The S&P/ASX 200 materials index opened 0.65% higher today, outperforming the ASX 200.
Uranium is up 1.95%, continuing a strong bullish run. Russia supply concerns and government support for increased nuclear power have continued to drive the price gain.
92 Energy (ASX: 92E) is up 10.29% at the open, and 163.16% for the last year. According to the company, 92 Energy has “direct exposure to the highest grade uranium district globally,” thanks to exploration projects in the Athabasca Basin, Canada. The company has 5 uranium projects in the region: Gemini, Tower, Clover, Powerline, and Cypress River. The Gemini project is located 27km southeast of the McArthur River uranium mine, which the company has described as the world’s largest high-grade uranium deposit.
Upcoming catalyst: a further drill testing program will commence at Gemini in June.
A-Cap Energy (ASX: ACB) is up 12.5% at the open, and 104.53% for the last year. The company describes its Letlhakane uranium project–located in Botswana–as “one of the world’s largest (global top 10) undeveloped Uranium Deposits.” Interestingly, the company is part of one of the world’s biggest uranium ETFs, the Global X Uranium ETF, despite the company’s modest $166m market cap.
“Our sampling program and mapping is continuing to generate encouraging results,” says managing director Qingtao Zeng.
“The high lithium content indicates that the pegmatites in our area have fractionated enough to concentrate up lithium and related elements and there could be several parallel lithium-bearing pegmatite dykes in shallow depth waiting for us to drill.”
Next catalysts: moving forward, additional mapping, rock chip sampling, and soil geochemistry studies are will be conducted to locate drill targets.
Red Dirt Metals (ASX: RDT) has opened 4.58% higher after discovering new pegmatites at the Mt Idea lithium and gold project.
Managing director Matthew Boyes commented:
“New discoveries on the eastern limb have opened up a new zone for potential new resources to add to what we have already discovered on the western limb.”
Next catalysts: in the next quarter, the company plans to conduct its first round of sighter metallurgical testwork, along with a tenure-wide geochemical soil sampling program. A third round of drilling assays are expected, in addition to the start of the company’s first maiden resource estimation.
“[It] will be our busiest quarter of activity to date,” says Boyes.
Golden Rim Resources (ASX: GMR) has opened 4.41% higher after commencing drilling at the Kada gold project in Guinea.
The 60-hole campaign will target shallow oxide gold mineralisation along a 15km-long corridor–an area that lies outside the company’s 1km-long maiden mineral resource zone, which has 930,000oz at 1.1g/t gold.
According to Undervalued Equity, grades lower than 1.5g/t are considered low grades.
Managing director Craig Mackay said:
“After the success of our resource definition drilling and our milestone maiden 930,000oz Mineral Resource at Kada, we are excited to commence exploration drilling with the objective of expanding the gold inventory along the Kada Gold Corridor, focussing on shallow oxide mineralisation.”
Next catalyst: results of the drilling are expected in late April.
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