ASX uranium shares Boss Energy Ltd (ASX: BOE) and Alligator Energy Ltd (ASX: AGE) are both making news headlines today.
S&P/ASX 200 Index (ASX: XJO) listed Boss Energy reported on its quarterly activities this morning.
And All Ordinaries Index (ASX: XAO) listed Alligator Energy revealed the early results from an inaugural uranium drilling program.
Here's what's happening.
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Alligator Energy announces significant uranium discovery
Alligator Energy shares have yet to lift off after the ASX uranium share reported that chemical assay results from its exploratory drilling campaign at the Big Lake Uranium Project in South Australia confirm preliminary findings of a "significant new uranium discovery". Alligator shares are flat in early morning trade at 4.8 cents a apiece.
The miner said the discovery represents the first proof of concept that significant uranium is present within the Lake Eyre basin sediments that lie above the hydrocarbon-rich Cooper Basin.
Commenting on the results that could boost the ASX uranium share longer-term, Alligator CEO Greg Hall said, "The assay results validate our initial findings of the uranium discovery at our Big Lake Project and indeed, reflect some improvement on what we had observed in the field."
Hall added:
The consistency and thicknesses of the intersections highlight the significant potential for the Project from what was an inaugural drilling program in a frontier and untested portion of the Lake Eyre/Cooper Basin system, northern South Australia.
Alligator said it is currently in the process of finalising approvals for follow-up drilling in the area for the first quarter of 2025. A native title site heritage clearance is scheduled for Q4 2024.
"Planning for the drill campaigns is always done in consultation with the Traditional Owners, pastoralists and other stakeholders in the region, who have greatly assisted with our exploration endeavours to date," Hall said.
Which brings us to…
ASX uranium share on track to meet FY 2025 guidance
The Boss Energy share price is down 1.6% at $3.59 despite the miner reporting that it continued to successfully ramp up uranium production at its Honeymoon project in South Australia in line with its targets.
The three months to 30 September also saw the ASX uranium share achieve first production at its 30% owned Alta Mesa Project, located in the US state of Texas.
The September quarter saw 89,516 pounds of U3O8 drummed. That's up from 28,844 pounds in the June quarter.
Other significant events over the quarter included Boss's first shipment of 57,000 pounds of U308, which met all converter quality metrics. And the miner received $23.4 million from the sale of 200,000 pounds U308 as part of an existing sales contract.
Commenting on the results, Boss Energy managing director Duncan Craib said, "Our strategy is proceeding to plan on all fronts."
Craib continued:
The combination of this increasing production profile and the fact that most of it is uncontracted means we are ideally placed to capitalise on the strong outlook for uranium prices.
The supply-demand fundamentals in the uranium market are increasingly favourable and long-term contract prices are rising.
As at 30 September, the ASX uranium share held liquid assets of $244.9 million with no debt.
