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INITIAL DRILLING RESULTS CONFIRM URANIUM POTENTIAL OF
ERONGO GRANITES PROJECT
HIGHLIGHTS
• Drilling results from first six holes at Area 1 Prospect, Erongo Granites Project have
confirmed:
o the presence of near surface uranium mineralization.
o the potential for the project to host large tonnage, low grade uranium
resources amenable to open pit mining.
• Significant results from the first six holes include:
o 18m at 283 ppm U3O8 (including 5m at 550 ppm U3O8), from 2m to 20m.
o 12m at 270 ppm U3O8 (including 6m at 463 ppm U3O8), from 18m to 30m.
o 13m at 214 ppm U3O8 (including 7m at 292 ppm U3O8), from 26m to 39m.
• Mineralization interpreted to be in multiple zones, including additional zones below
mineralization identified by previous drilling.
• Drilling currently in progress to test extensions to area of known mineralization under
shallow cover. A recent ground scintillometer survey has extended radiometric anomaly
at Area 1 over an area of 1.8km by 1km.
• Drill testing of Area 3 Prospect, covering an anomalous target area of 5km by 2km and
underlain by intensely jointed layered granites similar to those in Area 1 will commence
after Area 1 drilling completed.
Erongo Granites Project (ERN 90%)
The Company is pleased to announce results from the first six RC drill holes at its Erongo
Granites Project. The project is located in the Damara Orogenic Belt north of the Erongo
Complex in mid central Namibia, approximately 250km northwest of Windhoek, the capital city
of Namibia. No systematic exploration for Uranium has been carried out in the area since the
1970s and early 1980s when Goldfields and Falconbridge conducted geophysical, sampling,
mapping and drilling programmes.
MAWRCT020, 022, 024, 030, 032 and 056 were drilled near selected holes completed by
Goldfields in the early 1980’s with the objective of confirming the presence of near surface
uranium mineralization. All holes were vertical and drilled to a maximum depth of 73m. Results
are shown in Table 1.
Table 1: Significant Uranium intersections from Area 1 Prospect, EPL 3454. No top cut
was applied. A bottom cut of 100ppm U3O8 was used.
Hole_ID Easting
(mE)
Northing
(mN)
Dip Magnetic
Azimuth
From
(m)
To
(m)
Approx.
True
width
U3O8
(ppm)
MAWRCT020 554700 7614401 -90 None 29 42 13 140
MAWRCT022 554545 7614747 -90 None 18 30 12 270
incl 18 24 6 462
MAWRCT024 554900 7614401 -90 None 26 39 13 214
incl 26 33 7 292
MAWRCT030 554901 7615001 -90 None 2 20 18 283
incl 11 16 5 550
MAWRCT032 554900 7615200 -90 None 3 4 1 384
MAWRCT056 554472 7614950 -90 None 24 32 8 161
51 63 12 158
68 73 5 200
All samples were prepared for assay and analysed at the ALS Chemex Laboratory in Johannesburg,
South Africa. Industry accepted QA/QC checks were applied through out the programme including use of
duplicates, standards and blanks.
These highly significant drill results confirm the near surface mineralization reported by
Goldfields, which occurs as one and in some instances multiple layers from near surface. Three
mineralised zones were intersected in hole MAWRCT056, including mineralization from 51 –
73m, which is below the level of drilling completed by Goldfields, confirming the potential for
additional zones of uranium mineralization in the area. Higher grade mineralised zones in five of
the six drill holes had a good correlation with those reported by Goldfields. The results confirm
the potential for the project to host large tonnage, low grade uranium resources amenable to open
pit mining.
The Company has recently completed a ground scintillometer survey over Area 1. The survey
confirmed that the same radiometric anomaly underlying the area drilled by Goldfields extends
3
over an area of 1.8km by 1km and remains open to the west, east and north and potentially to
there south where there is thicker sand cover.
Field observations and scintillometer measurements have also confirmed that elevated uranium
values are localised in both vertical joints and flat lying granitic layers exposed to the west and
east of the area currently being drilled in Area 1 and planned to be drilled to the west of Area 3.
Joint zones are prevalent throughout these granites and are orientated in an east-north-easterly
direction. These joint zones could potentially have served as conduits for uranium bearing fluids
causing secondary enrichment of uranium, and will be targeted in the current drill programme.
Future Work
The Company plans to complete an initial 5,000m programme at the Area 1 prospect to test the
1.8km by 1km anomaly for further significant uranium mineralization. Angled holes will target
both the vertical joint planes and sub-horizontal mineralised granitic layers. All samples will be
submitted to ALS Chemex in Johannesburg, South Africa, for assay.
The rig will then be moved to test the 5km by 2km anomaly at Area 3. The same jointed
structures with elevated uranium values observed in Area 1 dominate exposures in Area 3. The
anomaly was defined by radiometric and Radon gas surveys completed by Goldfields and the
Company and is coincident with the Erongo/Salem Granite contact
The ongoing scintillometer survey will be completed over additional target areas identified
previously by Goldfields and from interpretation of airborne geophysics. All confirmed
anomalies will be followed up with drilling.