Blencowe Resources PLC (LSE:BRES) has confirmed extensive graphite mineralisation at depth in its latest drilling campaign at the Orom-Cross project in Uganda, reinforcing the deposit's scale ahead of a key development milestone.
The London-listed explorer completed three deep drill holes at the Northern Syncline, building on earlier results at the Beehive target, about 3 kilometres away.
All three holes returned wide intersections of graphite below 100 metres, more than tripling the depth of the current production model.
Crucially, each of the deep holes ended in mineralisation, indicating that the graphite remains open at depth.
The company said these results provide further evidence that Orom-Cross may host a much larger resource than previously defined, with independent estimates suggesting the site could contain more than 2 billion tonnes of graphite.
This latest drilling wraps up Blencowe's Stage 7 campaign, which spanned 6,750 metres and included 221 resource holes, eight geotechnical holes and six deep holes. Final assay results from the 230-plus drill holes are still pending and will be released in stages.
The findings will inform a revised resource estimate under the JORC code and feed into Blencowe's ongoing Definitive Feasibility Study (DFS).
The DFS is a comprehensive technical and economic assessment that will determine whether the project is viable to construct and operate.
Chair Cameron Pearce said: "Further success from the three deep holes at Northern Syncline underlines once again the sheer scale of this graphite deposit at Orom-Cross.
"With all deep holes ending in mineralisation, Orom-Cross is shaping up to be even more substantial than previously recognised."
Pearce added that the resource upgrade and DFS would both be "value accretive" steps in progressing the project.
"The scale of data collected, coupled with the positive drilling results, will help deliver a compelling upgraded JORC Resource," he said.
Blencowe continues to receive backing for Orom-Cross from the US International Development Finance Corporation, which is expected to release the next $750,000 tranche of grant funding shortly.
Graphite plays a crucial role in lithium-ion batteries, where it is used as the anode material.
As demand for electric vehicles and renewable energy storage increases, secure sources of battery-grade graphite are becoming a strategic priority for supply chains worldwide.