South Australian exploration on the cards for Adavale Resources as uranium continues to heat up
Special Report: Adavale Resources is pressing ahead with uranium exploration in South Australia, submitting a Notice of Entry to both native title holders and pastoral station owners of its intention to carry out ground surveys.
The Mundowdna (EL6821) and Mundowdna South (EL6957) tenements are near the northern end of the Flinders Ranges, a well-established source of uranium that is mobilised into – and eventually deposited – into palaeochannel systems by saline groundwater shedding.
Such palaeochannel systems are home to some of the world’s richest sandstone uranium deposits, with notable examples being Beverly, Four Mile, Junction Dam, Gould’s Dam and the Honeymoon project being revived by Boss Energy (ASX: BOE).
Previously exploration at the 591km2 Mundowdna South tenement also includes rock chips which returned uranium though limited drilling.
This is all happening as uranium continues to heat up with spot prices of the yellow metal rising rapidly over the past year to break through the US$100/lb mark.
ADD has now outlined an initial exploration program over its South Australian tenements that will begin in March 2024, following expiry of the 42-day statutory notification period.
This will include the collection of about 800 soil and rock chip samples, gamma survey and ground gravity readings along existing pastoral tracks to minimise impacts and operate under a low impact program for environment protection and rehabilitation (PEPR) for the initial phase of exploration.
Ground gravity readings will map small density differences between the palaeochannel sediments and the bedrock sequences that hosts the channels, providing correlating evidence to show where the channel edges are located if there is a noticeable change in the soil chemistry.
Meanwhile, gamma surveys will be conducted along all pastoral tracks covering the interpreted palaeochannel systems, which can then be correlated with the regional geophysical data.
Key contractors and field crews are now planning for site exploration activities.
This article was developed in collaboration with Adavale Resources, 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.