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Commenting on Orroroo results, Executive Chairman Ben Phillips states: “We are excited by the results of the downhole geophysical survey and cannot understate the implications this has for the potential of a greenfields discovery in the Walloway basin. Typically, sandstone uranium mineralisation is hosted in flat and planar tabular bodies close to surface, and as a consequence, the best discoveries typically occur early in the life cycle of defining a new fertile sedimentary basin. We have rapidly and successfully confirmed the potential of the Walloway via the novel approach of reviewing gamma anomalies in historical wells drilled by the oil and gas industry, and overlooked by the minerals industry. Norfolk have 100% ownership of a very large basin area in Australia’s leading uranium resource state. Norfolk has presented favourable uranium occurrences at depths potentially suitable for in-situ extraction technology. We look forward to working with our stakeholders to accelerate our exploration efforts, leveraging modern geophysics for rapid delineation of potential paleochannels followed by high-impact drilling.”
- Norfolk Metals LimitedMetals Limited succeeds in confirming uranium occurrences at three targets tested (via PFN or Spectral Gamma) in the Walloway Basin providing important proof of concept for the prospectivity of the Walloway Basin for sediment hosted uranium deposits.
- These early results are considered significant and demonstrate the potential to unlock a new uranium province in South Australia, a leading jurisdiction for the discovery and development of world-class sandstone hosted uranium deposits (e.g. Beverley, Four Mile and Honeymoon).
- The downhole geophysical survey in historical exploration wells (undertaken by Linc Energy) returned a peak uranium reading of 650ppm pU3O8 within an interval of 192ppm pU3O8 over 0.5m from 112.59m via PFN survey in well 7P3.
- Depths of confirmed uranium occurrences at 100-113m are potentially suitable for proven in-situ recovery methods1.
- Confirmed uranium occurrences are located over 5km apart with remainder of the basin untested for uranium (well 15P1 to 7P3). The Company’s previous understanding of the extent of uranium occurrences, is limited to historical drilling by Linc Energy.
- The Walloway Basin has never been explored for uranium despite being the same age as sediments of the Frome Embayment which is host to Beverley, Four Mile and Honeymoon uranium resources.
- Norfolk Metals is a first-mover in the Walloway Basin and controls 100% interest in two exploration licences covering 659 square kilometres.
- The Company plans to accelerate exploration to a campaign of geophysics and roadside drilling to rapidly follow up on these initial results and target potential roll-front style uranium mineralisation.
Figure 1. Norfolk 100% owned EL6552 and EL6814 overlayed on the Walloway Basin sediments showing the initial target area, Linc Energy historical wells and recently confirmed uranium occurrences. The legend also shows the surface footprint of three (3) resources from the Frome Embayment at the same s
Orroroo Exploration
Downhole Geophysical Survey Summary
Norfolk is pleased to report the downhole geophysical survey conducted at the Orroroo Project has been completed. Spectral Gamma and Prompt Fission Neutron (PFN) well logs recorded during the survey will be utilised for further exploration planning; however, at this stage the program is considered successful having confirmed the following;
1. Uranium occurrences in all three target zones (wells) of which the depths are potentially suitable for proven in-situ recovery methods (refer to reference 1. on page 1 of this announcement)
2. Uranium peak reported at 650ppm pU3O8 within an interval of 192ppm pU3O8 over 0.5m from 112.59m via PFN in well 7P3; and,
3. Uranium recorded from this survey at expected target depths obtained from historical holes supports the proposed “oxidised tails or interface zones” of roll-front uranium style mineralisation theory proposed by the Norfolk geology team.
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Norfolk Metals
Overview
Norfolk Metals (ASX:NFL) is an ASX-listed exploration company focused on its uranium in South Australia and Argentina. The company’s flagship property is the Orroroo uranium project in South Australia. It also holds a gold-copper project, the Roger River Property in Tasmania. Norfolk Metals is currently focused on advancing its uranium project and evaluating uranium assets for acquisition. In April 2024, the company announced it is acquiring the Las Altares uranium project in Argentina, through an exclusivity agreement with Green Shift Commodities.
Uranium prices have been on an upward trajectory since 2023, with prices rising from less than $50/lb to over $100/lb in 2024. The prices are currently hovering around $90/lb and could increase further, driven by a supply deficit. Kazatomprom, the world's largest uranium miner, announced in February 2024 that it is reducing uranium production. The company said production levels at its operations in Kazakhstan are anticipated to remain 20 percent lower, chiefly attributed to the sulfuric acid shortage prevailing in the country. Cameco, the world’s largest publicly traded uranium supplier, has provided a 2024 production guidance which is also not very bullish.
While the supply remains challenging, the demand continues to ramp up. The surge in uranium demand has been predominantly fueled by heightened utility contracting, a trend that offers robust support and sustainability to elevated price levels. The World Nuclear Association’s Nuclear Fuel Report indicates that global nuclear reactor demands are projected to almost double by 2040, rising from 65,650 tU in 2023 to 130,000 tU in 2040. According to Sprott, utilities have nearly 1.5 billion pounds of uncovered uranium requirements through 2040, compared to current annual production of around 150 Mlbs. Further, substantial underinvestment in new mining projects has exacerbated an already constrained supply side, leading to prolonged strain in the years ahead.
The uranium market appears to remain firmly in an uptrend driven by rising demand and constrained supply. Elevated prices also enhance the prospects for junior miners to progress their projects and potentially secure future supply agreements with utilities.
Norfolk Metals boasts uranium assets in a tier-1 mining jurisdiction of South Australia. The recent maiden drill program at the Orroroo project intersected a uranium-bearing floodplain, boosting confidence in the potential of the project.
Norfolk continues to review complementary projects with plans to expand its uranium project suite. In 2024, the company signed an exclusivity agreement with Green Shift Commodities (TSXV:GCOM) to acquire Las Alteras uranium project in Argentina. Las Alteras is surrounded by non-JORC foreign estimates at URAmerica’s Meseta Central deposit (19.1 Mlbs U308), CNEA’s Cerro Solo deposit (11.49 Mlbs U308), ISO Energy’s Laguna Salada deposit (10.1 Mlbs U308), along with the Cerro Condor and Los Adobes historical uranium mines.
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ASX-listed uranium explorer