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Posts tagged ‘Doubleview Capital Corp (DBV)’

Athabasca Basin and beyond

June 15th, 2013

Uranium news from Saskatchewan and elsewhere for June 8 to 14, 2013

by Greg Klein

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Cameco’s Cigar Lake granted mining licence

With production slated for Q4, Cameco Corp TSX:CCO got the final go-ahead to mine Cigar Lake uranium on June 13. The Canadian Nuclear Safety Commission issued the mining licence following a 1990s environmental assessment, a stalled construction phase and a one-day public hearing. “The licensed facilities include underground mine workings accessed by two mine shafts, a surface load-out facility, waste management systems, a mine water management system and associated site facilities,” the CNSC stated. Cameco expects jet-boring to begin this summer.

The world’s second-largest known high-grade uranium deposit, Cigar Lake’s bounty holds:

  • proven reserves of 233,600 tonnes averaging 22.31% uranium oxide (U3O8) for 114.9 million pounds U3O8
  • probable reserves of 303,500 tonnes averaging 15.22% for 101.8 million pounds.

Those reserves give Cigar Lake a 15-year lifespan. With full production expected in 2018, it’s expected to give up 18 million pounds annually.

Cameco’s Cigar Lake granted mining licence

A Cameco crew installs freeze pipes at Cigar Lake
to protect against seeping water and leaking radiation.

The peak of construction could employ up to 500 workers, while production would require about 250 people. Jet-boring will extract the highly radioactive material using water pressure to carve underground caverns and push an ore slurry to underground grinding and thickening circuits, then to surface. The ground first must be frozen to prevent water seepage and radiation leakage. Processing will take place at the McClean Lake mill, 69 kilometres away.

Construction actually began in 2005. But the project hit delays due to flooding in 2006 and 2008. Cameco finally dewatered the workings in 2010 and restored the underground infrastructure the following year.

Located near Waterbury Lake on the Athabasca Basin’s eastern margin, Cigar Lake is a four-way joint venture in which project operator Cameco holds 50.025%, AREVA Resources Canada 37.1%, Idemitsu Canada Resources 7.875% and TEPCO Resources 5%. Another JV, the McClean Lake mill is held 70% by operator AREVA, 22.5% by Denison Mines TSX:DML and 7.5% by OURD Canada.

Pele Mountain increases Eco Ridge inferred U3O8 136%, REO 130%

Replacing a previous uranium-rare earths resource in the project’s July 2012 preliminary economic assessment, Pele Mountain Resources TSXV:GEM released a June 10 update for its Eco Ridge project in Elliot Lake, Ontario. The resource now shows:

  • an indicated category of 22.74 million tonnes averaging 0.045% U3O8 and 1,606 parts per million total rare earth oxides for 22.55 million pounds U3O8 and 80.51 million pounds REO, or 49.83 million pounds U3O8-equivalent
  • an inferred category of 36.56 million tonnes averaging 0.047% U3O8 and 1,554 ppm REO for 37.62 million pounds U3O8 and 125.25 million pounds REO, or 81.84 million pounds U3O8-equivalent.

The inferred numbers represent a 130% increase in total REO and a 136% jump in U3O8. The indicated category rose 10% in both REO and U3O8. The update shows “substantial increases in critical REO resources including neodymium, dysprosium, yttrium, terbium and europium oxides, as well as in scandium oxide resources,” the company stated.

Pele Mountain added that two higher-grade zones start at surface, which could allow higher-grade production during the first years of mining.

Working in Elliot Lake between 1956 and 1996 Rio Algom, later incorporated into BHP Billiton, and Denison produced over 300 million pounds of U3O8 and significant quantities of yttrium and heavy REO from deposits similar to that of Eco Ridge, Pele Mountain stated. The mining camp is about 160 kilometres west of Sudbury.

Aldrin increases resolution of PLS-area airborne geophysics

Aldrin Resource TSXV:ALN will add infill lines to an airborne geophysics survey already underway over the Patterson Lake South area. Announced June 12, the decision will increase resolution from 200-metre to 100-metre spacing over conductive anomalies found on the company’s 12,001-hectare Triple M property. Aldrin interprets the anomalies as linear basement conductors over three kilometres long, parallel to a magnetically defined fault.

The company holds a 70% option on Triple M, which sits nine kilometres south and 11 kilometres west of the PLS discovery. High-grade, near-surface results from the Alpha Minerals TSXV:AMW/Fission Uranium TSXV:FCU 50/50 JV excited interest in the area in and around the Basin’s southwestern rim. The helicopter-borne VTEM magnetic and electromagnetic survey already underway is a joint project that’s flying contiguous properties held by Aldrin, Athabasca Nuclear TSXV:ASC (formerly Yellowjacket Resources TSXV:YJK), Forum Uranium TSXV:FDC and Skyharbour Resources TSXV:SYH. Lucky Strike Resources TSXV:LKY and Noka Resources TSXV:NX each hold a 25% earn-in option on Skyharbour’s properties.

Aldrin stated the infill lines will help locate drill targets for early winter 2014.

