Lotus Resources Ltd (ASX:LOT) has boosted the global uranium mineral resource estimate (MRE) in Malawi to 51.1 million pounds after releasing an inaugural resource for Livingstonia deposit.
Livingstonia is reported to host 6.9 million tonnes of ore, grading 320 parts per million triuranium octoxide, which increases Lotus’ global MRE to 49.4 million tonnes at 475 parts per million.
The Livingstonia mineral resource, which was reported at a 200 parts per million triuranium octoxide cut-off.
The result comes after a recent exploration campaign at Livingstonia, which set out to confirm historical drill results and extend the resource footprint with preliminary step-out drilling.
While Livingstonia is not included in Lotus’ current definitive feasibility study (DFS), it has the potential to become a satellite operation down the line, once the Kayelekera resource has been depleted.
Lotus’ DFS remains on track for completion in mid-2022.
Advancing underexplored uranium district
Speaking to the inaugural resource, Lotus managing director Keith Bowles said: “The acquisition of the Livingstonia prospect last year consolidated the company’s ownership of our southern project area, a known uranium mineralised district that has had very limited exploration work completed over the years.
“Following the small-scale drill program last year, it is pleasing to now produce a JORC 2012-compliant mineral resource estimate, which is broadly in line with our expectations.
“As we have previously commented, Livingstonia is not part of the current production strategy at the Kayelekera project nor our DFS work, however, it has the potential to become a satellite operation in the future, once the Kayelekera resource has been depleted.
“The results show that there are additional feed materials available for the Kayelekera processing plant and that the life of mine is not limited by what currently exists on the mining tenement.”
Resource growth potential
Lotus’ recent drilling has expanded the northern and northeastern limits of the Livingstonia resource beyond the historical resource extents.
As a result, there is potential to further extend the known mineralisation, as well as delineate more northwesterly-trending mineralised channels.
In addition, the Livingstonia inferred mineral resource suggests the presence of two higher-grade areas of mineralisation, which could be controlled by faulting within the deposit area, similar to that at the nearby Kayelekera deposit.
Down the line, it’s expected that further targeted infill and extension drilling could both increase the grade and amount of mineralisation within the deposit.
