Adavale Resources Prepares for Uranium Drilling After Completing Heritage Survey
ADD (ADD) Share Update September 2024 Monday 30th
Adavale Resources Completes Heritage Survey for Uranium Drilling in South Australia
Adavale Resources Limited (ASX: ADD) has successfully completed a heritage survey at MacDonnell Creek, paving the way for an extensive uranium drilling program in South Australia.
Instant Summary:
- Heritage survey completed at MacDonnell Creek.
- Infill and extensional drilling to commence soon.
- 17 line kilometers surveyed over three priority areas.
- Stage one Aircore drill program to include up to 20 holes.
- Drilling contracts and on-site services being finalized.
Survey Completion and Drilling Plans
Adavale Resources Limited has announced the completion of a crucial heritage survey at MacDonnell Creek. This survey is a significant milestone that allows the company to proceed with its planned infill and extensional drilling program. The survey covered 17 line kilometers over three priority areas, enabling the stage one Aircore drill program to commence shortly.
The drilling program will focus on historical drill intercepts that have shown promising uranium potential. Historical data from the MacDonnell Creek and George Creek prospects highlighted uranium concentrations of 263ppm eU3O8 over 1.0m and 235ppm eU3O8 over 0.65m.
Program Details
The stage one drilling program will consist of up to 20 holes, each averaging a depth of 100 meters. The primary goal is to trace, extend, and test the uranium redox boundaries previously identified. On-site testing will be conducted using portable X-ray fluorescence (pXRF) and wireline logging to identify samples for further laboratory analysis.
Marree Embayment Project
Adavale's 100% owned tenure in the Marree Embayment positions it as one of the largest public-listed license holders in the region. The company has also applied for a large uranium project area east of Ceduna, covering 2,446 square kilometers, bringing its total holdings to approximately 6,100 square kilometers.
The MacDonnell Creek and George Creek prospects are located near the uranium-rich Mount Babbage and Mount Painter Inliers of the northern Flinders Ranges. Previous exploration by Cauldron Energy Limited (ASX: CXU) from 2008 to 2011 intersected significant uranium mineralization in these areas.
Next Steps
Adavale is finalizing contracts for drilling and downhole logging services. The company plans to conduct field exploration to test for near-surface uranium mineralization and finalize plans for a first-pass drill program at the Depocentre prospect in Mundowdna.
The completion of the heritage survey is a positive development for Adavale Resources, as it allows the company to proceed with its drilling plans. This could potentially lead to significant uranium discoveries, positively impacting the company's stock price. However, the success of the drilling program will be crucial in determining the long-term impact on the company's valuation.
Investor Reaction:
Analysts are likely to view this development positively, given the potential for significant uranium discoveries. The successful completion of the heritage survey and the commencement of drilling could boost investor confidence in Adavale's exploration capabilities.
Conclusion:
Investors should keep an eye on the progress of Adavale's drilling program at MacDonnell Creek. The company's ability to identify and develop significant uranium resources will be key to its future success. Stay informed on Adavale's developments and consider the potential long-term benefits of their exploration activities.