Drilling is expected to kick off at the Allamber uranium project in the coming months. Pic: parema / E+ via Getty Images.
Perfect Timing: Kingsland Minerals just listed with a solid uranium play in the NT
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Freshly listed Kingsland Minerals reckons the timing couldn’t be better for its suite of uranium projects in the Northern Territory.
The company has four projects across the NT, including the Allamber uranium and copper project, the Shoobridge uranium and gold project, the Woolgni gold project and the Mt Davis copper and gold project – as well as the Lake Johnston nickel and cobalt project in WA.
And Kingsland Minerals (ASX:KNG) MD Richard Maddocks says its prime time to be in uranium, with the importance of a secure energy supply front of mind in Europe and America – not to mention the uranium spot price recently hit an 11-year high of US$60/pound which is magic number often touted by uranium players that would push them to get into production.
“It’s interesting to see now that a lot of the sentiment from the Fukushima reactor disaster in 2014 is softening and Japan is reopening some reactors that were shut down,” Maddocks says.
“There’s pressure in Germany to keep some of the older reactors going now that they’re looking at cutting off the gas supplies from Russia.
“There’s a mix of people searching for a carbon free power source and also the fact that energy prices are going up generally as a consequence of the Russian invasion of Ukraine.
“If you look at Australia, I think we’re seen as a very stable country, especially for the European and North American customers, and medium to longer term uranium production in Australia will be a safe, sustainable source of uranium for the world’s nuclear reactors.”
Historical Allamber project the priority
The company is kicking off exploration at its Allamber project – which consists of the Cleo Uranium project as well as the Hatrick, Tarpon and Ox-Eyed Herring copper prospects.
“It’s an advanced uranium project, there’s been a lot of historical drilling there,” Maddocks says. “We know where the uranium is, there’s some good grades, it’s not deep, and it’s in the Northern Territory, which obviously is a friendly environment for mining uranium.”
“We’ve also got some copper potential there as well as gold – and we’re looking for pegmatites which could potentially host lithium.
“The focus is on uranium, but we’ve got options there depending on what happens in markets over the next few years with different commodities.”
Lithium pegmatite potential in the mix
But beyond Allamber, there’s also the advanced Woolgni project, which is prospective for gold, and the Shoobridge project which has some historical uranium intersections plus historically mapped pegmatites which have yet to be sampled.
Notably, Core Lithium (ASX:CXO) picked up a block of tenements with lithium pegmatite potential to the south of Shoobridge just last month, and the company believes that prospectivity could also push into their tenements.
Kingsland’s other NT project, Mount Davis, the company is looking for gold and base metals, while at the Lake Johnson nickel project in WA there’s also potential pegmatite mineralisation in addition to the nickel and cobalt mineralisation discovered by previous explorers. Charger Metals Ltd (ASX:CHR) recently announced widespread lithium anomalism on their Lake Johnston tenements providing some encouragement for similar mineralsation on Kingsland’s ground.
Gearing up for drilling in the near-term
The exploration plan is to follow up historical drill holes and extend the mineralisation and try to find a decent sized uranium resource. Director and company secretary Bruno Seneque says drilling approvals are pending.
“We’ll come out and start drilling hopefully in the next couple of months, and we expect to get good results from day dot,” he says.
This article does not constitute financial product advice. You should consider obtaining independent advice before making any financial decisions.
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