American Uranium Reports 72% Increase in Indicated Resources at Lo Herma Uranium Project
Key Takeaways
- •American Uranium completed a 120-drill-hole resource development program that delivered a 72% increase in Indicated uranium resources at the Lo Herma project.
- •Total mineral resources at Lo Herma now approach 10 million pounds of U3O8, with 7.38 million pounds delineated within the proposed scoping study area.
- •The scoping study is targeted for early Q4 2026 and will focus on three priority mine units using the in-situ recovery extraction method.
- •Within the proposed scoping study footprint, 54% of the 7.38 million pounds of U3O8 is classified in the higher-confidence Indicated category.
- •The project's advancement aligns with renewed US policy efforts to rebuild domestic uranium production and reduce reliance on imported reactor fuel.
American Uranium (ASX:AMU) has announced a significant updated uranium mineral resource estimate (MRE) for its Lo Herma uranium project, located in Wyoming's Powder River Basin — an established uranium-producing region that has hosted multiple commercial ISR operations and remains a core district for US domestic uranium supply.
The updated estimate follows the completion of the company's 2025/26 resource development program, which consisted of 120 drill holes aimed at increasing both confidence and scale to support a planned scoping study. The 72% increase in Indicated resources reflects the conversion of previously lower-confidence material into the higher-confidence category, a key step for project advancement under standard reporting frameworks.
The MRE is focused on mining via the in-situ recovery (ISR) method — the dominant uranium extraction technique used in the United States — and is reported at a cut-off grade of 200 parts per million (ppm) of triuranium octoxide (U3O8), with a minimum grade thickness (GT) of 0.2 per mineralised horizon.
CEO Bruce Lane described the updated MRE as an important milestone for Lo Herma, reinforcing its status as a significant emerging ISR uranium development project in the Powder River Basin.
"With total resources now approaching 10 Mlbs U3O8, and a substantial increase in confidence delivered within the proposed development footprint, the project is increasingly demonstrating the scale and quality required to support future development studies," Lane said.
He added that the updated resource provides a stronger foundation for a scoping study targeted for early Q4 2026 and supports AMU's transition from resource delineation toward project development studies, permitting pathways, and further evaluation of potential ISR development scenarios.
"With 7.38 Mlbs U3O8 now defined within the proposed Scoping Study area and 54% classified as Indicated, Lo Herma is well positioned for the next phase of technical and development advancement," Lane told shareholders.
While the Lo Herma project encompasses a broader mineralised footprint, current technical work is deliberately concentrated on three priority areas: Mine Unit 1 (MU1), Mine Unit 2 (MU2), and Mine Unit 3 (MU3). These zones represent the most advanced and best-understood portions of the project and are expected to form the basis of the initial development concept under assessment.
The completed 2025/26 drilling, testing, and technical work in these areas has progressively improved confidence ahead of the planned scoping study.
The progress at Lo Herma comes amid renewed policy focus on rebuilding US domestic uranium production, as the country remains heavily reliant on imports for reactor fuel supply.
At the time of reporting, AMU was trading at 6.8¢ per share with a market capitalisation of $8.85 million.
