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Posts tagged ‘Fission Energy Corp (FIS)’

Clermont Capital CEO Arlen Hansen on his company’s amalgamation LOI with NexGen Energy and NexGen’s acquisition of Mega Uranium properties

December 5th, 2012

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Week in review

November 30th, 2012

A mining and exploration retrospect for November 24 to 30, 2012

by Greg Klein

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Amalgamation, acquisitions bring big news to Canada’s uranium play

Friday’s announcement from Clermont Capital Inc TSXV:XYZ.P and NexGen Energy Ltd shows companies joining forces to combine money, projects and expertise in uranium exploration. Clermont announced a letter of intent to acquire NexGen in a three-cornered amalgamation in which a Clermont subsidiary amalgamates with NexGen to create a new Clermont subsidiary. The capital pool company intends the acquisition as a qualifying transaction to become a TSXV Tier-2 issuer.

So there’s good money and a good technical team coming behind the deal. And it’s happening when the market’s clearly hungry for a discovery. It sure looks like Fission and Alpha have something to be excited about. We hope that we can be part of that ride as well.—Clermont Capital president/CEO/director Arlen Hansen on a planned amalgamation with NexGen Energy and properties acquisition

Currently NexGen’s key asset is the Radio uranium project in northern Saskatchewan’s Athabasca Basin. NexGen holds an option to acquire an initial 70%, then the remaining 30% subject to a 2% NSR. Exploration has identified drill targets that are interpreted to be on the same structural trend as Rio Tinto’s Roughrider deposits and Fission Energy’s TSXV:FIS J-Zone. Roughrider holds resources of 17.2 million pounds U3O8 indicated and 40.7 million pounds inferred, while the J-Zone holds 7.37 million pounds indicated and 1.51 million pounds inferred. NexGen plans drilling in Q1 2013.

NexGen’s wholly-owned Rook 1 property sits directly northeast of the near-surface Patterson Lake South uranium project, a JV of Fission and Alpha Minerals TSXV:AMW.

On November 15 NexGen announced a definitive agreement to purchase the majority of Mega Uranium’s TSX:MGA Canadian projects in the Athabasca Basin and Nunavut’s Thelon Basin. As a result, Mega is anticipated to acquire up to a 38% interest in NexGen.

Among the conditions for the Clermont-NexGen acquisition, NexGen would close a private placement of at least $6.6 million. Prior to closing the acquisition, Clermont would consolidate its shares on a 2.35-for-one basis. On closing, NexGen shareholders would receive one post-consolidation Clermont share for each NexGen share.

Speaking to ResourceClips Friday afternoon, Clermont president/CEO/director Arlen Hansen said, “It’s a very large land package and uranium exploration takes a lot of time and money, so we’re getting the NexGen operational team, which includes some ex-Rio Tinto guys and Leigh Curyer, who raised hundreds of millions of dollars for Southern Cross before it was taken out in the uranium sector as well.

“So there’s good money and a good technical team coming behind the deal. And it’s happening when the market’s clearly hungry for a discovery. It sure looks like Fission and Alpha have something to be excited about. We hope that we can be part of that ride as well.”

U3082014 apologizes. Now VMS goes after axeman#, tamerackerdown and nttg2005

A mining and exploration retrospect

VMS Ventures TSXV:VMS greeted Friday by announcing progress in its battle against anonymous posters on the Stockhouse bullboard. Following what the company alleges to have been “false and malicious posts” between November 2, 2010 and May 10, 2012, VMS has now received court orders requiring internet service providers to identify three more commentators. The company had already obtained court orders requiring Stockhouse to divulge their internet protocol addresses. VMS said it “intends to pursue all legal options available against these posters in order to protect its reputation.”

The company also announced a settlement with a poster identified as U3082014 regarding statements uploaded between April 15, 2011 and August 27, 2012. Details are confidential, apart from the apology U3082014 submitted to VMS’ lawyers in September and posted on Wednesday.

Richmont closes Francoeur Mine, suspends Wasamac exploration

Francoeur had been struggling but, just the same, the news seemed sudden. Richmont Mines TSX:RIC announced Thursday the immediate shutdown of its 20-year-old gold mine in Quebec’s Rouyn-Noranda region. President/CEO Paul Carmel blamed the decision on high costs due to “low realized grades, difficult mining conditions and a tight labour pool for the experienced miners required for the challenging mining conditions at Francoeur.” As recently as November 8, however, Carmel sounded fairly optimistic as he spoke of “ramping up the Francoeur Mine to full production levels.”

