Monday 26th August 2019

Resource Clips


Posts tagged ‘Pele Mountain Resources Inc (GEM)’

Athabasca Basin and beyond

September 15th, 2013

Uranium news from Saskatchewan and elsewhere for September 7 to 13, 2013

by Greg Klein

Next Page 1 | 2

Denison updates Waterbury Lake resource, releases Wheeler River assays up to 43.8% U3O8 over 12 metres

Denison Mines TSX:DML confirmed its best-ever hole from the eastside Athabasca Basin Wheeler River project on September 11. Releasing lab assays to back up previously reported radiometric results from downhole probes, the company reported hole WR-525 with 43.8% uranium oxide (U3O8) over 12 metres, starting at 400.5 metres in downhole depth.

With intercepts approximately equal to true thicknesses, some other results include:

  • 20% U3O8 over 8 metres, starting at 407.5 metres

  • 10.9% over 8.5 metres, starting at 404.1 metres

  • 7.3% over 8 metres, starting at 405.5 metres

  • 0.5% over 5 metres, starting at 424 metres

  • 0.4% over 3 metres, starting at 411 metres

  • 0.1% over 3 metres, starting at 412 metres

The above results come from the Phoenix A zone. Apart from lab assays, the company released radiometric readings from probes of three new holes at the same zone:

Hole WR-533

  • 1.5% radiometric equivalent uranium oxide (eU3O8) over 4.5 metres, starting at 407.1 metres in downhole depth

Hole WR-534

  • 10.3% over 3.1 metres, starting at 407.7 metres

Hole WR-535

  • 19% over 2.5 metres, starting at 404.9 metres

  • 1.4% over 1 metre, starting at 408.1 metres

With 23 holes totalling 11,074 metres, Wheeler River’s summer campaign has finished. But while Phoenix A continues to impress, other parts of the project so far haven’t. Of 10 holes sunk in the 489 zone, only one found significant mineralization (0.4% over 3 metres, starting at 411 metres). Five others at the Phoenix North and REA areas also failed to find significant results.

The project has a December 2012 resource using a 0.8% cutoff. Phoenix A shows:

  • an indicated category of 133,500 tonnes averaging 15.8% for 46.5 million pounds U3O8

  • an inferred category of 6,300 tonnes averaging 51.7% for 7.2 million pounds

The Phoenix B deposit shows:

  • an indicated category of 19,000 tonnes averaging 14.1% for 5.9 million pounds

  • an inferred category of 5,300 tonnes averaging 3.5% for 400,000 pounds

The joint venture is held 60% by Denison, 30% by Cameco Corp TSX:CCO and 10% by JCU (Canada) Exploration.

On September 12 Denison unveiled a new resource for the J zone of its Waterbury Lake project. The update, entirely in the indicated category, uses a 0.1% cutoff to show 291,000 tonnes averaging 2% for 12.81 million pounds U3O8. The resource reduces the overall tonnage but increases the grade reported in a December 2012 estimate compiled for Fission Energy prior to its acquisition by Denison.

Assays from 268 holes were used for the estimate. With an east-west strike as long as 700 metres and a width up to 70 metres, the J zone generally shows mineralization at depths of 195 to 230 metres, the company reported. No capping was applied because using “high composite values uncut would be negligible to the overall resource estimate,” Denison added. The crew now has a six-hole campaign following up on a DC-resistivity survey northwest along trend of the zone. Denison has a 60% interest in the project, with the Korea Electric Power Corp (KEPCO) holding the remainder.

Denison also updated other Basin projects. Packrat has geochemical results pending, which will determine whether drilling resumes next year. Geochem results are also pending for South Dufferin, where 10 holes failed to find significant mineralization but did confirm the presence of the Dufferin Lake fault system. Crawford Lake, Moon Lake (held 45% by Uranium One TSX:UUU) and Bachman Lake (with International Enexco TSXV:IEC earning 20%) also have small drill programs underway.

