The significance of these reconnaissance exploration results can be seen by reference to the uranium developments underway elsewhere in WA where resource grades range from 300 to 1500 ppm U.

These intercepts compare very favourably in terms of both grade and thickness to existing economic mineralisation and further vindicate the search for uranium in these palaeochannels. They clearly identify the area as a new uranium province in WA and have implications for the future development of the region. The Yilgarn Avon Joint Venture (YAJV) control 2640 square km of tenements in the area which include 275 km or 75% of prospective channel.

The forward program is to continue the scout drilling campaign and to commence detailed drilling adjacent to anomalous intercepts.

The YAJV commenced exploration for roll front uranium in the area in 2006 by way of a research collaboration with the then CSIRO managed CRC LEME. The lead-in was the very high level of uranium in ground water identified through the area in salinity studies. The YAJV recognised the potential for roll front uranium to develop in this environment and that there may be a future application for In Situ Recovery (ISR) technology that cleverly eliminates much of the pollution risk inherent in surface mining. Quasar Resources, Mindax’s partner has a particular expertise in this technology at the Beverley-Four Mile mine in South Australia.

The exploration methodology has been to develop cross sections through the palaeochannels to understand the geology and therefore their hydrology and chemical characteristics. It is anticipated that this information will have a wider application, particularly to the understanding of the catastrophic salinity issues in the area.

To date the YAJV has completed 11,195 metres of drilling. Much of this is in the Mukinbudin area on widely separated traverses (2-10km). Progressively elevated uranium levels have been encountered by this drilling and these latest results sit well up within the range of grades that determine economic resources elsewhere in Western Australia. As such they provide a high level of confidence in continued exploration and the potential to generate economic deposits within the Mukinbudin area.

YAJV is owned by Mindax Energy Pty Ltd (50% and manager), Quasar Resources Pty Ltd (50%).