Duketon Mining Ltd. announce the receipt of positive metallurgical results for the C2 nickel resource. A composite sample from diamond drilling was processed through a number of flotation tests during the past few months. The test work was completed by Strategic Metallurgy Pty Ltd, recognised as leading consultants in nickel sulphide metallurgy.

The primary objective of this test work was to assess nickel flotation response for C2 and determine the recovery to a saleable grade (>10% Ni) concentrate. Assessment of concentrate quality, including Fe:MgO ratio and other deleterious elements was also included. The C2 composite was prepared from select drill core intervals that represent the known resource zones.

The core samples were all from the hole DKDD0030 between 205m - 235m with sample IDs DKM38779 - DKM38813. The nickel assay of all intervals ranged between 0.6% Ni - 2.5% Ni and formed the composite with a grade of 1.07% Ni. These tests confirm that C2 ore responds well to conventional flotation and produces a saleable concentrate.

Open circuit recovery is as high as 77.3% to a saleable concentrate with nickel grades ranging from 11%-18% Ni and an Fe:MgO of between 12-20:1. It is anticipated with further metallurgical work the recovery can be improved without compromising any of the key elements. Platinum and palladium were recovered into the concentrate however are not present at high enough levels to warrant credits. Low levels of deleterious elements were detected in concentrate but are not expected to incur any penalties.

Copper and cobalt are present in levels expected to receive concentrate by- product credits. The positive result in these tests allow DKM to move forward with infill drilling the C2 deposit to an indicated status so it can be used for scoping study level assessment and extending the resource along strike and down dip.