The company’s pre-tax write-off will range between $11 million and $13 million. Immediate layoffs hit 115 workers, while another 35 will stay on for four months of decommissioning. Richmont is holding to its 2012 guidance of 65,000 ounces but 2013 is estimated between 65,000 and 70,000 ounces, down from a previous projection of 85,000 to 95,000 ounces. The company also operates the Beaufor Mine near Val d’Or, Quebec and the Island Gold Mine in northern Ontario.

Exploration at Richmont’s Wasamac gold project near Rouyn-Noranda has been suspended until next year.

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Clermont, NexGen amalgamation LOI follows NexGen, Mega Uranium property acquisition definitive agreement

November 30th, 2012

Resource Clips - essential news on junior gold mining and junior silver mining(Update: With the reverse takeover of Clermont Capital complete, NexGen Energy Ltd TSXV:NXE began trading on April 23, 2013.)

Clermont Capital Inc TSXV:XYZ.P announced a letter of intent on November 30 to acquire NexGen Energy Ltd. The arrangement would involve a three-cornered amalgamation in which a Clermont subsidiary amalgamates with NexGen to create a new Clermont subsidiary. The capital pool company intends the acquisition as a qualifying transaction to become a TSXV Tier-2 issuer.

Currently NexGen’s key asset is the Radio uranium project in northern Saskatchewan’s Athabasca Basin. NexGen holds an option to acquire an initial 70%, then the remaining 30% subject to a 2% NSR. Exploration has identified drill targets that are interpreted to be on the same structural trend as Rio Tinto’s Roughrider deposits and Fission Energy’s TSXV:FIS J-Zone. Roughrider holds resources of 17.2 million pounds U3O8 indicated and 40.7 million pounds inferred, while the J-Zone holds 7.37 million pounds indicated and 1.51 million pounds inferred. (Update: The J-Zone’s December 6, 2012 resource now shows 10.28 million pounds indicated and 2.74 million pounds inferred.) NexGen plans drilling in Q1 2013.

NexGen’s wholly-owned Rook 1 property sits directly northeast of the near-surface Patterson Lake South uranium project, a JV of Fission and Alpha Minerals TSXV:AMW.

On November 15 NexGen announced a definitive agreement to purchase the majority of Mega Uranium’s TSX:MGA Canadian projects in the Athabasca Basin and Nunavut’s Thelon Basin. As a result, Mega is anticipated to acquire up to a 38% interest in NexGen.

Among the conditions for the Clermont-NexGen acquisition, NexGen would close a private placement of at least $6.6 million. Prior to closing the acquisition, Clermont would consolidate its shares on a 2.35-for-one basis. On closing, NexGen shareholders would receive one post-consolidation Clermont share for each NexGen share.

Clermont president/CEO/director Arlen Hansen tells ResourceClips, “It’s a very large land package and uranium exploration takes a lot of time and money, so we’re getting the NexGen operational team, which includes some ex-Rio Tinto guys and Leigh Curyer, who raised hundreds of millions of dollars for Southern Cross before it was taken out in the uranium sector as well.

“So there’s good money and a good technical team coming behind the deal. And it’s happening when the market’s clearly hungry for a discovery. It sure looks like Fission and Alpha have something to be excited about. We hope that we can be part of that ride as well.”

by Greg Klein

Fission Energy director Jody Dahrouge on the Patterson Lake South uranium JV with Alpha Minerals

November 21st, 2012

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Scintillating results

November 16th, 2012

Nuclear power’s poised to grow, along with Alpha Minerals and Fission Energy

by Greg Klein

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A unique geological legacy has given northern Saskatchewan’s Athabasca Basin a pivotal role in the world’s energy future. Currently about a fifth of global uranium supply comes from two mines in the basin’s eastern section. But west side drilling has two companies excited about a new discovery. Joint venture partners Fission Energy TSXV:FIS and Alpha Minerals TSXV:AMW first announced their Patterson Lake South find on November 5, with results for four holes released over the subsequent 10 days.

As Fission president/COO/director Ross McElroy explains, “We stretched an eight-hole program into nine holes. On the sixth hole we hit mineralization. The next three holes also hit the same zone. Each of them were 10-metre step-outs. They’re all looking very strong.”

