QUEENSLAND PROJECTS

Location map showing the two projects (red dots)
Location map showing the two projects (red dots)

QUEENSLAND EPITHERMAL GOLD & PROPHYRY COPPER PROJECT

The company announce as at 5 July 2018 that it has entered into an earn-in agreement (EIA) with Ellenkay Gold Pty Limited (Ellenkay) regarding two exploration projects in Central Queensland, Australia.

The Hill 212 (EPM 26217) exploration project is an epithermal gold-silver opportunity approximately 30km east of Mt Coolon. The Mt Clark West (EPM 26008) exploration project is a porphyry copper-gold opportunity approximately 24km northwest of Nebo. Both projects have well defined drill targets generated through previously completed geochemical and geophysical work programs.

Ellenkay currently has a 100% interest in both projects and under the terms of the EIA, Medusa may earn an equity position of up to 90% in either or both projects by managing and funding work programs through to the completion of a Pre-Feasibility Study.

OLD SINUG-ANG AND ROYAL CROWNE VEIN PROJECTS

Two scout drilling programs were scheduled for implementation in FY 2017/18 targeting the Sinug-ang (i.e. Banbanon Vein segment) and Calavera Vein Systems located within MPSA 262-P2, which is roughly within a 2km radial distance from Co-O Mine. These were later suspended due to unresolved access concerns with local stakeholders. Fortunately by the 4th Quarter of the fiscal year, a successful breakthrough discussions with stakeholders enabled access into the Old Sinug-ang area where the 500 metre long northern segment of the Sinugang Vein System - referred to as the North Sinug-ang Vein Segment, traverses.

The Old Sinug-ang area is a historic small scale mining (“SSM”) site extracting narrow (i.e. < 1 metre wide), high grade (i.e. > 5.0 g/t gold) veins, that has been actively producing gold since the late 1980’s. A 200 metre plus segment named the Royal Crowne Vein, of the 500 metre long North Sinug-ang Vein remains untested by drilling. This prospect is roughly 3km from the PMC Mill site.