Connected Minerals (ASX: CML) advances Etango Phase 2 planning after Swakopmund maiden drilling yields no anomalies

Connected Minerals Limited (ASX: CML), a microcap uranium exploration and former IoT technology firm based in Perth, announced on June 27, 2025, that it had completed its maiden reverse circulation (RC) drilling program at the Swakopmund Uranium Project in Namibia. The wireless hardware innovator turned junior explorer also confirmed that Phase 2 planning is now underway at its Etango North-East Uranium Project, where maiden results indicated potentially economic uranium grades across most drill holes.

While the Swakopmund program yielded no significant scintillometer anomalies, the Etango North-East site has emerged as a high-potential asset for Connected Minerals Limited, whose share price has surged 594.44% over the past year. The ASX-listed explorer now trades at AUD 0.125 per share with a modest market capitalization of AUD 5.17 million and 41.36 million ordinary shares on issue.

Why did Connected Minerals decide not to assay drill samples from the Swakopmund Uranium Project in Namibia?

Connected Minerals Limited concluded its maiden RC drilling program at the Swakopmund Uranium Project (EPL 9162) after completing 22 shallow holes totaling 105 meters. The program followed a horizontal-loop electromagnetic (HLEM) geophysical survey conducted earlier in 2025, which indicated the potential presence of paleochannel systems—subsurface geological features known to host calcrete-type uranium mineralization.

Despite these indicators, in-field scintillometer measurements conducted on RC drill reject bags, weighing approximately 30 kilograms each, failed to return readings exceeding 50 counts per second (cps)—a common benchmark for identifying elevated uranium concentrations. In the absence of such anomalies and favorable geologic features, Connected Minerals Limited made the strategic decision to forego laboratory assays and downhole gamma probing.

Institutional investors generally interpreted the Swakopmund outcome as neutral, noting that the early-stage exploration setback was mitigated by low capital risk and limited drilling depth. The program’s results were seen as a technical elimination of a non-core target rather than a failure of broader Namibian exploration potential.

What uranium mineralization results did Connected Minerals confirm from Etango North-East Phase 1 drilling?

In contrast to Swakopmund, Connected Minerals Limited has reported encouraging results from its maiden drill program at the Etango North-East Uranium Project (EPL 6933), which comprised 15 RC holes totaling 2,688 meters. The program, completed in May 2025, focused on areas near the Pandula and Onkumbwa prospects and was designed based on rock-chip sampling data collected in December 2024.

Fourteen of the fifteen holes intersected uranium at potentially economic grades, confirming geological alteration zones and the presence of alaskite-hosted uranium mineralization—mirroring the deposit model of the adjacent Etango Uranium Project operated by Bannerman Energy Limited (ASX: BMN).

Highlighted intercepts include 5 meters @ 358 ppm eU₃O₈ in hole OPRC0008, with 1 meter reaching as high as 814 ppm. Other key results include 4 meters @ 230 ppm eU₃O₈ in OPRC0010 and multiple intercepts in the 237–312 ppm range across various depths. These grades compare favorably with regional norms and reinforce institutional optimism that the Etango North-East zone may be geologically contiguous with Bannerman’s asset.

Geological assessments also noted stacked alaskite (leucogranite) sheets in several holes, which are characteristic of the mineralized zones at Bannerman’s development-stage project. The mineralization remains open at depth and along strike, prompting the decision to initiate a more detailed follow-up program.

How is Connected Minerals planning its Phase 2 uranium drilling campaign at Etango North-East?

Connected Minerals Limited has begun Phase 2 program planning at the Etango North-East site with final design expected by mid-July 2025. On-ground preparations are currently underway, with the exploration manager actively assessing newly prioritized targets at Pandula and Onkumbwa.

The next phase is expected to build upon positive intercepts from the maiden campaign and may include deeper or step-out drilling to test strike continuity. While no specific meterage or capital allocation has been disclosed, Connected Minerals indicated that it would update the market shortly with program details, pending logistical and technical confirmations.

Institutional sentiment toward the Phase 2 drilling has remained cautiously optimistic, with expectations centered on the potential for resource delineation if geological continuity is established. Analysts have noted that future catalysts may include the definition of an inferred resource estimate or the securing of strategic partnerships to de-risk development.

How does Connected Minerals’ strategic pivot align with uranium sector trends in 2025?

Connected Minerals Limited is one of several ASX-listed junior explorers repositioning toward uranium amid a resurgence in nuclear energy investment. The firm’s broader strategy now includes two granted Exclusive Prospecting Licences (EPLs) in Namibia and three additional multi-commodity exploration licenses in Western Australia.

This uranium-focused pivot represents a dramatic departure from its origins as a wireless communications company under its previous name, Connected IO Limited. The shift aligns with global policy trends supporting nuclear energy expansion as part of low-carbon transition goals, particularly across the European Union, United States, India, and China.

Namibia remains a Tier-1 jurisdiction for uranium exploration, hosting some of the world’s largest undeveloped uranium resources. The Etango and Husab uranium corridors continue to attract both mid-tier and major mining interest, with companies like Bannerman Energy and China General Nuclear (CGN) active in the region.

Connected Minerals’ positioning near the Etango trend is seen as strategic by investors tracking uranium corridor consolidation. However, its low market cap and early-stage status mean that any valuation upside is highly contingent on drill success and de-risking over the next 12–18 months.

What are institutional investors watching as the next catalysts for Connected Minerals?

Investors are closely watching for three near-term developments from Connected Minerals Limited. First, the formal release of the Etango North-East Phase 2 drill plan—anticipated by mid-July—could determine whether mineralization models are being extended systematically. Second, any announcement of laboratory assays from future programs could indicate resource potential and commercial value.

Third, investors are monitoring whether Connected Minerals intends to reactivate or divest its Swakopmund tenement following the disappointing initial results. If the paleochannel targets are revised based on surface reinterpretation, the company may still pursue limited follow-up work.

Over the medium term, the Australian-headquartered uranium explorer could benefit from sector-wide valuation expansion if uranium spot prices continue to rise, as some institutional forecasts suggest. Additionally, any strategic partnerships, offtake agreements, or government engagement could enhance the credibility and funding pipeline for its Namibian portfolio.

Connected Minerals has not yet disclosed financials related to exploration spending or capital reserves, which may become a limiting factor unless equity funding or joint ventures are secured. With no current revenue stream and a PE ratio of zero, the company remains in a high-risk, high-reward category typical of junior explorers.