Vimy Resources upgrades Ambassador Resource at Mulga Rock uranium project
THE DRILL SERGEANT: Vimy Resources (ASX: VMY) has announced an updated estimate for the Ambassador Resource, part of the company’s Mulga Rock uranium project (MRUP) near Kalgoorlie in Western Australia.
The estimate has been based on an extensive in-fill drill program the company completed and announced earlier this year.
According to Vimy the Ambassador resource currently makes up more than half of the total resource for the MRUP.
The company indicated the increased resource base means it can now enter the development phase of the project with greater confidence.
The key highlights to emerge from the updated estimate are:
Ambassador’s average uranium resource grade has increased by 30 per cent from 469ppm uranium 610ppm uranium;
A 33 per cent increase in Ambassador resource with the deposit’s mineral resource estimate increasing to 28.1 million tonnes at 610ppm uranium for a contained 37.5 million pounds of uranium, representing a 33 per cent increase in the contained metal of the previous resource estimate;
Approximately 58 per cent of the Ambassador resource is now in the Indicated Resource category, totalling 13 million tonnes at 750ppm uranium for 21.6 million pounds uranium; and
As a result the Mulga Rock total Mineral Resource Estimate has now increased by 12 per cent to 59.7 million tonnes at 550ppm uranium for a contained 72.7 million pounds uranium.
“Once again the Vimy team has delivered an outstanding result at the MRUP,” Vimy Resources managing director Mike Young said in the company’s announcement to the Australian Securities Exchange.
“The results have enhanced our geological understanding of the deposits and the controls on mineralisation that will be put to good use in future drilling programs.
“The increased grade, contained metal, and upgrade of almost 60 per cent of Ambassador to Indicated status may have a significant positive impact on the project’s economics which are currently the subject of an ongoing study.
“When these results are coupled with the recently announced advances in the metallurgical test work, then the true potential of the MRUP starts to become clear.”
The MRUP is 100 per cent-owned and operated by Vimy and is located on two granted Mining Leases (ML39/1080 and ML39/1081).
Vimy holds title to approximately 757 square kilometres of exploration ground across the MRUP.
The Mulga Rock East deposit comprises the Princess and Ambassador Resources, which Vimy anticipates will form the first stage of potential mine development for the MRUP.
Website: www.vimyresources.com.au