Yanrey Uranium Project Expands with New Discoveries as Spot Price Nears US$100/lb

Exploration Success at Yanrey

Cauldron Energy Limited has reported a highly successful 2025 drilling campaign at its Yanrey Uranium Project in Western Australia, uncovering high-grade uranium mineralisation at two new prospects, Manyingee North and Cosgrove. Both prospects yielded mineralisation in their initial drill holes, marking a third consecutive 'first-hole' discovery for the company and underscoring the effectiveness of its geophysical targeting methods.

Manyingee North, located northeast of the existing Manyingee South deposit, revealed mineralisation across all 24 drill holes, extending over 1,400 metres in width and 700 metres along strike, with the deposit remaining open in all directions. Meanwhile, the Cosgrove prospect, situated between the Bennet Well and Manyingee South deposits, showed promising mineralisation in two of three wildcat drill holes, indicating potential for a sizeable uranium deposit.

Resource Estimation and Project Outlook

Cauldron has commenced work on a mineral resource estimate for Manyingee North and an updated estimate for Manyingee South, with results anticipated by mid to late February 2026. These updates will build on the existing 42 million pounds of uranium oxide resources at Yanrey, which currently excludes Manyingee North and Cosgrove. The company’s extensive tenement holdings cover approximately 80 kilometres of prospective palaeochannel systems, with over 20 high-priority targets identified for future exploration.

The Yanrey Project’s uranium mineralisation is hosted within Cretaceous sedimentary units amenable to in situ recovery mining methods, a cost-effective and environmentally favourable extraction technique. The project’s proximity to existing deposits and the discovery of new palaeochannels highlight its potential as a globally significant uranium province.

Uranium Market Dynamics

The uranium market is experiencing a notable upswing, with spot prices rallying to around US$98.30 per pound, a near 20% increase in 2026 and almost 40% year-on-year. This price strength is underpinned by a widening supply-demand gap, driven by renewed nuclear power commitments worldwide, including the construction of new reactors and the rise of small modular reactors (SMRs).

Demand is further fuelled by the energy needs of AI-powered data centres, exemplified by Meta’s recent agreements to source nuclear energy for its Prometheus AI supercluster. Physical uranium funds, such as the Sprott Physical Uranium Trust, have been active buyers, reflecting investor confidence in the sector’s growth prospects.

Financial Position and Corporate Developments

Cauldron closed the quarter with a robust cash balance of $4.473 million, bolstered by the conversion of nearly 248 million options. The company has no immediate plans for further capital raisings, positioning it well to advance its exploration and development programs. Recent board changes saw the departure of two long-serving directors, with the company expressing gratitude for their contributions.

Importantly, Cauldron continues to advocate for the lifting of Western Australia’s uranium mining ban, submitting detailed reports to both state and federal government inquiries. The company argues that uranium mining could generate substantial employment and royalty revenues while contributing significantly to global decarbonisation efforts.