Australian Rare Earths Limited (ASX: AR3) has released assay results from its 2024 inaugural drilling program at the Overland Project, confirming low-grade uranium mineralisation in the first ten drill holes. The results validate geological modelling and down-hole gamma responses, supporting the project’s potential for sedimentary-hosted uranium deposits.
The drilling program has identified uranium concentrations significantly above background levels, with hole OV002 returning up to 20 times the adjacent background values across two one-metre intervals. Notable intersections include:
- OV002: 1 metre at 44 parts per million (ppm) U₃O₈ from 80 metres
- OV002: 1 metre at 58 ppm U₃O₈ from 82 metres
- OV003: 1 metre at 24 ppm U₃O₈ from 86 metres
- OV003: 1 metre at 30 ppm U₃O₈ from 109 metres
- OV009: 1 metre at 24 ppm U₃O₈ from 86 metres
- OV010: 1 metre at 33 ppm U₃O₈ from 91 metres
- OV010: 1 metre at 38 ppm U₃O₈ from 93 metres
The company stated that uranium mineralisation occurs in permeable sediments, suggesting potential suitability for In-Situ Recovery (ISR) mining. However, additional studies will be required to confirm ISR viability.
AR3 has also identified an active uranium system, with geological indicators suggesting uranium precipitation from oxidised groundwater within the Overland Project area. The company believes this further supports the prospectivity of the region for sedimentary-hosted uranium deposits.
The next phase of drilling includes:
- Assay results from the remaining 15 holes of the 2024 program, expected in the first quarter of 2025
- A 5,000-metre drilling program testing additional high-priority targets, continuing through to March 2025
Managing Director and CEO Travis Beinke highlighted that while the uranium grades remain low, the validation of the geological model provides confidence in the project’s broader exploration potential. The Overland Project spans approximately 4,000 square kilometres, and further drilling is planned to refine targeting within this underexplored region.
The results reinforce AR3’s confidence in the Overland Project’s potential for significant uranium mineralisation, with ongoing drilling expected to provide further insights into the deposit’s scale and economic feasibility.
