Impact Minerals Limited provided an update on the company's recent activities across its extensive portfolio of exploration projects in Western Australia. This work is part of the Company's change in strategic focus from eastern Australia to the emerging mineral province of south west Western Australia following the recent Julimar PGE-Ni-Cu discovery and also home to the world class Greenbushes lithium-tantalum mine. Impact has assembled a significant number of projects in this highly prospective region, both 100% owned, (Arkun-Beau and Dinninup) and in joint venture (Hopetoun, Jumbo, Narryer and Dalgaranga).

In addition, the company is in a joint venture at the Doonia gold project near Kambalda where drill results are awaited. Current work programmes are aimed at defining drill targets at the flagship Arkun-Beau project and progressing with drill targets already defined at Hopetoun. The other projects are also being progressed via compilations of previous work and preliminary interpretations of the surface and bedrock geology with a view to identifying areas of interest for on-ground follow up exploration.

Hopetoun: At Hopetoun, where Impact is earning an 80% interest in the project, six drill ready targets have been identified of which two, the Top Knotch and Silverstar copper-gold-silver prospects, are fully permitted for drill testing. Four diamond drill holes, two each at Top Knotch and Silverstar were recently completed. At Silverstar, a second drill hole was recently completed to test the up-dip extension of a 25 metre thick (true width) shear zone with extensive alteration minerals and minor disseminated chalcopyrite-pyrrhotite mineralisation.

The second drill hole intersected the same shear zone at about 180 metres down hole and 60 metres up dip from the first hole. The shear zone is of a similar thickness and appearance in the second hole but in addition, one narrow zone of deformed quartz veins about 25 cm thick was intersected at 190 metres down hole which contains up to 5% molybdenite together with anomalous bismuth values up to 250 ppm as measured with a handheld XRF instrument. The Company emphasises that these estimates are based on visual observations only and that chemical assays will be required to determine the absolute amounts of any metals present.

The core is being transported to Perth where it will be logged and sampled in detail. Assays are expected in July. All of this is encouraging and follow work including drilling will be required.

Statutory approvals are for the drill programmes are being compiled together with those required for the other targets at Hopetoun. The Hopetoun area has received very little exploration because of a perception that much of the area is underlain by barren Proterozoic gneisses. In addition, there is extensive younger cover which has hindered previous explorers.

However, a review of the regional airborne magnetic data over the area suggests that much of the gneiss terrane may be an extension of the Ravensthorpe greenstone belt to the north which contains numerous mines and deposits of lithium (Mt Cattlin mine, Allkem Limited), nickel sulphide (the dormant RAV 8 mine and associated deposits), copper-gold (including the Kundip historic mining centre where recent exploration has returned exceptional copper-gold results, Medallion Metals Ltd), zinc-lead-copper (Trilogy deposit) as well as nickel laterite (First Quantum Minerals Limited). Arkun-BEAU: An airborne EM survey was completed last week over 7 priority areas at the Arkun-Beau project at a broad line spacing of 400 metres between survey lines. Six of these areas were identified in geophysical data and returned strong soil geochemical responses (N1 to N6).

One further area with a strong geophysical response but limited soil geochemistry response was also surveyed. Processing of the data will commence shortly with final data expected in late June. In addition, Land Access Agreements have been completed with 21 land owners at Arkun which allow access for soil geochemistry surveys.

Although access is now hampered in a number of areas by active farming and seeding in the region, follow up soil geochemistry surveys are underway on four priority areas with the Beau area already completed. Samples are being taken on a nominal 400 m by 400 m or 200 m grid spacing. Results are expected in late June and July.