Nuclear energy’s poised to grow, along with Fission Energy and Alpha Minerals

Alpha Minerals geologist Garrett Ainsworth demonstrates
the scintillometer used in uranium exploration.

At this point the core has been tested by a hand-held scintillometer prior to assays, when actual grades will be determined. The device assesses radioactivity by measuring gamma ray particles in counts per second. The discovery hole featured a 21-metre interval with readings from below 300 cps to over 9,999 cps, the highest measurable reading. The best hole, one of two announced November 12, showed similar readings for a 24-metre interval. A fourth hole, announced November 15, gave similar numbers for a 22.5-metre interval.

All this bodes well for grades, the JV partners believe. So does the visible mineralization. “We can actually see the pitchblende, which is the uranium oxide mineral, when it’s high grade,” adds Ben Ainsworth, Alpha’s president/CEO/director. “The biggest we’ve seen so far is 21 centimetres, which gives you an off-scale reading on the scintillometer.”

Jody Dahrouge, Fission director and president of Dahrouge Geological Consulting, adds, “There aren’t many one-off holes in the basin. These discoveries tend to have size to them. If you’re looking for gold you can often drill 10 metres of gold, then drill 50 more holes and never hit it again. We know that we’ve hit significant uranium in these holes.”

But impressed as they find this discovery, it wasn’t their objective. “The target we’re looking for is basement rocks, the old, old, Archean rocks that underlie the Athabasca Basin, with no Athabasca rocks on top,” Ainsworth points out. “We’re looking for that because the boulder field we found had uranium that was associated only with basement-type rocks.”

That boulder field includes surface rocks as small as pebbles that have drifted with glacial till. High radioactivity seems to indicate a high-grade motherlode somewhere, probably within kilometres. According to Dahrouge, “In terms of area, magnitude and size, it’s probably the largest-known boulder field in the basin.” That’s what prompted the drilling which found mineralization, but not its source.

“We hit a snag with the drilling, but it’s a very nice snag,” says Ainsworth. “The mineralization didn’t come from the basement rocks we’re looking for, it came from another piece of basement. So we got a discovery of mineralization that we wouldn’t have otherwise anticipated.”

That’s what makes it so exciting—number one, you have the potential for an absolutely fantastic high-grade deposit. Number two, it’s literally within 50 metres of the surface. And it’s in Saskatchewan, which is a wonderful place to do business.—Fission Energy director
Jody Dahrouge

McElroy adds, “This boulder field shows high-grade mineralization with assays of up to almost 40% U3O8 [triuranium octoxide], which is terrific by any measure.”

So what’s all this you-three-oh-eight stuff?

Dahrouge replies, “It’s kind of a grab-bag of pitchblende and a whole bunch of uranium minerals that average out at U3O8. Uranium can occur as UO2, UO3, U2O5. So what the industry’s done is taken this term U3O8 because in a very general sense it’s the average.”

McElroy says the boulder field shows “massive pitchblende. We knew the boulders had been transported by the last glaciation so we spent last year trying to figure out the ice direction, tightening up our geophysical targets and drill-testing, looking for what we believe to be a still-undiscovered deposit in situ. With our success this winter, we think our model’s been validated.”

Dahrouge puts the grade in context. “If you took away the Athabasca uranium deposits, which in the case of Cigar Lake and McArthur River are up to 20% U3O8, the highest deposits in the world would be in the 1% or 1.5% range.”

McArthur River, the world’s largest high-grade uranium mine, is operated by Cameco Corp TSX:CCO through a JV in which AREVA Resources holds a 30.2% interest. Cigar Lake, slated for operation in mid-2013, is the world’s largest undeveloped high-grade uranium deposit. Cameco holds a 50% interest, AREVA 37% and two other companies a total of 13%. Cameco holds a 100% interest in the Rabbit Lake mine, currently Canada’s other uranium producer.

Dahrouge emphasizes, “To me, absolutely the most exciting thing about Patterson Lake is it’s 50 to 60 metres deep. And it’s overlain with sand that you can move without blasting. This is one of the shallowest discoveries in the basin to date. Drilling costs a fraction of other projects. If it turns out to be a deposit, mining costs would be a fraction of other projects too. That’s what makes it so exciting—number one, you have the potential for an absolutely fantastic high-grade deposit. Number two, it’s literally within 50 metres of the surface. And it’s in Saskatchewan, which is a wonderful place to do business.”

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Graphite Digest

April 27th, 2012

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