Blackham Resources Ltd. Drilling Extends Matilda at Depth

Perth - Blackham Resources Ltd (ASX:BLK) ("Blackham") is pleased to announce the latest results from resource infill and extension drilling at the Matilda Gold Project in Western Australia. The latest of 60 RC holes for 6,579m and 2 diamond tails for 347.4m, have intersected significant extensions to higher-grade zones and have upgraded a significant portion of the remaining in-pit Inferred resource to Indicated category (refer to ASX release 17th June 2016).


Key Points:

Deep step-out drilling at Matilda proves additional 250m depth continuity, deepest drilling at the project:

o 2m @ 6.98 g/t from 419m incl 1m @ 11.8 g/t from 419m (MARD0470) M1

- Successful extensions to higher grade shoots at M3, M4 & M10 pits:
o 4m @ 7.94 g/t from 69m and 3m @ 9.44 g/t from 104m (MARC0433) M10
o 4m @ 5.75 g/t from 6m (MARC0439) M10
o 5m @ 2.94 g/t from 37m and 2m @ 6.35 g/t from 82m (MARC0435) M10
o 9m @ 3.05 g/t from 133m, incl 2m @ 6.57 g/t from 137m (MARC0469) M3
o 16m @ 2.31 g/t from 163m, incl 1m @ 11.5 g/t from 163m (MARC0465) M4

- M6 extensions confirm mining potential of new resource area
o 12m @ 2.98 g/t from 42m (EOH) (MARC0459) M6

- District-scale exploration for Matilda-sized (~1Moz) deposits underway

Deeper drilling results, including 2m @ 6.98 g/t from 419m, confirm the high-grade Matilda mineralised system extends a further 250m down-plunge of previous high-grade drill intercepts, and remains open down plunge. High-grade mineralisation is now known to extend to greater than 400m vertical depth.

Successful drilling of the Matilda Mine has grown the resource to 13.1Mt @ 1.7 g/t for 721,000oz Au, (ASX release 17th June 2016) with 61% now in the Measured and Indicated Resource categories (8.0Mt @ 1.8g/t for 460,000oz Au). A resource model update is underway to include these results.

The Matilda Mine is 19km by existing haul roads from the Wiluna gold plant and will provide the base load open pit feed the plant has not had since the early 1990's. The Matilda mineralisation is soft, deeply weathered oxide ore with a number of stacked lodes that often repeat along strike and down plunge.

Blackham's district-scale exploration strategy is well advanced, with an Induced Polarisation geophysical survey underway targeting 10kms of prospective strike along the Matilda shear zone.


High grades intersected in deep exploratory drilling

High-grade results have been received for three deep RC and diamond holes drilled to locate down-plunge extensions to M1 deposit, which may be amenable to underground mining. MARD0470 has extended high-grade mineralisation a further 250m down plunge from previous drilling with an intercept of 2m @ 6.98 g/t from 419m, including 1m @ 11.8g/t from 419m (Figure 1 in link below).

Previously, Matilda deposits had been tested to only 300m below surface; these results demonstrate that Matilda is a large mineralised system which remains open at depth and, significantly, shows longer term potential for underground mining. Follow up drilling is planned to test the plunging shoots at depth.

MARD0468 and MARC0469 targeted down-plunge extensions of the M4, M3 and M5 orebodies. MARC0469 intersected 5m @ 2.59 g/t from 81m and 9m @ 3.05 g/t from 133m incl. 2m @ 6.57 g/t from 137m along strike from M3 mineralisation, which may fall within a larger open-pit cutback. Follow-up drilling is planned.

Intercepts from all holes drilled as part of this program are given in Table 1 in link below.


Shallow higher grades intersected at M6 North

Initial results from the M6 North shoot, as reported to the ASX on 22nd February and 11th April 2016, included:

o 20m @ 1.81 g/t from 22m (MARC0334)
o 7m @ 4.71 g/t from 42m incl. 2m @ 11.9 g/t from 44m (MARC0325)
o 5m @ 4.04 g/t from 15m (MARC0324)
o 6m @ 3.28 g/t from 74m (MARC0406)
o 7m @ 4.21 g/t from 69m incl. 2m @ 7.56 g/t from 73m (MARC0408)
o 4m @ 4.20 g/t from 73m (MARC0411)

Follow-up drilling during the current program has yielded a best intercept of 12m @ 2.98 g/t from 44m (end of hole) in MARC0459, adjacent to the historical M6 pit (Figure 2 in link below). M6 North prospect has now been drilled to 50m vertical depth to a spacing that has the potential to yield Inferred and Indicated resources.

Exploratory drilling of historical RAB anomalies along the M10 East structure returned generally low tenor results, with better results including MARC0452: 1m @ 7.28 g/t from 52m and MARC0447: 3m @ 1.99 g/t from 42m (Figure 2).


Matilda District Exploration

Blackham's exploration strategy is to test the full 10km-long strike extent of the Matilda shear zone to identify further Matilda-sized deposits (~1Moz). Historical drilling intercepts up to 4km along strike from the mine include 4m @ 13.9g/t and 6m @ 13.9g/t (Figure 3 in link below). To assist with target definition, a gradient array and dipole-dipole IP geophysical survey has commenced at Matilda to detect sulphides beneath alluvial cover north and south of the mine. Preliminary results suggest that the M6 mineralisation continues at depth to the north of the previously mined M6 pit and that there may be additional mineralised structures to the west of M6 which are yet to be drill tested. Final results and modelling of the IP data are expected in August.

The Matilda Mine mineral resource now stands at 13.1Mt @ 1.7 g/t for 721,000oz Au, (ASX release 17th June 2016) with 61% now in the Measured and Indicated Resource categories (i.e. 8.0Mt @ 1.8g/t for 460,000oz Au). The Matilda Mining Centre is intended as a base load feed of soft oxide ore for up to 1.7Mtpa through the Wiluna gold plant.

To view tables and figures, please visit:
http://abnnewswire.net/lnk/BD4YMNWV


About Blackham Resources Ltd:

Blackham Resources Limited (ASX:BLK), is an emerging gold producer focused on its Matilda Gold Project in Western Australia where mining and production is imminent. Matilda €™s resources of 48Mt @ 3.3g/t for 5.1Moz, all within a 20km radius of its gold plant currently being re-commissioned. The Matilda Gold Project incorporates over 780 square kilometres of tenements and cover around 55 kilometres of strike along the Wiluna and Coles Find Mine Sequences. The Project has historically produced 4.3 million ounces of gold.



Contact:

Blackham Resources Ltd
Bryan Dixon, Managing Director#
T: +61-8-9322-6418
E: info@blackhamresources.com.au
www.blackhamresources.com.au

David Tasker / Tony Dawe
Professional Public Relations
T: +61-8-9388-0944