Drilling is on despite takeover threat

Wednesday, 28 March, 2007

by Alison Bevege
NT News Business week

Uranium junior Energy Metals expects to begin up to $8 million worth of drilling next month, despite being a ripe takeover target.

The exploration work will see more than 250 holes drilled at the Bigrlyi deposit, 350km northwest of Alice Springs.

The work is subject to approval by Energy Metal’s joint venture partners, Paladin Resources.

The company revealed this week it had been approached by larger companies interested in its assets.

While Canadian company Denison Mines and Australian miner Paladin Resources are the two companies tipped to be most likely to launch a takeover, Paladin has denied it was preparing to pounce.

Energy Metals executive director Lindsay Dudfield said the company would not be distracted by corporate moves.

“There’s lots of action on the ground this field season and we expect it to move forward regardless of what happens on the corporate front,” Mr Dudfield said.

The Bigrlyi resource is believed to hold 14.3 million pounds of uranium and 16.3 million pounds of stainless-steel component vanadium.


More articles in this section ...