Adavale kicks off Lake Surprise drilling as momentum picks up for uranium revival
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Adavale Resources has kicked off a 4500m aircore drilling program at its Lake Surprise uranium project in South Australia, as interest in the nuclear fuel turns a corner.
Uranium has emerged as a commodity to watch in recent years, its spot value tripling to around US$50/lb as a shortage of the commodity emerges and governments extend the lives of nuclear power plants in a bid to help meet Net Zero targets.
Adavale’s (ASX:ADD) Lake Surprise is prospective for uranium hosted within a silcrete capped paeleochannel close to the Flinders Ranges in northern SA.
A drilling contractor has mobilised to site and will test uranium mineralisation to an average depth of 30m over an area well over a kilometre wide over the next three weeks.
Undertaken using a truck mounted aircore rig with a low environmental footprint, the samples will be logged and tested for gamma readings and portable XRF results on site before being sent to the labs for analysis, with assay results due from Adelaide in March.
“The current program will assess a palaeochannel structure over an area of 1.5km by 1km, which is part of a much larger prospective area that strikes to over 8km,” ADD executive director David Riekie said.
“The grid pattern has been designed to provide significant information about the palaeochannel, historical flow directions and assess trap zones.
“Whilst we will obtain real-time information from the gamma logs and XRF readings, we will only really understand the full implications of the program when the assay results are returned in March.”
The project sits on the land of the Dieri People, with ADD saying it is committed to conducting its activities with respect to the Traditional Custodians of the land.
“Adavale acknowledges the Dieri as Traditional Custodians of the land on which our current works are located. With respect to Elders past, present and emerging, Adavale is committed to conducting its activities with respect to the communities in which it operates,” the company said.
Drilling will be undertaken of ADD’s EL5893 licence at Clayton Station, around 70km east of the town of Marree.
Sites for 150 proposed drill holes were pegged during field surveys in July 2022, with a high-res image mosaic produced to identify sites for the holes and the condition of each site for subsequent rehabilitation.
Lake Surprise is one of two big focuses for Adavale, along with the Kabanga Jirani nickel project in Tanzania, located near one of the world’s largest undeveloped nickel mines, the Kabanga Nickel deposit.
This article was developed in collaboration with Adavale Resources (AAX:ADD), a Stockhead advertiser at the time of publishing.
This article does not constitute financial product advice. You should consider obtaining independent advice before making any financial decisions.