Projects Overview
Namibia
Namibia Project
Namibia is a politically stable country with excellent infrastructure and an established diverse mining industry involving uranium, diamonds, gold and base metals.
The Namibian Government actively encourages growth of its mining industry, which is a solid contributor to the country’s economy. Operating mines include the Rossing Uranium mine, located 40km north-west of the Project, Paladin's "Langer Heinrich" and Areva's "Trekkopje".
EPL 3664 - Hoasib Project
The Hoasib Project (EPL3664) is located 80km east of Walvis Bay and the coastal town of Swakopmund in Namibia. It is within the Namib Park Nature Reserve, and had been explored previously in the 1974 to 1983 period. The Project is under agreement with a Namibian owned company Green Mineral Resources Pty Ltd, with ownership split between the Bastos Foundation (30%) and Africa Uranium Ltd (70%). The Project lies to the immediate south and east of the Langer Heinrich Uranium Projects, held by Paladin (ASX code PDN).
Early work carried out in relation to the Hoasib Lease (EPL 3664) in Namibia had shown visible traces of Carnotite as shown below. The proximity to other uranium mines such as Langer Heinrich (Paladin, within 20km) and current exploration projects run by Bannerman and Deep Yellow (that sit in adjoining EPL's) made this a very exciting project. EPL 3664 had the unique quality of exceptionally large drainage channels running through the southern portion of the lease (uranium will in the right environment travel through ground water), which has pooled in large basin type structures. The commonly held geological assessment of those who had evaluated the site was that it could contain both primary and secondary uranium deposits located in the surrounding granites and calcretes.
Commencing in March of 2009, a first phase RC drilling program was engaged to test the geological model of our geologists and a number of external geological consultants. The main aim was to identify the existence of a main basin and whether uranium in grades higher than 50 ppm (parts per million) were present. Initial drilling within the first 500 metres demonstrated the existence of both, confirmed by hard assayed samples reflecting well over 100 ppm of uranium minerialisation. A further 2000 metres was drilled in early July, uncovering what is believed to be a large uranium ore body within a calcrete host.
The ore body discovered through the 1000m x 500m exploratory drilling program is viewed as a secondary deposit. In November 2009, a further 25m x 25m grid pattern was drilled to test the ability of in fill drilling by an Air cooled drilling platform. Average drill depth was only 12m, however the most exciting news was that drilling ppm numbers exceeded the first round exploratory drilling results. Future exploratory drilling in the surrounding granite / schist hills is anticipated to uncover the primary source. A detailed drilling program has been designed to progress definition of this resource complex.
Visible Carnotite
Ground investigation to the south of the Project has identified carnotite (potassium uranium vanadate mineral) close to the surface. The area covered suggests that the paleochannels identified are extensive.
Current Tenement Information
AUL is excited to announce the renewal of the mineral exploration licence for EPL 3664, this was received from the Namibian Department of Mines in late March. All company attention is currently focused on the possible sale of the tenement to ASX listed entity OKLO, a decision is likely to be made at the end of May and all shareholders will be notified accordingly.
South Africa
Southern Karoo Projects
The uranium applications in South Africa consist of over 50 farms with known uranium occurrences and historical resources. The Board believes that further investigation of these areas is warranted. A desktop study and review of historical work on some of these areas indicate that the Southern Karoo Basin contains highly prospective target areas.
Prospecting for sandstone-hosted uranium was carried out in the Main Karoo Basin by major companies for a period of 17 years. A total of 43 million and was spent on exploration and development studies and a total of 1.6 million metres were drilled. However, at the end of the period, over supply and depressed market conditions stopped exploration in early 1985.
Africa Uranium has undertaken initial exploration of its 4 uranium tenements within the Karoo basin (Wigerbosch Kloof, Riet Valley, Kopjes Kraal and Leeuwe Kloof) and its 5th option tenement (Jonkers Leegte), with a comprehensive desk top study due to be completed in June 2010. Initial exploratory drill holes and +3000 metres of downhole logging completed in March 2010, has shown minerialisation at grades exceeding 1200 eppm.
Based on developments with AUL's desk top study, the company plans to conduct another 5000 metres of exploratory drilling in the last quarter of 2010.
