Because when the AGS/Qasar Uranium drilling programme at Arkaroola was first concepted, it was agreed to initially target the outer targets in the tenements, and to work on in to the closer target areas, nearest to the existing Beverley mine.
The outer targets were always going to be 'less likely/more spec', but totally necessary with the view to analysing and compiling a potential and total 'JORC' compliant reserve estimate on completion.
Therefore the successes thus far, especially from the first five holes drilled, should be considered a huge bonus to the potential scope and value of the project. The early grades were exceptional, and the fact that the most recent drilling results/grades were not as highly rated, or comparable, probably tells AGS/Qasar more than what it doesn't tell, as far as defining the resource in the big picture etc.
It should be noted that the initial 'U' grades for
the Heathgate/Beverley mine (next door) were as a base average 0.18% grade. AGS first five holes success proved up far superior and better grades on the whole hence the strong market reaction.
Fully expect to see even bigger hits, and even better grades as the drilling progresses closer to the existing mine. The AGS board is excited, Giralia next door is excited, Qasar /Heathgate is excited, and if you hold AGS stock, I reckon you should be very excited as well, as the news and the SP should just get better and better from here on in. Theres lots more holes to be drilled (17 out of 40 thus far), so its all go at AGS!
wrxsti
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