The company is seeking to prove up more resources at the Gould’s Dam and Jasons deposits to both increase the production rate and lengthen the mine’s life, with an initial existing life of 11 years.
Boss says the infill drilling program will also improve the company’s understanding of the geology and hydrology of the uranium mineralisation.
Honeymoon is on track to produce its first uranium in the upcoming December quarter.
Boss says the company is increasing the production profile to 2.45 million pounds per annum over the mine life.
But this is based only on just a portion of the known resource — and the satellite drilling program is aimed at adding tonnes to that resource.
Managing director Duncan Craib says increases in the forecast production rate were not considered as part of the current Honeymoon re-start feasibility study.
“These satellite deposits have the potential to expand Honeymoon’s production profile and extend the current mine life,” he added.
Gould’s Dam deposit is located about 80km northwest of Honeymoon and has an existing JORC compliant resource of 4.4 million tonnes at 650 parts per million uranium oxide, or a contained 6.3 million pounds in the indicated category and 17.7Mt at 480ppm of uranium oxide, for a contained 18.7Mlbs.
Jason’s deposit is located 13km north of the Honeymoon.
It contains a JORC compliant inferred resource of 6.2Mt at 790ppm, for a contained 10.7Mlbs contained uranium oxide.
Boss says the drill program at Jasons will comprise both resource infill and step-out rotary mud drilling.
This is aimed at confirming as well as extending the continuity of identified mineralised zones.
The program will also provide detailed hydrogeological information on the host Eyre Formation aquifers within the deposit for the first time.
Honeymoon’s existing mineral resource stands at 52.4Mt at an average grade of 620ppm.
