Stellar Resources' joint venture partner UraniumSA (USA) has advised that it has begun drilling sedimentary uranium targets on Stellar’s EL 4242 in the Pirie Basin of South Australia.
Under the joint venture, USA is required to complete an airborne electromagnetic survey and drill 15 holes to basement as defined in an agreed work program.
The current drilling program should complete this requirement. USA can then earn a 73% interest in specified areas within EL 4242 by identifying a JORC compliant resource.
EL 4242 lies immediately south of three sedimentary uranium discoveries (Blackbush, Samphire and Plumbush) announced by USA on its Mullaquana EL. In particular, the sediments hosting the Plumbush discovery are interpreted by USA to trend south into EL 4242.
Regional drilling has commenced on the eastern end of the middle traverse of three planned lines. This traverse lies approximately 2km south of Plumbush. Initial holes will provide information on the sedimentary sequence and basin architecture.
However, as drilling moves west along the traverse over the next two weeks it should also test the interpreted extension of the Plumbush host sequence, the company said.
The northern traverse lies 900mt south of the intersection reported for Plumbush in hole MRM 098. This area is expected to be drill tested in coming weeks.