GTI Energy Ltd (ASX:GTR, OTC:GTRIF) has outlined the resource expansion potential and objectives of the upcoming 2024 Phase II drilling program at its Lo Herma ISR Uranium Project in Wyoming’s Powder River Basin (PRB).
The upcoming resource expansion drilling program, which is on track to begin in coming weeks, follows a recently completed placement to sophisticated and institutional shareholders which saw the company raise $2.25 million, fully funding the drilling and supporting a later scoping study.
GTI Energy's planned 2024 drilling permit at Lo Herma allows for up to 76 drill hole locations including construction of up to five groundwater monitoring wells.
This phase of drilling will focus on expanding the resource areas and, where possible, upgrading the mineral resource classification. The current inferred mineral resource estimate (MRE) stands at 5.71 million pounds of uranium (U3O8) at an average of 630ppm.
GTI will also prioritise the collection of important data including, hydrogeologic parameters of the mineralised aquifers and collection of rock core samples for metallurgical testing.
The program is expected to commence in late July or early August, with GTI to mobilise drilling rigs to Lo Herma as soon as the activity is fully permitted.
Targeting scoping study
Once the 2024 drill program at Lo Herma has been completed, GTI intends to publish an updated mineral resource estimate and exploration target range for the project. It expects that the updated MRE will support near-term development of a scoping study to demonstrate the economic potential of the project.
GTI executive director Bruce Lane said, “We are pleased and excited to have received investor support and funding to continue moving forward with our planned resource expansion drilling at Lo Herma.
“Matt and the team in Wyoming have put us in a great position to complete the drilling program this quarter, with a revised mineral resource estimate to be rapidly advanced post-drilling.
“This work prepares GTI for a potential Lo Herma scoping study which we hope to commence later this year on the basis that we can significantly grow the uranium resource estimate to a similar scale to ISR uranium mines currently being constructed or planned in Wyoming at Ur-Energy’s Shirley Basin project and Encore’s Energy’s Gas Hills project.”