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North ROK euphoria fizzles

June 6th, 2013

Colorado Resources’ results fall short of phenomenal but the area play looks resilient

by Greg Klein

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Despite additional intercepts of wide mineralization, June 6 assays from Colorado Resources TSXV:CXO failed to meet soaring hopes set by North ROK’s very first hole. That northwestern British Columbia discovery excited anticipation of a project comparable to Imperial Metals’ TSX:III Red Chris project, 15 kilometres east. But while Colorado’s stock has since suffered, a still-strong market cap and recent activity by other companies suggest the area play may yet endure.

The June 6 announcement gave results for three holes, with NR13-003 showing:

  • 0.21% copper and 0.55 grams per tonne gold over 152.4 metres, starting at 1.2 metres in downhole depth
  • (including 0.31% copper and 1.04 g/t gold over 52 metres).

NR13-003 was drilled at a -80 degree dip towards the northeast from the same location as discovery hole NR13-001, which was sunk at a -45 degree dip in the same direction. NR13-004 was drilled 100 metres southeast of the discovery hole, showing:

  • 0.4% copper and 0.5 g/t gold over 205.2 metres, starting at 158.8 metres
  • (including 0.56% copper and 0.68 g/t gold over 131 metres).
Colorado Resources’ results fall short of phenom, but area play looks resilient

North ROK’s first assays suggested boundless horizons, but three more holes from the early-stage project stifled enthusiasm.

True widths weren’t available. Hole NR13-002, drilled 350 metres west of the discovery hole, found no significant results. The company stated it “may have not been drilled deep enough or at the correct azimuth to adequately test the IP chargeability anomaly that is now better understood with the new detailed geophysics.”

Ongoing induced polarization surveys have so far shown an area 1,200 by 1,200 metres open to the south of the chargeability anomaly where the holes were drilled. The survey also found an area 500 by 1,000 metres open to the north of another chargeability anomaly one kilometre north of the drill holes. “To date less than 5% of the area of these geophysical anomalies has been tested by drilling,” the company stated. “Given these highly encouraging results and better understanding of the system, Colorado is planning an expanded drill program to commence shortly.”

Evidently investors expected better. The discovery hole reported April 25 produced a market-shattering 0.51% copper and 0.67 g/t gold over 333 metres, starting at 2 metres. That included a 242-metre interval of 0.63% copper and 0.85 g/t gold.

All that from the very first hole. Fuelling the excitement was Red Chris, only 15 kilometres away, where Imperial Metals’ open pit is scheduled for production in mid-2014. The project boasts reserves of 301 million tonnes averaging 0.359% copper and 0.274 g/t gold.

Consequently North ROK rocketed Colorado stock from an April 24 close of $0.16 to a May 21 high of $1.74. But by June 6 the shares opened on $1.17, down from a June 5 high of $1.34, then continued to fall. The stock closed June 6 on $0.80, albeit an improvement over the day’s low of $0.66 and far above the pre-discovery $0.16.

Disappointment notwithstanding, the area play may yet have a busy summer in store. Other companies attracted by the region’s porphyry copper-gold potential include Entourage Metals TSXV:EMT, which on June 3 announced its 100% option on the 6,499-hectare Odin copper-gold property, 22 kilometres north of North ROK and 35 kilometres from Red Chris.

The same day Victory Ventures TSXV:VVN announced drilling had begun on its 448-hectare Copau property, 11 kilometres northeast of Red Chris, to test a prospective IP anomaly.

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Athabasca Basin and beyond

June 1st, 2013

Uranium news from Saskatchewan and elsewhere for May 25 to 31, 2013

by Greg Klein

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Fission/Alpha outdo their best R00E-zone assay at PLS

Having previously announced their best interval yet from Patterson Lake South’s R00E zone on May 16, Fission Uranium TSXV:FCU and Alpha Minerals TSXV:AMW announced an even better assay on May 27: 8.57% U3O8 over 20.5 metres. Results for two closely spaced infill holes show:

Hole PLS13-059

  • 3.61% U3O8 over 6.5 metres, starting at 55.5 metres in downhole depth
  • (including 8.99% over 2.5 metres)
  • 8.57% over 20.5 metres, starting at 65.5 metres
  • (including 17.78% over 9.5 metres).

Hole PLS13-041

  • 0.13% over 5 metres, starting at 63.5 metres
  • 5.54% over 13.5 metres, starting at 83.5 metres
  • (including 17.08% over 3.5 metres).

Additionally hole PLS13-058, 10 metres north of a hole reported in November, showed:

  • 0.11% over 4 metres, starting at 63.5 metres
  • 0.18% over 17 metres, starting at 70.5 metres.

True widths weren’t available.

Uranium news from Saskatchewan and elsewhere

Last winter’s drilling continues to produce
high-grade assays for Patterson Lake South.

The results show mineralization is continuous for 120 metres along strike and open in both directions, the 50/50 joint venture partners reported. “We now have high-grade intersections in both the western and eastern areas of the zone, which demonstrates the expansive nature of the mineralization at R00E,” stated Fission president/COO Ross McElroy. “The spectacular quality of these results is further proof that the zone hosts high grades similar to those we’ve found at zone R390E.”

