Thursday, 18 January, 2007

by Lindsay Wright
ABC Country Hour

A mining company says its hopeful economic deposits of uranium and vanadium exist on its Tanami site.

Energy Metals prospecting at Bigrlyi about 60 kilometres west of Yuendumu has reported the presence of uranium of higher quality than originally thought.

Executive director Lindsay Dudfield says the next six months should really determine the company's long term prospects in the region.

"We undertook some drilling and have just received the assays back from that drilling. We need to increase the size of the resource we have there, there is nothing wrong with the grade. So the drilling project is aimed to increase the critical mass of the deposit.

"There are a whole host of variables, the price of the product, the geometry of the mineralisation, and a whole lot that need to be plugged into the equation. We are hopeful there will be a mine there one day. We are going to continue exploring and hope we get to the stage where we know we have deposits that justify a mining operation."