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Pioneer Lithium Ltd (ASX:PLN) has boosted its global portfolio and taken a step into the uranium market, picking up two projects in Namibia and Colorado.
The company has entered into binding acquisition agreements concerning the Warmbad uranium project in Namibia – which stretches across 271 square kilometres within a globally significant uranium district, the Namaqua Metamorphic Complex – and the Skull Creek uranium project in Colorado.
The latter hosts uranium mineralisation within the Sego Sandstone formation, with the Skull Creek properties holding a strike length of 17 kilometres.
Each project is at different stages in terms of exploration and resource definition work. Warmbad has previously been subject to both reverse circulation (RC) and diamond drilling holes, for a total of 30,967 metres.
Five drill-ready targets have already been identified, with these comprising hard rock mineralisation with 63% of analysed samples returning grades between 100 – 400 parts per million (ppm) uranium.
At Skull Creek, Pioneer will be focused on the analysis of historical records relating to the resources there.
Executive chairman Robert Martin said taking on these projects was an important step for the company, and said it “represents a defining moment for Pioneer.”
“These strategic acquisitions… propel us into the high-growth uranium sector with two world-class projects in uranium-friendly jurisdictions in the United States and Namibia,” Mr Martin said.
“Both assets have had a plethora of work completed with around 31,000m of drilling at Warmbad with Skull Creek having a reported historical resource that unfortunately requires more detailed work to be able to report under the current JORC code.
“The company intends to methodically work through these data sets and historical records to help define and delineate future work programs.”
Pioneer shares have risen following the news, and at 10:35 AEDT, they were trading at 25.5 cents – a shift 18.6% upwards.
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