Thor Energy (ASX:THR) has begun a 4,000m drilling program at its Wedding Bell and Radium Mountain projects in Colorado, US, as uranium spot prices continue to surge.
The $7 million market capitalisation company says the drilling will target mineralisation along strike of both the Rim Rock and Groundhog mines, testing airborne uranium anomalies, and will continue assessing the ‘underexplored’ Section 23 area.
Thor will also conduct downhole gamma surveys throughout the program.
The company says it will provide market updates with uranium results as they become available throughout October and November.
This new exploration work comes as the spot price of uranium touches US$73 per pound — a 12-year high and a year-to-date increase of just under 52%.
Thor’s drilling is anticipated to take 4-6 weeks. The company says anomalous uranium and vanadium samples will be sent to ALS Canada, with results scheduled to be returned in December 2023 and January 2024.
Managing Director Nicole Galloway Warland says the current state of the uranium market aligns with the company’s ‘strategic focus’.
“RC drilling has now commenced at our Wedding Bell and Radium Mountain uranium projects, starting at Section 23 prospect, followed by Groundhog and Rim Rock prospects.
We will be downhole gamma logging regularly throughout the program, so we look forward to updating the markets as these uranium results become available.
“Thor is encouraged by the growth opportunities in the uranium sector, with the uranium spot price at a 12-year high, supported by strong supply and demand fundamentals”
Thor is encouraged by the growth opportunities in the uranium sector, with the uranium spot price at a 12-year high, supported by strong supply and demand fundamentals. This aligns with our strategic focus on energy metals and our commitment to advancing our US uranium projects.”
Thor Energy is a uranium and energy metals-focused company with a number of ‘highly prospective’ projects in Australia and the US.
The company’s Wedding Bell and Radium Mountain projects are located in the Uravan Mineral Belt in southwest Colorado and have produced historical ‘high-grade’ uranium and vanadium drilling and production results.
Thor Energy had $1.711 million cash and cash equivalents at hand as of 30 June 2023, although in September, it raised an additional $1 million to accelerate exploration activities at its uranium assets.
Write to Adam Drought at Mining.com.au
Images: Thor Energy
