Company's properties, environmental risks, the availability of labour, the focus of the Company in the future, demand and market outlook for precious metals and the prices thereof, progress in development of mineral properties, the Company's ability to raise funding privately or on a public market in the future, the Company's future growth, results of operations, performance, and business prospects and opportunities. Wherever possible, words such as 'anticipate', 'believe', 'expect', 'intend', 'may' and similar expressions have been used to identify such forward-looking information. Forward-looking information is based on the opinions and estimates of management at the date the information is given, and on information available to management at such time.

Forward-looking information involves significant risks, uncertainties, assumptions, and other factors that could cause actual results, performance, or achievements to differ materially from the results discussed or implied in the forward-looking information. These factors, including, but not limited to, the ability to create and spin-out a gold focussed Company, fluctuations in currency markets, fluctuations in commodity prices, the ability of the Company to access sufficient capital on favourable terms or at all, changes in national and local government legislation, taxation, controls, regulations, political or economic developments in Australia or other countries in which the Company does business or may carry on business in the future, operational or technical difficulties in connection with exploration or development activities, employee relations, the speculative nature of mineral exploration and development, obtaining necessary licenses and permits, diminishing quantities and grades of mineral reserves, contests over title to properties, especially title to undeveloped properties, the inherent risks involved in the exploration and development of mineral properties, the uncertainties involved in interpreting drill results and other geological data, environmental hazards, industrial accidents, unusual or unexpected formations, pressures, cave-ins and flooding, limitations of insurance coverage and the possibility of project cost overruns or unanticipated costs and expenses, and should be considered carefully. Many of these uncertainties and contingencies can affect the Company's actual results and could cause actual results to differ materially from those expressed or implied in any forward-looking statements made by, or on behalf of, the Company. Prospective investors should not place undue reliance on any forward-looking information. The Company does not undertake, and assumes no obligation, to update or revise any such forward-looking statements or forward-looking information contained herein to reflect new events or circumstances, except as may be required by law.

(C) 2022 Electronic News Publishing, source ENP Newswire