Alligator Energy Advances Uranium Projects with Key Approvals and Strong Cash Position
Alligator Energy Limited has made significant strides in its uranium exploration and development projects, securing critical regulatory approvals and advancing field operations while maintaining a robust cash position. The company’s strategic investments and ongoing drilling programs position it well amid a strengthening uranium market.
- Regulatory approvals received for Samphire Field Recovery Trial (FRT), with construction underway
- JORC Mineral Resource update for Blackbush deposit progressing, drilling commenced for observation wells
- Big Lake Project drilling impacted by flooding but exploration permits and data analysis continue
- Alligator Rivers Uranium Province drilling reveals new mineralisation and high-grade uranium assays
- Cash balance strong at A$16.8 million; equity stake in EnviroCopper increased to 15.61%
Regulatory Milestones at Samphire
Alligator Energy Limited (ASX: AGE) has achieved a pivotal regulatory milestone with the South Australian Department for Energy and Mining (DEM) granting the Retention Lease for its Samphire Project’s in-situ recovery Field Recovery Trial (FRT). The company submitted its Program for Environment Protection and Rehabilitation (PEPR), which is currently under assessment by DEM, the Environmental Protection Authority (EPA), and the Department for Environment and Water (DEW). Approval of the PEPR and associated EPA construction and operating permits represent the final regulatory hurdles before on-site construction and operations can commence.
Fabrication of the containerised pilot plant was completed in late 2024, and the plant is currently staged at Alligator’s Whyalla yard. The civil and pipework contractor, Ahrens Group Pty Ltd, has been selected to connect the pilot plant with three production well patterns. Construction is expected to mobilise following final regulatory approvals, with commissioning targeted for the third quarter of 2025.
Exploration Progress and Resource Updates
In parallel, Alligator Energy is advancing its resource base with an updated JORC Mineral Resource Estimate for the Blackbush deposit, incorporating 2024 drilling results. This update is anticipated to be finalised by the third quarter of 2025, providing critical inputs for the definitive feasibility study and mining application.
Drilling of observation wells necessary for the FRT commenced post-quarter, marking a key step towards operational readiness. Meanwhile, at the Big Lake Project in South Australia’s Cooper Basin, exploration activities continue despite interruptions caused by significant flooding in Western Queensland. The company has received exploration PEPR approval for follow-up drilling aimed at expanding uranium discoveries around Site 10 and other targets.
In the Northern Territory’s Alligator Rivers Uranium Province, assays from the 2024 drilling campaign have revealed new mineralisation at the Bully Prospect, approximately 4 kilometres east of the U40 deposit. Notably, one hole returned 1 metre at 108 ppm U3O8, while follow-up drilling at the U40 extension yielded high-grade intercepts including 3 metres at 260 ppm U3O8, with a peak of 1 metre at 570 ppm. Surface sampling across the Nabarlek North and Tin Camp Creek projects identified multiple uranium anomalies, with historic prospects like Gorrunghar showing assays as high as 4,120 ppm U3O8.
Corporate and Market Developments
Alligator Energy’s cash position remains robust at A$16.8 million at quarter-end, inclusive of a one-off payment to EnviroCopper Limited (ECL) for an increased equity investment. The company completed a further subscription for fully paid ordinary shares in ECL for $871,000, raising its interest to 15.61%. Greg Hall, CEO and Managing Director of Alligator Energy, has been appointed to the board of EnviroCopper, strengthening strategic ties.
Market conditions for uranium have shown positive momentum, with the spot U3O8 price firming above US$67 per pound after ending the quarter at US$64.23. The long-term price indicator remains steady at US$80 per pound. Global nuclear energy developments continue to underpin demand, with significant policy support and new projects announced across the United States, Europe, Asia, and other regions.
Looking Ahead
For the coming quarter, Alligator Energy plans to continue engagement with regulators to secure final approvals for the Samphire FRT, commence construction and commissioning, and progress the Blackbush resource update. At Big Lake, the company will monitor flood conditions to resume drilling and continue data analysis to refine exploration targets. In the Alligator Rivers region, technical interpretation and target development will advance, alongside community engagement and work program approvals.
Additionally, marketing efforts for the Piedmont Nickel Cobalt Project in Italy will resume, focusing on historic gold mining licences. The company’s diversified project portfolio and strategic investments position it well to capitalise on the evolving uranium market dynamics.
Bottom Line?
As Alligator Energy moves from exploration to operational milestones, market watchers will keenly observe regulatory approvals and uranium price trends shaping its next growth phase.
Questions in the middle?
- When will final regulatory approvals enable full-scale operations at the Samphire Field Recovery Trial?
- How will flooding impacts at Big Lake affect the timing and scope of ongoing drilling programs?
- What implications does Alligator Energy’s increased stake in EnviroCopper have for its copper ISR exposure and diversification?
