Adavale Resources (ASX:ADD) has identified uranium exploration potential within the Mundowdna and Mundowdna South areas in South Australia, upon reprocessing and interpreting historical electromagnetic data.
The company says the reprocessed data, supported by modern satellite imagery ‘strongly’ suggests the presence of an extensive palaeochannel system within the Mundowdna licence package.
Executive Director David Riekie says reprocessing the electromagnetic (EM) data was an ‘important’ step in the company’s first phase of the exploration on the ground, which resulted in being a ‘significant’ find.
“The imagery from this data confirms the geological model in that there is a significant palaeochannel system within our licence package.
This is timely with our upcoming works program and also means that this processed data can be used for future exploration and expansion of targets on our licence package.”
Adavale is planning to conduct ground-based exploration in April 2024.
The historical dataset covered a 1,000km-square area and was flown in 2007 with the aim of identifying palaeochannels within a ‘large’ recognised alluvial fan extending north-westward out from the Flinders Range.
Adavale downloaded the EM data from the South Australian Resources Information Gateway data portal.
Further, the processing of historical EM dataset secured a ‘significant’ time and cost saving for Adavale, obviating the need to re-fly the licence area.
Adavale Resources is a mineral explorer focused on nickel and uranium.
As of 31 December 2023, the company had $944,000 cash and cash equivalents at hand and $175,000 unused finance facilities, according to its latest quarterly report. Post-quarter-end, Adavale completed a private placement raising $1.5 million.
Write to Aaliyah Rogan at Mining.com.au
Images: Adavale Resources
