EMA to start study on Mulga Rocks

Energy and Minerals Australia says it will start an open pit scoping study at its Mulga Rocks tenements as it releases it maiden uranium resource.

The company said the study will focus on the Ambassador deposit with a target production rate of 1000 tonnes of uranium oxide each year.

The study follows the release of the inferred resource estimate for Mulga Rocks, which contain the Ambassador, Emperor and Shogun deposits, of 24,520 tonnes uranium oxide or 54 million pounds.

The estimate was prepared by Coffey Mining, which also noted evidence for another mineralised zone below the Ambassador and Emperor deposits.

The company said the scoping study along with other drill programs are subject to appropriate funding arrangements.

Shares in EMA closed down 3.5 cents to 22c today.