Bannerman finds more uranium in advance of Etango prefeasibility

Vancouver – Expansion drilling efforts continue to return uranium intercepts at Bannerman Resources‘ (BAN-T) Etango project in Namibia.

Step-out drilling has extended the known strike lengths of two Etango targets, known as Oshiveli and Onkelo, that sit a few kilometres apart on a north-south trend. Mineralization remains open between the two prospects as well as at depth.

Bannerman released drilling highlights from 43 reverse-circulation holes that support the presence of multiple broad mineralized zones close to surface. The longest intercept was 103 metres grading 0.0237% U₃O₈, starting 12 metres downhole and including 21 metres averaging 0.0526% U₃O₈. Other highlighted intercepts included 42 metres of 0.0451% U₃O₈ from 66 metres depth, 57 metres grading 0.0325% U₃O₈ from 120 metres downhole, and 11 metres of 0.0413% U₃O₈ from 93 metres depth.

At Etango Bannerman is advancing two deposits and some seven targets. Oshiveli is one of the defined resources; the other is Anomaly A, which sits a few kilometres to the south along strike. Along with Onkelo, which is north of Oshiveli, the three zones lie along a 3-km long alaskite accumulation that hosts most of the project’s uranium resource.

The resource in Anomaly A and Oshiveli currently sits at 195.5 million indicated tonnes grading 0.0207% U₃O₈ and 87 million inferred tonnes averaging 0.0195% U₃O₈. The majority of the combined 126.6 million contained lbs. U₃O₈ is within Anomaly A and some 70% of the resource sits within 200 metres of surface. But the company is currently working through another resource update that should expand the count before the end of July.

The new resource will incorporate drill results to the end of May, including a set of holes that extended mineralization at Oshiveli to the north. Results from that set include 43 metres of 0.0514% U₃O₈, 77 metres of 0.0314% U₃O₈, and 22 metres of 0.0332% U₃O₈.

And Bannerman has also almost finished a preliminary feasibility study for Etango, to update the scoping study completed in mid-2007.

In June the company closed an equity financing that raised A$37.5 million and in May Bannerman was granted a renewal of its Etango prospecting license, which is now valid for another two years. The renewal comes after the December settlement of a lawsuit that charged Bannerman’s prospecting license for Etango was void. In the settlement Bannerman will hand over up to S$3.5 million in cash and 9.5 million shares to Savanna Marble and associated parties.

Bannerman’s share price gained 3¢ on the latest Etango drill results to close at $1.02. The company has a 52-week trading range of 14¢ to $2.20 and has 202 million shares outstanding (220 million fully diluted).