Lotus Resources' Infill Drilling Confirms High-Grade Uranium at Letlhakane
LOT (LOT) Share Update July 2024 Wednesday 24th
Lotus Resources Reports Promising Infill Drilling Results at Letlhakane Uranium Project
Lotus Resources Limited (ASX: LOT, OTCQX: LTSRF) has announced promising results from its ongoing infill drilling program at the Letlhakane Uranium Project in Botswana. These results highlight the continuity and grade of the uranium resources, reinforcing the project's potential.
Instant Summary:
- 24 new drill holes completed, with 79 out of 180 planned holes finished.
- High-grade intersections include 1.9m at 1,831ppm eU3O8 and 1.3m at 1,529ppm eU3O8.
- All but three infill drill holes intersected mineralization, confirming grade continuity.
- Program on track for completion by September 2024, with an updated Mineral Resource Estimate (MRE) to follow.
- A scoping level study for Letlhakane is due in Q3 2024.
Drilling Program Overview
Lotus Resources Limited is pleased to report the results from 24 additional drill holes at its Letlhakane Uranium Project. So far, 79 holes of the planned 180-hole program have been completed. The infill drilling program aims to upgrade the classification of Letlhakane's resources, with a focus on confirming grade continuity and enhancing confidence in the resource estimates.
Recent intersections include:
- SERC428: 1.9m at 1,831ppm eU3O8 from 27.3m and 4.1m at 345ppm eU3O8 from 22.6m
- MOKR2613: 1.3m at 1,529ppm eU3O8 from 38.9m
- MOKR2610: 10.5m at 271ppm eU3O8 from 49.6m, including 2.3m at 559ppm eU3O8 from 51.4m
- SERC435: 4.1m at 496ppm eU3O8 from 19.3m
Project Progress and Future Plans
The infill drilling program is on track to be completed by September 2024. An updated Mineral Resource Estimate (MRE) will follow, incorporating the new data. Additionally, a scoping level study for Letlhakane is expected to be released in Q3 2024. This study will provide further insights into the economic viability of the project.
Lotus Resources is also advancing its Kayelekera Project in Malawi, working in parallel with the developments at Letlhakane. The company is focused on upgrading the resource classification from Inferred to Indicated and Measured status, particularly in the Gorgon West and Serule West areas.
Technical Details and Methodology
The drilling program primarily uses reverse circulation (RC) drilling, with holes drilled vertically to intersect the flat-lying uranium mineralization. The recent results from Serule West have confirmed the presence of high-grade pods within the resource shell, with some intersections showing grades significantly higher than the average resource grade.
A diamond drilling program is also set to commence shortly, with 25 holes planned to provide samples for chemical assay and metallurgical test work. This will further characterize the mineral horizons and support the ongoing development of the project.
The positive drilling results at Letlhakane are likely to boost investor confidence in Lotus Resources' ability to develop a high-grade uranium project. The confirmation of grade continuity and the upcoming scoping study could positively influence the company's stock price. However, investors should remain cautious until the updated MRE and scoping study are released, providing a clearer picture of the project's economic potential.
Investor Reaction:
Analysts and investors have reacted positively to the news, highlighting the high-grade intersections and the progress made in the drilling program. 'These results reinforce our confidence in the Letlhakane project and its potential to become a significant uranium producer,' commented one analyst. Investors are keenly awaiting the updated MRE and scoping study, which will provide further insights into the project's viability.
Conclusion:
Lotus Resources' recent drilling results at Letlhakane are a promising development for the company and its shareholders. Investors should keep an eye on the upcoming scoping study and updated MRE, which will provide crucial information on the project's future. As Lotus continues to advance its projects, staying informed on their progress will be key for making informed investment decisions.