Mining

Deep Yellow builds more uranium potential in Namibia with drilling underway at Omahola

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By Lorna Nicholas - 
Deep Yellow ASX DYL Tumas 3 uranium resources rise

Deep Yellow has increased the Tumas 3 resource to 31.2 million pounds of contained uranium.

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Just days after unveiling an increase to uranium reserves at Tumas, Deep Yellow (ASX: DYL) has noted resource upgrade potential at the Omahola project.

Deep Yellow remains focused on bringing its Tumas uranium project in Namibia online with a definitive feasibility study underway.

However, the company also plans to build value by unlocking the potential of its other projects in Namibia.

Between 2009-2013 exploration was undertaken at Omahola and resulted in a resource of 45 million pounds at 420 parts per million uranium.

Mineralisation within the resource occurs from a depth of 20m to 250m.

During previous exploration Deep Yellow identified “significant uranium mineralisation” with similarities to the famed Rossing and Husab mines, which are also in Namibia and host in excess of 800Mlb of uranium.

Rossing alone has produced more than 200Mlb of uranium.

Potential at Omahola

According to Deep Yellow, Omahola is within the same Alaskite Alley corridor which hosts Rossing, Husab and other deposits Etango and Valencia.

Deposits within the project that make up the 45Mlb Omahola resource comprise Ongolo, MS7 and Inca.

A review of historic data from the project has identified “strong potential” for new discoveries.

To gauge the project’s potential further, Deep Yellow has begun a 200 hole drilling program for 7,100m.

It is anticipated the program will be completed by early December.

Concurrently with the drilling program, Deep Yellow is also reviewing and digitising existing geological mapping with targeted field verification.

The company is also photographing selected core holes and will carry out resource re-estimation work to upgrade the historic estimate to JORC compliance.

Tumas uranium project

Today’s news on Omahola follows a 121% increase to ore reserves at Tumas earlier this week.

The new reserve estimate for the flagship project totals 89.8Mt at 345ppm uranium for 68.4Mlb of uranium.

This reserve update marked a key milestone in the definitive feasibility study that’s underway, with the upgrade aiming to ensure a life of mine at the project that exceeds 20 years.