the drum on dyl

TigerTen

I think the following is somewhere near the
drum on Deep Yellow.

DYL has acquired two projects.

Napperby as it stands at present is a low
grade sub-economic deposit at current uranium
price levels. It has an inferred resource of
about 5000 tonnes of contained uranium ie about
11,000,000 lbs, at a grade of about .034% (340 ppm),
within an area of about 8km x 1.5km, in thicknesses
ranging 1-3 metres at shallow depth.

It appears that what DYL hope to do is establish
a new higher grade resource at the New Well deposit
by infill drilling in the 'sand channels' where
they expect higher grades. If they can locate higher
grades sufficient to lift the overall grade to
somewhere between .08 to .1 % then if the tonnage
is there then yippee(IF...IF).

However, the 'sand channels' are not the primary
zones of interest.

DYL have indicated the primary untested target in the
project area is the palaeochannel system which may
contain a sandstone hosted deposit amenable to in-situ
leaching. Obviously if they can make significant
progress with progressively good drilling results
then the market cap will move north.

I can only assume that the possibilities discussed
above were the motivating factors for PDN acquiring
the project from Uranerz in the first place.

So, what does the future hold? Don't know! Mr Pratt
no doubt would have more idea than me. I wonder
how many shares he and Dr Joe have bought??????

Anyway, I'm having a punt. If they can produce some
reasonable drilling results I reckon I'll do alright.
If they can produce something spectacular, well I wouldn't be hanging about would I!

Forget about Mr Cowden and past performance. Both are now totally irrelavent.

What do you reckon Tiger?


Regards

raico