The previous week the JV partners announced a $6.95-million summer program for their celebrated flagship.

Fission/Alpha bolster their teams

The JV partners expanded their staff too. On May 29 Alpha announced two appointments to its advisory board. Charles E. Roy brings over 30 years of experience with Cameco Corp TSX:CCO, where he helped supervise seven discoveries.

Alan R. Graham, a former New Brunswick minister of natural resources and energy, has served on the Atomic Energy Control Board and the Canadian Nuclear Safety Commission. He was “involved in the permitting and oversight of nearly all of the producing uranium mines in the Athabasca Basin,” Alpha stated.

Fission followed two days later with two appointments of its own. Director William V. Marsh spent 15 years working on drilling programs for Chevron. He was a director of Predator Capital, Wolf Capital and, up to its $35.18-million sale to Green Dragon Gas in 2008, Pacific Asia China Energy.

Executive advisory board member Anthony Milewski is a senior adviser to Reuben Brothers Resources, a principal at Black Vulcan Resources and a director of several private and public resource companies who has “particular interest in physical uranium trading and industry supply and demand dynamics,” Fission stated.

Yellowjacket now Athabasca Nuclear Corp, raises $310,160

The company previously known as Yellowjacket Resources TSXV:YJK announced AGM results on May 30, including a new name: Athabasca Nuclear Corp TSXV:ASC. In addition, shareholders appointed Ryan Kalt chairman, with director Tim Termuende taking his place on the audit committee.

The company also completed the first tranche of a $600,000 private placement announced April 30, raising $310,160 through 2.58 million units at $0.12. Each unit consists of one share and a warrant for a half share. Each entire warrant allows a share purchase for $0.20 for 18 months. Kalt nabbed 1.6 million units, increasing his stake to about 22.3% of the company’s outstanding shares.

Allied forces airborne over PLS region

[Lucky Strike and Noka Resources] bring valuable technical expertise, proven management teams and financial capital to help create synergies in the field and corporately. Our geological teams plan to employ the refined exploration methodology that led to the Alpha/Fission PLS discovery to further increase our chances of making a new discovery while saving costs and time.—Jim Pettit, director of
Skyharbour Resources

Following the May 24 announcement from then-Yellowjacket/now-Athabasca Nuclear, three more companies announced their participation in a joint geophysical survey on their contiguous PLS-area properties. Skyharbour Resources TSXV:SYH, Aldrin Resource TSXV:ALN and Forum Uranium TSXV:FDC each issued separate statements this week saying the VTEM-Plus system/magnetic gradiometer survey was underway. Citing Alpha’s 43-101 technical report filed in April, Aldrin stated the Alpha/Fission team used a similar survey to define conductors associated with their high-grade, near-surface PLS intercepts.

In a statement accompanying his May 27 news release, Skyharbour director Jim Pettit referred to recently announced earn-ins with Lucky Strike Resources TSXV:LKY and Noka Resources TSXV:NX. The partners “bring valuable technical expertise, proven management teams and financial capital to help create synergies in the field and corporately,” Pettit explained. “Our geological teams plan to employ the refined exploration methodology that led to the Alpha/Fission PLS discovery to further increase our chances of making a new discovery while saving costs and time. We believe this partnership and structure offer the best prospects for vectoring in on a new uranium discovery in the Athabasca region while at the same time mitigating company-specific risk.”

Zadar options five more projects, appoints adviser

In a deal including over $15 million in exploration data, Zadar Ventures TSXV:ZAD optioned an additional five Basin properties from a subsidiary of Canterra Minerals TSXV:CTM. The package totals 67,561 hectares, Zadar stated on May 29. Four projects called Pasfield Lake, Stony Road, Riverlake and Highrock live in the eastern Basin, while the west-side West Carswell property lies 11 kilometres from Shea Creek, the Basin’s third-largest resource, a 49% UEX Corp TSX:UEX and 51% AREVA Resources Canada project. All five properties have seen geophysical work and drilling.

In return Zadar pays $50,000 and issues Canterra two million shares. Canterra also gets a 2% NSR on each property, half of which Zadar may buy back for $1 million per project.

On May 30 Zadar announced the appointment of Jeremy Brett to its advisory board. A senior geophysicist with MPH Consulting, Brett’s 18 years of experience includes uranium exploration in the Athabasca, Thelon, Baker Lake and Otish basins.

Ashburton readies Sienna North and West campaign, drops CanAlaska option

Ashburton Ventures TSXV:ABR announced on May 30 Phase I plans for its Sienna North and West projects in the PLS area. The program calls for surveying and cutting grids, scintillometer tests, soil sampling, radon surveys and float prospecting. Work is expected to begin within weeks.

The news release suggested the company might also participate in the joint airborne survey now being conducted for Athabasca Nuclear, Skyharbour, Aldrin and Forum.

Not solely fixated with uranium, on May 28 Ashburton announced it staked claims adjacent to Doubleview Capital’s TSXV:DBV Hat copper-gold property in northwestern British Columbia. At the same time Ashburton said it was pulling out of an option to acquire two more PLS-area properties from CanAlaska Uranium TSX:CVV.

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