With the granting of EL 3278 in November, 2004 PepinNini Minerals inherited an extensive amount of data relating to uranium exploration conducted by the South Australian Mines Department and private companies within the Olary Domain between 1951 and 1978. Approximately 1,000 boreholes were drilled to assess the Crocker Well Uranium Field and Mt Victoria Deposit located in the west of the tenement. At least seven shafts were sunk to obtain bulk samples for metallurgical tests. The Crocker Well area remains the most prospective `hard-rock' uranium prospect in the Olary district of the Curnamona Province with areas of extensive shallow cover over prospective zones yet to be investigated. Numerous outcropping prospects easily identified from radiometric data also require investigation by drilling to determine the extent of mineralisation already recognised.
In the Crocker Well area uranium occurs primarily as thorian brannerite mineralisation as a disseminated accessory mineral or in fractures, breccias or quartz veins in sodic plagioclase rich granitoids and gneisses. Uranium in the form of davidite occurs in the east of the deposit and at the Mt Victoria Deposit.
In September, 2005 independent resource consultants, Hellman & Schofield Pty Limited, completed a JORC compliant resource estimate of the Crocker Well Uranium Field and Mt Victoria Deposit and determined an Inferred Resource of 12.65 million tonnes at an average grade of 0.053% containing 6,740 tonnes (14.85 million lbs) of U3O8 using a cut off grade of 300ppm.
A scoping study for the development of the defined resource at Crocker Well was completed by GRDMinproc Limited in March, 2006 and identified a mining and process concept to produce U3O8. The process design was based on a 5.7Mt/annum mining operation producing 1.725Mt/annum ore from which 585t/annum of U3O8 would be produced. Capital cost to establish a processing plant, mining contractor, waste disposal, water supply and rehabilitation was estimated to be A$160 million.
In December, 2009 the joint venture alliance announced preliminary financial modeling of the Crocker Well Uranium Project undertaken as part of the Bankable Feasibility Study (BFS) for the development of a uranium mine indicates the Crocker Well project is not viable based on current market conditions. The analysis has determined the viability of the project is very sensitive with regard to the price of uranium and the American dollar exchange rate. Accordingly the joint venture alliance between Sinosteel Corporation and PepinNini Minerals Limited has decided to delay the finalisation of a BFS until there is a substantial sustained increase in the price of uranium and a substantial sustained improvement in the American dollar.
In the meantime the joint venture intends to continue investigating whether the delineation of potential additional resources located in the vicinity of Crocker Well will have an effect on the project viability. Drilling programs will intially prioritise known prospects in the vicinity of Crocker Well.
The joint venture also intends to commence investigating the potential for copper-gold, lead-zinc, iron ore, manganese, rare earths and other mineralisation located within the tenements held by the joint venture partners in the Curnamona Province of South Australia.
Tenement Location Plan
Crocker Well
Field Camp at Crocker Well
Drilling at Crocker Well
Davidite Mineralisation at Mt Victoria Deposit
3D Model of Mt Victoria Uranium Mineralisation
Crocer Well Uranium Field-RadioMetric Uranium
Crocker Well Uranium Field
Crocker Original - Mineralised Breccia
Shaft at Mt Victoria Uranium Deposit
Core Logging at Crocker Well
Recent Field Activities at Crocker Well
