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Energy Metals sees uranium resource potential at Cappers

Energy Metals (ASX: EME) has announced the results of a recently completed resource estimate for its 100% owned Cappers Prospect, located 180km northwest of Alice Springs, Northern Territory and 150km southeast of the Bigrlyi Uranium Project (Energy Metals 53.7%).

Consultants Hellman & Schofield Pty Ltd (H&S) have estimated an Inferred Mineral Resource at Cappers of 22 million tonnes averaging 145 parts per million (ppm) U3O8 for a contained U3O8 content of 3.2 tonnes (7.0 million pounds) at a cut-off grade of 100ppm U3O8.

Both Contained Tonnes U3O8 and Contained Pounds U3O8 are based on contained metal in the ground and do not consider any mining, metallurgical or economic parameters at this stage.

This resource estimate is based on chemical assays and down hole geophysical probing from 359 holes drilled by Energy Metals between September 2008 and December 2009. All mineralisation is hosted in shallow calcrete, sand and clay layers at depths less than 10 metres below surface.

Despite the current broad drill hole spacing the MIK resource model for Cappers shows good continuity at cutoff grades up to 100ppm U3O8, with a strike length of around 10km at this cutoff.

The Cappers deposit is located close to infrastructure, being immediately adjacent to the sealed section of the Tanami Highway, within 40km of the Alice Springs to Darwin gas pipeline and with access to the main north-south railway through Alice Springs.

The project is also located approximately 20km northwest of the Napperby uranium deposit (7.4Mlb Inferred Resource) currently being explored by Toro Energy (ASX: TOE).

Energy Metals considers that there is excellent potential to increase the resource base at Cappers.

Future programs will include drilling designed to test strike extensions to the known mineralisation and infill the current model to increase the level of confidence in the resource and better define higher grade sections of the deposit.

Energy Metals will also obtain samples for bulk density measurements to more accurately estimate resource tonnages, and undertake preliminary metallurgical testwork to investigate process route options and the potential to beneficiate the mineralisation.

Disclosure: The author holds no positions in the company