As class 'D' is deemed to be a "known aircraft" environment then it is assumed that the A7000 is in class 'G' below the class 'D'. Aircraft outside CAS are deemed to be separated from aircraft inside class 'D'
HOWEVER
As per the reference you looked at:
If radar derived, or other information, indicates that an aircraft is lost, has experienced radio failure or is making an unauthorised penetration of the airspace – avoiding action shall be given and traffic
information shall be passed.
Other information includes "a feeling in your water"
However, even if you believe it to be outside CAS - you never let the blips merge - just in case!