Ann: Quarterly Activities Report and Appendix 5B, page-20

Why is the Heron share price falling despite recent developments? The reasons are as follows (in order of priority, in my opinion):

1. The market identifies a significant risk of equity dilution to fund mine development and has priced this risk in accordingly
2. The price of zinc has come off the boil in recent months and bumped up against key support
3. There remains a risk project financing will not be secured
4. The market has lost confidence in the management team due to a series of missed deadlines and inadequately explained delays