BOE Share Price Up as It Explores Novel Exploration Methods (ASX:BOE)
Junior uranium miner Boss Energy Ltd [ASX:BOE] is enjoying some market merriness today.
The small-cap stock is currently up 8.57% and climbing, rising higher due to some interesting news shared by management today.
It seems Boss is planning to use a unique surveying technique, typically reserved for oil and gas. A plan that they hope will uncover an even greater resource than they’ve already confirmed.
Let’s see what more they had to say…
Seismic surveying to unlock uranium potential
Seismic surveying as it is known, is a common practice for petroleum businesses. A technique that helps pinpoint potential resources whilst minimising a need for expensive drilling.
When it comes to more shallow projects, like Boss’s Honeymoon uranium site, this seismic profiling isn’t really utilised. Something that this junior miner is planning to change. Using seismic datasets alongside their other geoscientifc information to yield a more informed overview.
As for why, well it will simply help reduce costs and free up resources for other endeavours. Just as they explain in today’s announcement:
‘Utilising the seismic datasets, in conjunction with all existing geoscientific information, Boss will be able to confidently reduce the number of drill holes required to locate additional resources within its predefined Exploration Target areas. This allows the streamlining of ground-based workflows and thereby preserve exploration funds.’
For a pre-production mining outfit, this kind of cost saving is invaluable. Which is clearly why investors are bidding the stock higher today.
And with a history of discovering previously unidentified deposits at the Honeymoon site, long-time Boss shareholders will realise this unique strategy could uncover even more uranium targets.
Something that Managing Director, Duncan Craib certainly stressed in the update:
‘The impending seismic reflection program, followed by drilling, is aimed at creating value by growing the mineral resource inventory for Honeymoon, where we believe there is substantial exploration upside.
‘Passive seismic helped to refine the palaeovalley geometry. The modern seismic reflection system will now add to that by enhancing the detail of likely permeable horizons within the palaeovalley fill.
‘The combined arsenal of the two seismic systems has the potential to create significant value for shareholders, as they allow better targeting of exploration drilling, which opens the door to increasing both Life of Mine and production rates, in turn growing the project’s NPV and free cashflow.’
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What’s next for the Boss Share Price?
In terms of when investors can expect some results from this plan, Boss has stated that we should get some data as early as next month. With subsequent drilling set to begin within the coming quarter.
That’s good news for Boss and for investors. Bringing them that much closer to becoming the next uranium producer in Australia.
Because if they can make it to the production stage, then Boss could become another player in the huge trillion-dollar emerging energy market. A sector that is filled with exciting and promising energy alternatives.
Indeed, Boss is far from the only small-cap looking to capitalise on this new energy boom. With plenty of niche and unique companies looking to carve out their own piece of this huge pie. And if you want to learn all about it, then we suggest starting with our definitive energy report.
A detailed look at what is on offer, and how you stand to benefit.
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