Deep Yellow Limited (ASX: DYL) is an energy company which specialises in the exploration of uranium. It is focusing on increasing existing uranium resources across the company’s portfolio of projects in Namibia. The company has also acquired contiguous Exclusive Prospecting Licences (EPLs) which covers 1,730km2 recognised prospective uranium province of high significance.
On 23rd April 2019, the company announced its drilling results of Tumas 1 East palaeochannel area, where new continuous mineralisation has been found along Tributary 5. The outcomes also outlined constant uranium mineralisation on EPL3496 tenement, beneath the Tumas Central region, towards the western direction of Tumas 3 area.
This was the last phase of drilling for the 2018-2019 which commenced in February, including the drilling of 47 RC holes in the Tumas Central area, for a total of 1,313m under the semi-regional exploration drilling programme. Exploration and drilling works were carried out later in the eastern direction of Tumas 1 zone, which consisted of 211 RC holes for 1,951m which was concluded by 15 April this year.
Tumas East Drilling
On 4th March 2019, the exploration and resources drilling work commenced at Tributary 4, 5 and 6, lying towards the northern direction of the newly defined Inferred Resource at the eastern direction of Tumas 1 zone. The uranium mineralisation >100ppm eU3O8 was found in the Tributary 5 resource drilling area, with an average grade of 232ppm eU3O8. At >200ppm/m cut-off which is lower than the average grade of 361ppm eU3O8. The mineralisation is located at shallow depth and uranium mineralisation as found in 56 out of 119 drilled holes.
Semi-Regional Exploration Drilling - Tumas Central Area
The semi-Regional Exploration Drilling program began in Tumas Central area, during the late 2018 period. However, the work on it had to be postponed because of the break during the Christmas season. After the resumption of drilling work, a further 47 holes for 1,313m were completed in February 2019 at Tumas Central. This zone is 1 out of the 7 semi-regional exploration targets, which were recognised initially during 2018 period, but because of the issues pertaining to access, this priority region could not be tested earlier. The drilling identified 1.6km of continuous uranium mineralisation in a total of 21 holes out of 47, with mineralisation of greater than 100ppm eU3O8 over 1m.
Additional uranium mineralisation has been identified (most of which is continuous) from the ongoing exploration work. The drilling work carried on during 2018-2019 period is now complete and has substantially extended the prior limits of mineralisation at Tumas 1. The results have shown that testing for mineralisation in tributary channels is, as important as, drilling the main channel targets for overall base development associated with palaeochannels.
The fourth drilling program had been concluded, and it has produced successful results in confirming the expansion of previously discovered deposits. Also, the company has an intention to begin drilling work again during the period of the second half of this year. The drilling work would comprise of infill resource drilling work, which is needed for resource estimations for the area like Tumas 1 East.
On March 27th 2019, the company announced an expansion in Uranium Resources from Tumas 1, 2 and 3 deposits.
The market capitalisation of the company is A$80.52 million. The 52-week high and low of the stock is A$0.58 and A$0.245 respectively. The stock price has increased by 5% and settled at an intraday high of A$0.420 as on 23rd April 2019. In the last six months, the stock has delivered a negative return of 21.5%, and YTD also stands at -21.5%.
This website is a service of Kalkine Media Pty. Ltd. A.C.N. 629 651 672. The website has been prepared for informational purposes only and is not intended to be used as a complete source of information on any particular company. Kalkine Media does not in any way endorse or recommend individuals, products or services that may be discussed on this site. Our publications are NOT a solicitation or recommendation to buy, sell or hold. We are neither licensed nor qualified to provide investment advice.
There is no investor left unperturbed with the ongoing trade conflicts between US-China and the devastating bushfire in Australia.
Are you wondering if the year 2020 might not have taken the right start? Dividend stocks could be the answer to that question.
As interest rates in Australia are already at record low levels, find out which dividend stocks are viewed as the most attractive investment opportunity in the current scenario in our report.