Bannerman updates resource estimate for uranium project in Namibia

A new National Instrument 43-101 resource estimate for the Goanikontes Anomaly A uranium deposit in Namibia brings good tidings for Australian junior Bannerman Resources (BAN-T, BMN-A).

Using a cut-off grade of 100 parts per million (0.01%) uranium, Goanikontes contains an indicated resource of 25 million tonnes uranium grading .0234% (234 parts per million).

In addition, Anomaly A holds an inferred resource of 136.4 million tonnes grading 0.0197% (197 parts per million) uranium.

The resource was based on 223 reverse circulation holes and 19 diamond core holes Bannerman drilled on Anomaly A over a strike length of about 2.2 km.

A combination of chemical assays and radiometric data was used for the estimation. The spacing of drill holes were from 50 metres by 50 metres, 50 metres by 100 metres, and 100 metres by 100 metres.

The bulk of the resource was modeled down to a depth of about 300 metres, the company announced in a press release. But drilling is ongoing with a view to producing a final resource estimate to a depth of about 400 metres by the second quarter of 2008.

Bannerman expects to undertake a bankable feasibility this year and bring its Goanikontes deposit into production by early 2011.

Bannerman said there are still about 20,000 drill samples awaiting chemical assays, so a large proportion of the resource was modeled using radiometric data.

As a result, resource consultants Coffey Mining categorized the greater proportion of the resource as inferred. A small area of closer spaced drilling with largely chemical assay results, was classified as indicated.

Goanikontes Anomaly A contains alaskite hosted mineralisation similar to the world-class Rssing open-cut uranium mine located 20 km to the northeast.

The Rssing mine, majority owned by Rio Tinto, is the world’s largest open-pit uranium mine. It has been producing uranium for the last 31 years and has a reserve of 37,000 tonnes uranium, and a resource of 135,000 tonnes.

The anomaly is situated in Namibia’s central coastal region about 30 km southeast of the busy tourist town of Swakopmund and about 40 km from one of Southern Africa’s major ports Walvis Bay.

Goanikontes Anomaly A is one of 10 anomalies found in the area known as Palmenhorst Dome.

In Toronto, Bannerman’s shares closed up 20, or 7.41%, to $2.90 apiece on a trading volume of 14,000 shares.