Nova JV Update - Drilling Resumes on Barking Gecko
Perth, Nov 13, 2020 AEST (ABN Newswire) - Deep Yellow Limited (
ASX:DYL) (JMI:FRA) (DYLLF:OTCMKTS) is pleased to announce the commencement of drilling at the Barking Gecko prospect on EPL3669 (see Figure 1*).
As indicated previously (ASX Announcement 9 July 2020), breakthrough results were achieved at Barking Gecko which has justified continuation of activities on this anomalous uranium target, with all parties involved in the Nova Joint Venture (NJV) agreeing to proceed with further investigations.
In September 2020, Japan Oil, Gas and Metals National Corporation (JOGMEC) achieved its 39.5% earn-in interest of the NJV, having spent A$4.5M over the past four years.
The equity position of the parties in the NJV is now as follows:
Reptile Mineral Resources & Exploration (Pty) Ltd
Subsidiary of Deep Yellow Limited
39.5% (and Manager)
Japan Oil, Gas and Metals National Corporation (JOGMEC)
39.5% (right to equity)
Nova Energy (Africa) Pty Ltd
Subsidiary of Toro Energy Ltd
15%
Sixzone Investments (Pty) Ltd
Namibia
6% (carried interest)
Post completion of the JOGMEC earn-in, all parties in the NJV have agreed to a six-month budget of A$570,000 to 31 March 2021 to fund the next drilling campaign at Barking Gecko, which will initially focus on targeted follow-up drilling where thick intersections of uranium were intersected, analogous to that occurring in the Rossing and Husab uranium deposits.
This drilling program will involve a 13-hole RC program totalling 3,200m, initially to test in the vicinity of the positive holes that were drilled in the previous program and establish a better understanding of the 4km by 1km prospective zone that has been delineated. Importantly downhole logging to obtain optical imagery will be carried out to better determine the structural orientation of the zones of mineralisation, in addition to the routine gamma downhole logging that will be undertaken. This program may also involve drilling of some diamond core tails to enable closer examination of the mineralised zones.
The first phase of drilling is planned to commence on 13 November 2020, with completion expected by mid-December 2020. On analysis of these drilling results, the second phase of the drill program is anticipated to start mid/late January 2021.
*To view tables and figures, please visit:
https://abnnewswire.net/lnk/5Z926HVA
About Deep Yellow Limited
Deep Yellow Limited (ASX:DYL) (OTCMKTS:DYLLF) is successfully progressing a dual-pillar growth strategy to establish a globally diversified, Tier-1 uranium company to produce 10+Mlb p.a.
The Company's portfolio contains the largest uranium resource base of any ASX-listed company and its projects provide geographic and development diversity. Deep Yellow is the only ASX company with two advanced projects - flagship Tumas, Namibia (Final Investment Decision expected in 1H/CY24) and MRP, Western Australia (advancing through revised DFS), both located in Tier-1 uranium jurisdictions.
Deep Yellow is well-positioned for further growth through development of its highly prospective exploration portfolio - ARP, Northern Territory and Omahola, Namibia with ongoing M&A focused on high-quality assets should opportunities arise that best fit the Company's strategy.
Led by a best-in-class team, who are proven uranium mine builders and operators, the Company is advancing its growth strategy at a time when the need for nuclear energy is becoming the only viable option in the mid-to-long term to provide baseload power supply and achieve zero emission targets.
Importantly, Deep Yellow is on track to becoming a reliable and long-term uranium producer, able to provide production optionality, security of supply and geographic diversity.
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