Norfolk Metals kicks off next phase of Orroroo uranium hunt

Following a lengthy program of landowner negotiations, Norfolk Metals (ASX: NFL) has successfully commenced a new gravity survey at its Orroroo uranium project in South Australia.

The new survey in the Walloway Basin follows Norfolk’s successful initial discovery of uranium potential at the project in February this year.

That downhole geophysical survey of wells in the area noted uranium occurrences in three target zones in a Basin that has had no previous uranium exploration activity.

Spectral gamma and prompt fission neutron (PFN) well logs from the downhole survgey recorded uranium peaks of up to 650ppm within an interval of 192ppm.

For the current exploration work, the company has contracted Atlas Geophysics to undertake the gravity survey which is based on a 250m by 250m offset grid with up to 2,253 planned survey points to be assessed.

Perth-based Atlas Geophysics is well known as a gravity survey specialist and provides services in acquisition, processing and interpretation of potential field datasets.

The information from the current survey will be utilised, along with data from the downhole geophysical survey, to define further exploration planning, including potential hole locations for an upcoming maiden drill program.

Landowner negotiations

Norfolk received notice from the Department of Energy and Mining in South Australia in August 2022 that its exploration licence application ELA 2022/00016 was successfully converted into a new exploration license EL6814.

The permit is comprised of two separate parcels to the North and South of the company’s previously acquired licence EL6552.

Norfolk contacted 24 private landowners in negotiations leading up to the commencement of the latest survey. Of these, 19 elected to work with the company with regard to obtaining land access.

With five landowners not agreeing to participate, Norfolk decided to refine its survey plan with a number of planned survey data points not be completed.

Executive chairman, Ben Phillips, said company representative will return to the area next month for further discussions.

The completed gravity survey results are on target to completed at around the same time.

ESG studies

The commencement of the Orroroo gravity survey comes just one day after Norfolk released the results of its inaugural Environmental, Social & Governance (ESG) report.

Mr Phillips said Norfolk made a commitment to ESG reporting prior to listing on the ASX in March 2022

During 2022, the company highlighted five ESG commitments with a focus on keeping landowners up-to-date on its activities.

The Executive Chairman noted that Norfolk has a proven record as an efficient and responsible operator at its Roger River Project in Tasmania

“The exploration of the Orroroo Project has been planned in a methodical manner to consider all local stakeholders while expediting a low cost programme to further verify the recent success when re-entering existing water wells within the region.”

Australian uranium

The Australian uranium and nuclear sectors are eagerly awaiting new legislation developments related to the energy metal.

While Australia is known to host the world’s largest recoverable resources of uranium — 1.24 million tonnes as of 2020 — nuclear power is banned in Australia, and the country uses no part of this material for its energy needs.

Instead, it sells this valuable commodity, with uranium accounting for one-quarter of the nation’s energy exports.

According to Australia’s office of the chief economist, after a lengthy period weakness, global uranium prices rose sharply in early 2022 and stabilised at around US$50 a pound subsequently.

Forecasts are that prices are in line to continue to climb steadily, and potentially rapidly, over the next few years.