AR3 to Invest $200K in New Overland Uranium Drilling After Regulatory Greenlight
Australian Rare Earths Limited (AR3) has obtained South Australian Government approval to expand its Overland Uranium Project, gaining rights over an additional ~1,000km² and greenlighting immediate drilling on high-potential targets.
- Ministerial consent granted for 100% acquisition of uranium rights in EL6678
- Expansion adds ~1,000km² adjacent to existing Overland Uranium Project
- Environmental Protection and Rehabilitation plan approved for new tenement
- Drilling to commence February 2025 targeting palaeovalley extensions and uranium traps
- Exploration investment of $200,000 planned by September 2025 under Farm-In Agreement
Strategic Expansion Secured
Australian Rare Earths Limited (ASX: AR3) has taken a significant step forward in its uranium exploration ambitions by securing ministerial consent from the South Australian Government to acquire a 100% interest in the sedimentary-hosted uranium rights of exploration licence EL6678. This approval effectively expands AR3's Overland Uranium Project by approximately 1,000 square kilometres, adjoining its existing tenure and opening new frontiers for exploration in a region with promising geological characteristics.
The Farm-In Agreement with private explorer Sheer Gold Pty Ltd allows AR3 to earn full rights by investing $200,000 in exploration activities on EL6678 by September 2025. This arrangement not only consolidates AR3's position in a strategically important uranium province but also aligns with the company's broader growth strategy focused on energy transition metals.
Environmental and Regulatory Milestones Achieved
Alongside the ministerial consent, AR3 has obtained approval for its Exploration Program for Environment Protection and Rehabilitation (EPEPR) for EL6678. This regulatory milestone ensures that exploration activities will meet stringent environmental standards, reflecting the company's commitment to responsible resource development. With three EPEPR approvals now covering a combined area of approximately 1,388km², AR3 is well-positioned to conduct extensive and environmentally compliant drilling campaigns.
Targeting High-Potential Uranium Zones
Drilling is scheduled to commence in February 2025, initially focusing on the southern extension of a recently defined palaeovalley within EL7001, before moving to EL6678 to test high-priority targets along the western margin. These targets are supported by airborne radiometric data indicating uranium mobilization from basement rocks into sedimentary basins, a key indicator of potential in-situ recovery (ISR) amenable uranium deposits.
AR3's technical team highlights the significance of lignite horizons and anomalous natural gamma readings encountered in previous drilling, which suggest uranium precipitation zones that could host economically viable deposits. The exploration campaign, comprising approximately 5,000 meters of air core drilling, aims to refine the geological model and identify traps where uranium accumulates.
Strategic Implications and Next Steps
Managing Director and CEO Travis Beinke emphasised the strategic advantage of immediate land access in this under-explored uranium region. The expanded tenure not only enhances AR3’s footprint but also provides flexibility to pursue multiple targets concurrently, accelerating the path to potential resource definition.
As AR3 advances its drilling program through to March 2025, the market will be watching closely for assay results that could validate the project's prospectivity. Success here would bolster AR3’s position in the uranium sector, complementing its flagship Koppamurra rare earths project and reinforcing its role in supplying critical materials for the global energy transition.
Bottom Line?
AR3’s expanded Overland tenure and imminent drilling mark a pivotal phase, with exploration results set to shape its uranium growth trajectory.
Questions in the middle?
- What initial assay results from EL6678 drilling will reveal about uranium grades and deposit size?
- How will AR3 balance exploration expenditure with advancing its rare earths flagship Koppamurra Project?
- What are the potential timelines and challenges for progressing from exploration to development in this new uranium province?
