Shares in West Perth-based uranium exploration company Epsilon Energy Ltd rose 3.75 per cent at 1pm WDST on news the company had been granted an exploration license at its Eucla Basin Balladonia uranium project.
The full text of a company announcement is pasted below
TENEMENTS GRANTED AT BALLADONIA URANIUM PROJECT
Uranium exploration and development company, Epsilon Energy Ltd is pleased to announce grant of exploration license E63/944 at its Balladonia Uranium Project in the Eucla Basin, Western Australia.
Epsilon Energy Managing Director Matt Gauci said that with ten of the forty tenements now granted at the Balladonia project, robust uranium exploration program could now be implemented.
"A drill program will commence early next year, following-up on previous exploration work where gamma logging returned peak responses of between 200 and 1000 counts per second down most holes.
Results will be reported as they become available" Mr Gauci said.
Drill rigs are confirmed to commence the Company's maiden drilling programs at the Mt Phillips and Balladonia uranium projects - Epsilon's two lead projects - early in the new-year.
Epsilon is seeking large scale sandstone-hosted uranium deposits within the Balladonia Uranium Project, which covers a project area of 6,563 sqkm. Previous explorers in the project area during the early 1980's, partly delineated lignite resources while reporting encouraging uranium exploration results. Gamma logging returned peak responses on the upper surface of the lignite resources, due to the accumulation of uranium.
The uranium in the Balladonia project area is sourced from the adjoining radiogenic granites of the Yilgarn Craton and transported via oxidized groundwater and deposited within porous sandy sediments or the extensive lignites within the partly identified palaeochannels, which comprise a chemical environment favourable for uranium precipitation.
Epsilon is seeking Beverley and Mulga Rock style uranium at the Balladonia Uranium project.
