‘Opportunity worth exploring’: Power Minerals investigates uranium prospectivity in South Australia
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With uranium market conditions running hot, Power Minerals has begun to assess the potential of its Eyre Peninsula licences to host economic deposits.
South Australia has five approved uranium mines including the massive Olympic Dam underground mine, and four approved In Situ Recovery (ISR) uranium mines (Beverley, Beverley North, Four Mine and Honeymoon).
Explorers and developers in South Australia therefore benefit from having established regulatory procedures and uranium transport logistics compared to other jurisdictions.
Power Minerals’ (ASX:PNN) Eyre Peninsula project consists of three exploration licences, covering a total of 1,413km2 on the western side of the Eyre Peninsula.
The region is host to a flurry of uranium exploration activity with two of PNN’s licences a proverbial stone’s throw from unlisted uranium-focused explorer Orpheus Minerals, a subsidiary of Argonaut Resources NL (ASX:ARE).
Also in the area is Alligator Energy (ASX:AGE), which is seeking approval to conduct a pilot ISR field recovery trial on its Samphire uranium project, south of Whyalla.
Power Minerals’ technical team is looking to cash-in on the improved market conditions to pursue the uranium potential at its Eyre Peninsula project.
In the course of the company’s kaolin and REE-focused drilling, other sediments, including possible paleochannel sediments have been intersected.
Every 1-metre sample routinely undergoes geochemical analysis by three-beam pXRF for a wide range of possible elements, including uranium.
Geochemical pXRF analyses completed by Power on all previous drill intervals from its tenements has detected possible anomalous uranium concentrations from 1-metre sediment samples at all three of its granted exploration licences.
There are several paleochannels with demonstrated uranium content in the southern part of the Eyre Peninsula, and it is believed these may extend into Power’s exploration licences.
All anomalous pXRF samples will require laboratory analysis to confirm their uranium potential.
The company now plans to utilise the geochemical analytical data accumulated from its recent kaolin-halloysite-REE drilling across the Eyre Peninsula project area to test for uranium.
PNN managing director Mena Habib said modern techniques will allow the explorer to quickly and easily select the best samples for uranium assay.
“This will provide us with a greater geological understanding of our projects’ potential to host uranium mineralisation,” he said.
“There are development and approval pathways in place for uranium in South Australia, which is a strong benefit for uranium explorers, relative to other jurisdictions where such pathways are not in place.
“While developing the Salta Lithium Project in Argentina remains our focus, we believe this opportunity is worth exploring further.”
This article was developed in collaboration with Power Minerals, 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.