Key Achievements from the First Well Test Pattern
Alligator Energy (ASX: AGE) has achieved significant milestones in its uranium recovery project at Samphire, located in South Australia. The company successfully extracted uranium from the first well test pattern, surpassing both global standards and internal expectations.
Highlights of the Results
- High Recovery Rate: The test achieved a 70% recovery rate over 70 pore volume exchanges, meeting the target set by the company.
- Exceeded Flow Rates: Pump testing results surpassed typical global In-Situ Recovery (ISR) well flow rates, indicating strong performance.
- Higher Uranium Grade: The average grade of uranium in the solution exceeded Alligator’s updated scoping study assumptions, further validating the project’s potential.
Technical Viability and Economic Implications
The successful completion of the first well pattern has confirmed the technical viability of recovering uranium from the Samphire palaeochannel system using ISR. This method is considered more environmentally friendly and cost-effective compared to traditional mining techniques.
Dr Andrea Marsland-Smith, CEO and MD of Alligator Energy, emphasized that the results reinforce the economic assumptions outlined in the company’s scoping study. She highlighted the importance of the test as a key de-risking milestone for the project.
Encouraging Performance and Future Steps
The team’s performance during the test was highly encouraging, particularly given the alignment with model assumptions and ISR benchmarks. Dr Marsland-Smith noted that achieving the 70% recovery target within the allocated time frame is a testament to the scientific rigor behind the project and the team’s expertise.
With the next well test set to commence soon, the focus will be on building confidence in the models that guide the project’s development. These models are crucial for planning the next phase of the Samphire project and for the company’s future growth.
Reducing Technical Risks
The results from the first well pattern have significantly reduced key technical risks associated with ISR development at Samphire. The strong performance across recovery, flow, grade, and chloride management and reagent consumption provides a solid foundation for future project advancement.
The data collected from this trial will be used in ongoing optimisation studies, which will feed into a bankable feasibility study (BFS). This study is essential for securing funding and moving the project forward.
Next Phase of Testing
Following the success of the first well pattern, the company will begin the second well pattern in the coming week. This phase is designed to test a lower grade/less permeable area at the margins of the mineralised system.
Dr Marsland-Smith explained that while flow rates are expected to be lower and recovery performance may take longer to assess, this phase is critical for understanding the full spectrum of hydrogeological and recovery characteristics of the deposit. This information will inform future wellfield design and optimisation as well as the inputs for the BFS.
Results from the second well pattern are targeted for the third quarter of calendar year 2026.
Market Update
As of now, Alligator Energy is steady at 4.1¢, with a market capitalisation of $179.6M.
Community Engagement
Shareholders and interested parties are encouraged to join the discussion on platforms like HotCopper to learn more about Alligator Energy and participate in conversations that influence the markets.
Disclaimer
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