Energy Metals Limited (ASX: EME) reported a 12% increase in uranium resources at its Bigrlyi Project to 10,900 tonnes U3O8, driven by successful drilling and modelling. The company plans to advance technical studies and further exploration in 2026, supported by a solid cash position and strategic backing from China General Nuclear Power Group.
- 12% uranium resource increase at Bigrlyi to 10,900 tonnes U3O8
- New uranium mineralisation identified at Walbiri South over 5 km strike
- Stable 2025 net loss of A$522,641 amid ongoing exploration
- Cash reserves of approximately A$8 million provide funding runway
- Bigrlyi ELR32552 licence renewed for five years in March 2026
Bigrlyi Project Resource Upgrade Strengthens Development Case
Energy Metals Limited (ASX:EME) has boosted its flagship Bigrlyi uranium resource by 12% to 10,900 tonnes of U3O8, following extensive drilling and updated geological modelling. The upgrade, announced in early 2025, notably increased the proportion of Measured and Indicated resources to 69% of the total, enhancing confidence in the deposit’s economic potential. The high-grade A4 deposit saw significant expansion, including mineralisation confirmed at depth below previously planned mining areas.
This resource growth reinforces Bigrlyi’s standing as a promising uranium-vanadium project within the Ngalia Basin, located 350 km northwest of Alice Springs. The project benefits from excellent metallurgical recoveries and vanadium credits, which add to its strategic value amid rising uranium prices.
However, joint venture partners could not agree on further drilling budgets in 2025, delaying follow-up drilling of the high-grade zone. The company hopes to resolve these issues to resume exploration and progress mining studies. The Bigrlyi Joint Venture licence ELR32552 was renewed for a further five years in March 2026, securing tenure for ongoing development efforts.
Exploration Success at Walbiri South and Regional Prospects
Exploration at Walbiri South, part of the Walbiri Joint Venture (EME 77.12%), identified new uranium mineralisation along a 5-kilometre prospective corridor. Drilling in 2024 and 2025 intersected multiple high-grade zones, including a standout 1m intercept grading 3,012 ppm eU3O8, confirming continuity beyond the known Walbiri deposit. These results validate the company’s regional exploration strategy and highlight potential for satellite deposits that could complement Bigrlyi’s economics.
Similarly, maiden drilling at the Penrynth prospect returned encouraging uranium intercepts exceeding 100 ppm eU3O8, indicating fertile ground for further exploration. Chemical assays confirmed the accuracy of downhole gamma logging estimates, and mineralogical analysis revealed typical sediment-hosted uranium minerals such as carnotite, coffinite, and uraninite, with vanadium hosted in clay alteration assemblages.
Energy Metals plans to prioritise Walbiri South and Penrynth in its 2026 exploration program, including a large-scale passive seismic survey designed to refine targeting across the Ngalia Regional Project. This builds on the company’s comprehensive approach to unlocking synergies between its Northern Territory tenements.
Financial Stability Amid Ongoing Exploration Investment
Energy Metals reported a net loss of A$522,641 for the 2025 financial year, broadly consistent with prior years, reflecting ongoing exploration and corporate expenses. The company ended 2025 with approximately A$8 million in cash and term deposits, providing a solid funding base for planned activities.
During the March 2026 quarter, the company maintained a strong cash position of about A$7.8 million, with exploration expenditure of A$359,000. No work was conducted at Bigrlyi during the quarter, but licence renewal and assay results from prior drilling sustained momentum. Payments to directors and related parties totalled A$63,000 in the quarter, comprising salaries and fees.
Strategic Backing and Regulatory Landscape
Energy Metals benefits from strong strategic support from its major shareholder, China General Nuclear Power Group (CGN), which holds 66.45% of issued capital. CGN operates over 31 GW of nuclear capacity in China with additional units under construction, positioning Energy Metals well to capitalise on growing uranium demand driven by global nuclear expansion and decarbonisation efforts.
While the Northern Territory projects advance, Energy Metals’ Western Australian uranium tenements remain on hold under retention licences due to the state government’s uranium mining ban, expected to remain in place until at least 2025. The company continues to monitor political and market developments with a view to reactivating these assets when conditions improve.
Energy Metals’ recent exploration success and resource upgrades come amid rising uranium prices, with spot prices peaking above US$90/lb in early 2026 and forecasts suggesting further upward momentum. The company’s approach aligns with broader market trends, including commitments by 38 nations to triple nuclear energy capacity by 2050, underscoring uranium’s strategic role in the energy transition.
Energy Metals’ 2025 results and 2026 plans build on steady progress reported in recent quarters, including a targeting exercise and planned geophysical surveys at Ngalia Regional Project, and high-grade uranium intersections at Walbiri South and Penrynth prospects, as detailed in prior reports. These developments underscore the company’s disciplined exploration strategy and strong operational foundation.
Bottom Line?
Energy Metals is poised to leverage its expanded Bigrlyi resource and promising regional prospects, but progress hinges on resolving joint venture dynamics and navigating regulatory uncertainties in Western Australia.
Questions in the middle?
- Will Energy Metals resolve joint venture budget disputes to resume drilling at Bigrlyi’s high-grade zones?
- How will Western Australia’s uranium mining ban impact the timing and economics of Energy Metals’ WA projects?
- Can Energy Metals convert its exploration success at Walbiri South and Penrynth into economically viable deposits?