American Uranium (ASX:AMU) Details Raised its Lo Herma Uranium Resource to 9.96

Aditi Sarkar

29 October 2026 04:31 PM AEDT

American Uranium (ASX:AMU) Details Raised its Lo Herma Uranium Resource to 9.96

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American Uranium (ASX:AMU) Limited (ASX:AMU; OTCQB:AMUIF) said the Mineral Resource at its 100 per cent owned Lo Herma in-situ recovery uranium project in Wyoming now stands at 7.16 million tonnes at 630 parts per million U3O8, for 9.96 million pounds. The September 2026 quarterly report also showed cash of A$590,000 and an estimated runway of 0.4 quarters.

Resource update

The estimate, dated 4 August 2026, is up 16 per cent from 8.57 million pounds in December 2024. The Indicated category rose 72 per cent to 4.79 million pounds, or 48 per cent of the total, while Inferred material is 5.17 million pounds. Within the footprint being used for the scoping study, covering Mine Units 1 to 3, the resource is 7.38 million pounds, of which 3.97 million pounds is Indicated. Mine Unit 1 holds 3.23 million pounds, Mine Unit 2 holds 2.61 million pounds and Mine Unit 3 holds 1.54 million pounds, the last with no new drilling and only added land. Including its Great Divide Basin holdings, the company's Wyoming resources total 11.62 million pounds. Separately, an Exploration Target of 5.88 to 7.90 million tonnes at 500 to 700 parts per million is conceptual, and no JORC-compliant estimate exists for it.

The 120-hole 2025/26 drilling program is complete.

Pump test results

A pump test at Mine Unit 1 ran from 19 to 27 August 2026 using seven new monitoring wells, with results reported on 22 October. The pumping well sustained 19.2 gallons a minute for 48 hours with 16.9 feet of drawdown, which the company said is consistent with its assumed rate of about 20 gallons a minute per well. The overlying A Coal showed no response, suggesting it acts as a confining unit, while the underlying sand showed 0.2 feet of drawdown. The overlying D Sand showed 1.6 feet of drawdown, which still needs assessment. The company cautioned that aquifer estimates depend on the analytical method used and carry uncertainty.

Scoping study and permitting

American Uranium is targeting the scoping study for early in the fourth quarter of 2026, covering Mine Units 1 to 3, including phasing, wellfield design, processing options, permitting and metallurgy. The company said the final footprint, production targets and development sequence are not yet determined. A groundwater baseline program using the Mine Unit 1 monitoring network is pending and relates to future aquifer exemption and permitting. The company noted that starting monitoring is not a permit application, and permitting has not been submitted or approved.

Convertible notes and funding

On 11 September 2026 the company received A$1.235 million from unsecured convertible loan notes. The notes run for 18 months with a 12 per cent coupon. Conversion is at the lower of a 20 per cent discount to the next qualifying capital raise or to the 30-day volume-weighted average price, with a floor of A$0.065. Noteholders also receive options at four per A$1 funded, exercisable at A$0.16 and expiring 30 June 2029. Shareholders approved all resolutions on 23 October 2026, including a second tranche of up to A$1.3 million and participation by director Bruce Lane.

An entitlement offer that closed on 15 July at A$0.12 a share raised gross proceeds of A$100,374, and none of the shortfall securities were placed before 15 October.

Cash position

Cash was A$590,000 at 30 September, down from A$1.242 million. In the quarter, operating outflow was A$242,000 and exploration spending A$1.663 million, offset by financing inflow of A$1.253 million. Available funding including the unused facility was A$720,000, giving 0.4 quarters at the current rate. Management said its plans rely on the convertible notes, the proposed second tranche and refreshed issuance capacity, and that future raisings are not guaranteed. Inferred material makes up 52 per cent of the resource, and dilution from the notes and options could be significant.

FAQs

Q: What did American Uranium report?

A: The company said a scoping study is targeted for early in the December 2026 quarter, funded in part by new convertible notes.

Q: What developments are outlined in the update?

A: Cash was A$590,000 at 30 September, down from A$1.242 million. In the quarter, operating outflow was A$242,000 and exploration spending A$1.663 million, offset by financing inflow of A$1.253 million. Available funding including the unused facility was A$720,000, giving 0.4 quarters at the current rate. Management said its plans rely on the convertible.

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