Alligator Energy Ltd (ASX:AGE) is poised to increase the confidence level of the mineral resource estimate (MRE) for the Blackbush deposit within its Samphire Uranium Project in South Australia after delivering “exceptional high-grade” uranium results during a recently completed drilling program.
Resource drilling for a total of 118 holes for 10,149 metres has been completed at the Blackbush deposit, aimed at increasing the confidence of the MRE through conversion of the inferred resource to indicated.
Drilling was carried out primarily in the Blackbush West area, where 82 holes for 7,033 metres were drilled.
Several holes drilled on the limit of the inferred mineral resource have confirmed uranium mineralisation extends beyond the known MRE outline, which will be the focus of next year's drilling commencing in late January.
Some of the notable intersections include:
- BBRM23-121 - 4.82 metres at 0.591% (5,910 ppm) pU3O8 from 63.82 metres;
- BBRM23-121 - 3.22 metres at 0.628% (6,280 ppm) pU3O8 from 69.06 metres;
- BBRM23-122 - 4.36 metres at 0.267% (2,670 ppm) pU3O8 from 70.24 metres;
- BBRM23-163 - 2.48 metres at 0.893% (8,930 ppm) pU3O8 from 75.30 metres; and
- BBRM23-161 - 2.30 metres at 0.717% (7,170 ppm) pU3O8 from 76.96 metres.
AMC Consultants has been provided with the additional drill data and is targeting an update to the MRE in mid-November.
Positive outcome
“Our Samphire team have achieved excellent drilling results despite some significant rain delays early in the year reducing our metres drilled,” Alligator chief executive officer Greg Hall said.
“The consistency of grades within the Blackbush deposit bodes well for our Field Recovery Trial (FRT), which is planned to commence in Q1 2024, subject to regulatory approvals.
“With work underway on the resource update, we are now updating our scoping study based on an increased production schedule, subject to confirmation of the new indicated resource level.
READ: Alligator Energy aims to hold Field Recovery Trial at Samphire Uranium Project
“I wish also to mention the continuing exceptional work by our Project and Environmental Team, and Watsons drilling contractors on minimising impacts on ground while we drill,” Hall said.
“The techniques and procedures developed and adopted, including rolling the bush, maintaining the important root stock, single track with truck access spotting, limiting track widths and cornering, mean a much faster rehabilitation with an increased bush density.
“We have planted and are watering over 400 native trees, fencing off areas to speed up rehabilitation, and have identified key areas for future significant habitat and offsets for areas cleared.
In excellent financial position
“Our successful capital raise - placement and SPP - means we are now in an excellent position to advance Samphire through to approvals and development-ready stage.
“We are continuing to recruit the key expertise to enable this, with an additional hydrogeologist recently engaged, and further expertise being sought in study manager roles.
“Our personnel are engaging with pastoralists, community, the Barngarla group, and wider regional and state stakeholders to ensure transparency and openness regarding the project impacts and opportunities.
“We are now utilising the services of over 30 companies within Whyalla and regions and have had significant early discussion with potential uranium offtake customers internationally.”
Mapping new drill areas
Alligator conducted a heritage survey, together with representatives from the Barngarla Determination Aboriginal Corporation (BDAC), over a wider area at Samphire on August 29.
This survey now allows for further ground gravity to be acquired next year to map the paleochannel system for drilling outside of the Blackbush mineralisation envelope.
The company is confident this will lead to further resource expansion as it heads into the FRT and feasibility study next year.
Outline of heritage surveys undertaken in 2021/2022 and August 2023.
Trial update
Fabrication of the containerised pilot plant for the FRT is continuing and is targeted for completion in December.
The wellhouse is 95% complete and is awaiting electrical fit-out, while the ion exchange (IX) containerised module will commence construction at the end of this month after the arrival of three IX columns.
All parts and equipment for the reverse osmosis unit have been received and the assembly is in progress, while orders for the submersible downhole pumps for the extractor wells have been placed.
Progress of the well house fabrication for the FRT pilot plant.
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