Marenica Energy's (ASX: MEY) principal asset is the Marenica Uranium Project located in the uranium rich Damara Province in Namibia.
The project covers 527sq km, with high prospectivity for both secondary and primary uranium deposits. Marenica Energy's strategy is to focus on the evaluation of the Marenica Project as well as to identify and acquire other uranium opportunities globally.
France’s Areva drills into Marenica Energy
Uranium explorer Marenica Energy Ltd (ASX: MEY) said its December quarter 2009 results included France-based nuclear and industrial giant Areva NC acquiring 10.6 per cent via acquisition from Polo Resources Plc (AIM: PRL).
The Marenica project licence in South-west Africa’s Namibia was also extended for two years by the country’s Ministry of Mines and Energy.
Areva NC holds a majority stake in Namibia’s Trekkopje uranium mine, located just 30 km away from Marenica’s major resource.
The French giant’s acquisition came on the back of circa A$74.24 million-capped Marenica upping its 80 per cent-owned uranium resource to 122 million tonnes at 140 ppm uranium, including an indicated resource of 16 million tonnes at 170 ppm uranium.
An inferred resource came in at 106 million tonnes at 140 ppm uranium.
Indicated resources are more accurate and reliable than inferred resources, often through increased drilling.
Combined, Marenica said the project’s total resource had been boosted by 9 per cent, and the uranium content by 12 per cent.
“Metallurgical test work on bulk samples from the Marenica project is continuing at ANSTO in Australia,” the company said.
“Initial results from screening, scrubbing and ore sorting tests carried out on two 500 kg samples have confirmed that the ore is amenable to upgrading.”
Marenica said that over the December quarter, 90 reverse circulation drill holes were completed over 2654 metres, bringing the year’s total to 617 holes over 14,889 metres.
Significant results ranged between 1257 ppm uranium at 7.9 metres, to 406 ppm uranium at 13.6 metres.
Sixteen new targets were also identified via airborne radiometrics.
“Anomalies have been categorised as primary granite hosted targets and secondary uranium palaeochannel hosted targets, similar to the Marenica deposit,” management said.
“More than 728 holes over 15,552 metres of drilling will be included in the next resource upgrade, due for completion in February 2010.”
Marenica’s Phillipus target indicated between 294 ppm uranium at 150 metres, to 101 ppm uranium at 100 metres.
The company added that its Springbok target had 12 holes drilled over 1368 metres, although results were “typically disappointing”.
In Australia, Marenica has also undertaken aerial surveillance and limited drilling at is Western Australia-based Northhampton uranium and Scadden lignite prospects.
Various blocks had to be relinquished at Northhampton under fourth-year compulsory reduction, with the five most prospective blocks retained.
At Scadden, Marenica said “the drilling identified a lignitic seam of potential economic interest ranging typically from five metres to 10 metres in thickness, and occurring at depths of between 15 metres and 50 metres.”
Lignite is the lowest-ranked coal, with properties lying between coal and peat. It can be converted into gas and petroleum products.
For the December quarter 2009, Marenica outlaid A$2.06 million - mostly on exploration - and exhibited a A$2.02 million decrease in cash to A$5.23 million.
Marenica Energy was formerly known as West Australian Metals (ASX: WME).
At the time of writing, Marenica shares were trading at 16.5 cents.
