Elevate brings in more drill rigs to accelerate Namibian uranium plans
Elevate Uranium (ASX: EL8) has put its foot on the pedal with the commencement of an aggressive 2024 drilling program across its Namibian uranium exploration portfolio.
The company has a major focus on significantly growing its Koppies uranium project, which currently hosts a combined 94 million pounds of uranium as part of global resources of 142.4Mlb.
To help accelerate its growth strategy, the company currently has three reverse circulation (RC) drill rigs operating on the Koppies project with a focus on increasing the project’s resource confidence level from an inferred to an indicated category to underpin the commencement of technical studies.
The results from the accelerated drilling activities will help Elevate with its plans to release an upgraded resource estimate by the end of the first quarter of 2024.
The new drilling program will initially target mineralised zones south of the existing resource envelope.
The company also plans to collect samples from Koppies to be assessed in Perth for a detailed metallurgical test work program utilising the company’s proprietary U-pgrade beneficiation process.
Pilot plant studies
Elevate managing director Murray Hill said the metallurgical test work data will be used for technical studies and design of a pilot plant.
“This is indeed a very exciting time for the company; we have always known of the huge potential for exploration success in Namibia and how U-pgrade could be used to add value,” Mr Hill said.
“Completion of the current resource growth stage for Koppies, expected by the end of the March Quarter, will trigger a new era for the company.”
“The focus will change to advancing the Koppies uranium project through infill drilling and metallurgical test work that will underpin technical studies and a future pilot plant.”
“And all this is happening with the [uranium] price shooting through US$100/lb, its highest level for 15 years.”
Additional regional rigs
Mr Hill said two additional RC rigs will be used to execute a high-impact regional drill program with the aim of identifying new discoveries and resource definition expansion within the company’s large land portfolio in Namibia.
Elevate is entering this significant period in a strong financial position with a cash balance of around $15.8m.
In early December, the company received binding commitments for a single-tranche placement of shares to raise $10m with the majority of the funds to be used on its growth plans.