Deep Yellow increases uranium resources in Namibia
Deep Yellow appears to be on track to extend the operating life of its proposed Tumas uranium mine in Namibia to 20 years, with half of the holes drilled on the major Tumas 3 East deposit in support of ” a new resource calculation and a final feasibility study for leveling mineralization above 100 ppm U3O8 equivalent.
A resource update for Tumas 3 is slated for later this month and phase two of infill drilling has already started.
Upon completion of phase two of drilling at Tumas 3, Deep Yellow plans to release a new mineral resource estimate to be included in the recently launched Tumas DFS.
Phase one drilling completed at the end of April drilled 445 holes totaling nearly 7,000 meters aimed at converting Tumas 3 inferred resources to indicated resources.
The best interceptions in a suite of stellar results include 7 meters for 997 ppm U3O8 equivalent from just 4 meters deep, 9 m to 481 ppm U3O8 equivalent from 4 m and 6 m to 688 ppm U3O8 equivalent from 17 m.
Levels of up to 1,205 ppm U3O8 equivalent have been reported, with an average intercept thickness of 2.2 m.
Existing resources at Tumas 3 total 82.7 million tonnes at 273 ppm U3O8, with 39.6 million tonnes at 245 ppm U3O8 falling in the inferred category. An additional 43.1 million tonnes at 299 ppm U3O8 are classified as indicated.
The Tumas 1, Tumas 2 and Tumas 3 deposits combine for a total of 190.8 million tonnes at 247 ppm indicated and inferred U3O8, which equates to an impressive 103.8 million pounds of yellow cake.
Tumas 3 occurs as a discrete mineralized deposit in the project’s larger paleochannel containing uranium.
Deep Yellow has discovered several deposits along 55 km of the 125 km Paleochannel, with only 60% of the channel tested to date.
Management states that the results of completed drilling indicate that a high rate of conversion of inferred resources to indicated resources is being maintained, with 48% of new holes reaching greater than 100 ppm U3O8 equivalent over intervals greater than 1 m. A quarter of the holes would have intercepted uranium mineralization greater than 200 ppm U3O8 equivalent, also over intervals greater than 1 m.
The company sees the potential to expand the resource base in selected areas around Tumas 3, with the latest results confirming grade continuity across the deposit.
The Deep Yellow DFS drilling includes 700 to 800 holes over 16,000 meters at Tumas 3 and Tumas 1. It aims to extend the mine’s 11.5 year expected life in the Tumas pre-feasibility study to over 20 years in the DFS.
Namibia is a renowned uranium mining jurisdiction, accounting for around 6 percent of world production. It has produced approximately 320 million pounds of U3O8 since the 1970s. Deep Yellow and its experienced management team are positioning Tumas to lead a new generation of projects in the country where the company is poised to capitalize on the next use of U3O8. uranium which already seems to be in its infancy.
Is your ASX listed company doing something interesting? Contact: [email protected]