Berkeley Energia (LON:BKY) appears to have found exactly what it was looking for from its Zona 7 deposit - more near-surface, high grade uranium.
The latest drilling results, from just three holes, will hopefully help improve further the overall economics of the larger Salamanca Project, in western Spain, which includes Zona 7.
The exploration team found a 48-metre section triuranium octoxide, a compound of the radioactive element, weighing in at almost 1,100 parts per million (ppm).
The more eye-catching results included five metres at almost 12,000 ppm, 14 metres at 4,481 ppm and nine metres at almost 2,000 ppm.
Some of the mineralisation was eighteen times higher than the average grade of the resource.
The material was intercepted between three metres and 220 metres below the surface.
"Given the transformational effect the shallow, high grade Zona 7 deposit has had on the project's economics the primary focus of our upcoming exploration program is to look for more of the same,” said managing director Paul Atherley.
“Intercepts of these widths and grades located immediately below Zona 7 are extremely encouraging and will be the immediate focus of the next drill program which commences very shortly."
Salamanca is already slated to be one of the lowest cost producers when it comes into production. Its resource now stands at 83mln tonnes grading 495 ppm of U3O8 for 90.5mln pounds of uranium with a cut-off grade of 200ppm.
Mine construction is expected to begin in the middle of this year with discussions with potential financiers and off-take partners well underway.