Peninsula Energy confirms uranium mineralisation at Karoo project


Peninsula Energy has confirmed the presence of high grade uranium mineralisation from its drilling programme at the Karoo Uranium/Molybdenum projects in South Africa.

The initial drilling programme at Site 45, located 120km northwest of Beaufort West and covering an area of 489km², was designed to confirm the historic mineralisation defined by the Johannesburg Consolidated Investment Company (JCI) during the 1970's.

Peninsula executive chairman Gus Simpson said this objective has been achieved.

"Upon completion of this programme, and following on from the success of the drill programmes at Site 22 and 29, we expect to calculate a maiden JORC compliant estimate for the Karoo," said Simpson.

To date, Peninsula has completed 63 reverse circulation holes for a total of 15,207ft at Site 45. A total of 54 holes intersected mineralisation of over 100ppm and 28 holes reported multiple intersections of stacked uranium.

A total of 13 holes reported grades in excess of 1,000ppm eU3O8.

The results are representative and confirm the presence of high grade uranium mineralisation within the areas defined by the previous exploration, Peninsula said.

Peninsula intends to complete an initial JORC compliant estimate for the Karoo Projects before December 2012, where preliminary geological studies have estimated an exploration target in the Karoo of 30 million to 60 million tonnes.

The firm is planning to delineate 30mlbs of eU3O8 over the next 12 months, which would support the development of a central processing facility at Karoo.