Alligator Energy reports significant progress across its uranium portfolio, including regulatory milestones at Samphire and promising drilling results at Big Lake and Nabarlek North, supported by a solid cash position of $20.2 million.
- Samphire Project granted Retention Lease with conditions accepted
- Encouraging uranium drill intercepts extend Blackbush West mineralisation
- Big Lake assays confirm significant uranium discovery with follow-up drilling planned
- Nabarlek North drilling completed with minor uranium intercepts; further data analysis underway
- Cash balance strong at $20.2 million; strategic investment increased in EnviroCopper Limited
Regulatory Progress at Samphire
Alligator Energy Limited (ASX: AGE) has taken a pivotal step forward in its Samphire Uranium Project with the South Australian Department for Energy and Mining granting the Retention Lease (RL) post quarter end on 13 January 2025. The company accepted the proposed operational conditions in late December, which will be integrated into the forthcoming Program for Environment Protection and Rehabilitation (PEPR). This submission, targeted for early February 2025, is the final regulatory hurdle before on-site construction of the Field Recovery Trial (FRT) infrastructure can commence.
Fabrication of the FRT pilot plant was completed mid-2024, and Alligator is in advanced negotiations with a preferred Whyalla-based contractor to undertake the civil and construction works. The company’s drilling campaign at Blackbush West has yielded encouraging results, extending uranium mineralisation by approximately 500 metres beyond the known resource envelope, with several high-grade intercepts reinforcing the potential for resource expansion.
Big Lake Project Confirms Uranium Potential
At the Big Lake Project in South Australia’s Cooper Basin, laboratory assays have validated Alligator’s initial uranium discovery from last year’s drilling program. Notably, multiple drill holes intersected significant thicknesses of anomalous uranium mineralisation within the Namba Formation’s palaeochannel sands, including four holes exceeding 100 ppm uranium. A heritage clearance was completed in late 2024, clearing the way for a follow-up drilling campaign scheduled for the first quarter of 2025. The company is also finalising approvals for this program and plans to employ mud-rotary drilling to explore deeper stratigraphy, potentially unlocking further uranium-bearing horizons.
Nabarlek North and Regional Exploration
In the Northern Territory, Alligator completed a 22-hole drilling program at Nabarlek North, focusing on step-out drilling around the U40 Prospect. While final assay results are pending, preliminary field observations suggest only minor, sub-economic uranium intercepts. Complementary reconnaissance mapping and sampling across the tenement have been conducted to refine geological models and identify new targets, particularly at the Tin Camp Creek Project. The company also secured government co-funding grants exceeding $175,000 to support its 2024 exploration activities in the region.
Corporate and Market Position
Alligator Energy ended the quarter with a robust cash balance of $20.2 million, underpinning its exploration and development activities. The company increased its stake in EnviroCopper Limited to 15.6% following a post-quarter subscription, gaining board representation and reinforcing its strategic position in copper in-situ recovery technology. Despite a modest decline in uranium spot prices to approximately US$72 per pound, market interest remains buoyed by growing nuclear power ambitions globally, particularly driven by data centre energy demands and small modular reactor developments.
Looking ahead, Alligator plans to submit the Samphire PEPR, finalise construction contracts, and advance optimisation studies ahead of a feasibility study in the second half of 2025. Exploration momentum will continue at Big Lake with expanded drilling, while Nabarlek North data integration will inform future targeting. The company also intends to market its Piedmont nickel-cobalt project in Italy, focusing resources on uranium development.
Bottom Line?
With regulatory approvals advancing and drilling successes underpinning resource growth, Alligator Energy is poised for a transformative 2025 in uranium exploration and development.
Questions in the middle?
- When will the Samphire PEPR receive final approval, enabling FRT construction to begin?
- How will the upcoming Big Lake drilling results influence the project's resource potential?
- What impact will fluctuating uranium prices have on Alligator Energy's project economics and funding strategy?