Sydney - Thursday - October 12: (RWE Australian Business News) - Nova Energy Ltd (ASX code: NEL) reports the first 49 holes of a 400-hole infill and extensional program at the Centipede-Lake Way uranium project, 10km south of Wiluna in WA, have been completed. Also, some 63 old holes, generally with missing historical assay data, have been radiometrically re-logged, providing 112 new drill intersections for the Centipede uranium resource. The previously reported inferred resource at Lake Way and Centipede is 15.5 million tonnes at 0.58kg/t U3O8 (1.27 lb/t) for 19.8 million contained lbs of U3O8. On completion of the drill program (expected November) the new data is expected to result in several refinements to the resource model. The increased resolution of the resource will provide a JORC compliant indicated resource to be used in a bankable feasibility study.
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Holes drilled to the east of the northern part of the resource intersected high-grade mineralisation, including 0.59m at 1.14 kg/t (2.52lb/t) eU3O8. These results indicate that sub-horizontal sheets of shallow uranium mineralisation extends further east than previously interpreted. Infill drilling and gamma probe logging within the boundaries of the existing inferred resource has confirmed, and in some cases improved, the grade, thickness and continuity of uranium mineralisation. Results that are substantially better than predicted by the resource model include 3.52 m at 1.11 kg/t (2.44lb/t) eU3O8 and 3.66m at 0.82 kg/t (1.81lb/t) eU3O8. The resource validation assays confirmed that historical down-hole data used in the existing resource model is reliable. Among the results is 4.12m at 1.2 kg/t (2.65lb/t) eU3O8.
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