Adelaide Resources (ASX: ADN) and partner Quasar Resources have commenced a 12,000 metre aircore drilling program at the Corrobinnie Uranium Joint Venture in South Australia’s Eyre Peninsula.
The joint venture is testing a number of priority uranium target areas in the Thurlga and Narlaby Palaeochannels. A number of close spaced drill traverses are planned to follow up anomalous uranium intersected in 2009 and 2010 drill programs in the Thurlga Palaeochannel.
Previous intersections include 6 metres at 260 parts per million uranium oxide from 28 metres downhole and 8 metres at 106 parts per million uranium oxide from 28 metres. Mineralisation intersected in Thurlga is interpreted to be of typical sediment-hosted roll-front style, Corrobinnie’s principal deposit target style.
Gamma probe logging of the holes will be carried out using a portable slim-line logging system, while assay samples will be taken for multi-element geochemical analysis. Results from the drilling program are expected over the next two months.
Adelaide Resources share buy back
In other company news, Adelaide Resources intends to repurchase up to 10% of its ordinary shares through an on-market share buyback program. The program will begin on October 27, 2011, for a period of 12 months.
The amount of share purchases made by Adelaide will depend on management and the board’s assessment of value, relative to share price at the time shares are available for re-purchase.
The company’s directors believe there will be no impact on the active drill program at the Rover Copper-Gold project near Tennant Creek in the Northern Territory, nor those programs planned for early 2012 on the Yorke Peninsula.