Kivalliq reports geochem, metallurgical results for its Angilak property in Nunavut

Uranium news from Saskatchewan and elsewhere for September 7 to 13, 2013

Currently undergoing a $4.8-million campaign, Kivalliq Energy’s
137,699-hectare Angilak project in southern Nunavut hosts Canada’s
highest-grade uranium deposit outside the Athabasca Basin.

Extensive geochemical sampling has helped Kivalliq Energy TSXV:KIV find new anomalous areas and determine drill targets on its 137,699-hectare Angilak project in Nunavut. Some 1,538 samples brought 387 anomalous uranium soil geochem results along the three-by-12-kilometre Lac 50 trend, as well as the Nine Iron-KU trend 5.5 kilometres south. Some of the Lac 50 anomalies were found at least 600 metres beyond existing drill holes “demonstrating much more work is warranted in these areas,” the company stated on September 9. Anomalies also coincided with three electromagnetic conductor targets located 3.8 kilometres northeast, 1.8 kilometres southeast and one kilometre north of the Lac 50 resource.

Another EM target extending 8.1 kilometres from the Nine Iron zone to the KU zone showed 44 anomalous results.

Two days later Kivalliq announced positive metallurgical results for Lac 50 and J4 zone samples. In a statement accompanying the release, Chuck Edwards, director of metallurgy for the engineering firm AMEC, said: “Optimizing sulphide recovery, plus improvements to alkaline leach kinetics using oxygen as oxidant, could have a positive impact on reducing costs associated with potential treatment options.”

In addition, Kivalliq announced a trial run suggested radiometric sorting might “efficiently identify and segregate uranium-bearing minerals” from Lac 50.

Located 225 kilometres south of Baker Lake, Angilak has a 2013 exploration budget of $4.8 million. With Canada’s highest-grade deposit outside the Athabasca Basin, the project has a January inferred resource estimate using a 0.2% cutoff to show 2.83 million tonnes averaging 0.69% for 43.3 million pounds U3O8. The inferred resource also shows 1.88 million ounces silver, 10.4 million pounds molybdenum and 15.6 million pounds copper. Kivalliq operates the project in partnership with Nunavut Tunngavik Inc.

Alpha/Fission release scintillometer results, extend acquisition letter of intent

Somewhere there must be a considerable backlog of Patterson Lake South core waiting to be assayed. So far this year, 50/50 JV partners Fission Uranium TSXV:FCU and Alpha Minerals TSXV:AMW have mostly released scintillometer readings. A preliminary indication of radioactivity, they measure gamma rays in counts per second, up to an off-scale reading above 9,999 cps. The September 12 batch comes from R780E, the third of four zones along a 1.02-kilometre southwest-northeast trend.

Hole PLS13-082 reached a total depth of 380 metres, finding the basement unconformity at 55.3 metres without striking sandstone. Some results show:

  • <300 to 500 cps over 7.5 metres, starting at 118.5 metres in downhole depth

  • <300 to 820 cps over 3.5 metres, starting at 141 metres

  • <300 to >9,999 cps over 35 metres, starting at 146.5 metres

  • 1,000 to 4,200 cps over 1.5 metres, starting at 237 metres

Hole PLS13-089 encountered no sandstone and hit the basement unconformity at 54.2 metres on its way to a total depth of 393 metres. Some examples show:

  • <300 to 1,800 cps over 5 metres, starting at 142.5 metres

  • <300 to 3,200 cps over 16.5 metres, starting at 150 metres

  • 740 to >9,999 cps over 1.5 metres, starting at 179.5 metres

  • <300 to 6,500 cps over 8 metres, starting at 198.5 metres

True widths were unavailable. Lab assays are pending.

With 25 holes totalling 7,746 metres complete by September 11, the campaign’s $6.95-million, 44-hole, 11,000-metre program is well advanced. Fission acts as project operator.

On September 13 the partners updated Fission’s proposed acquisition of Alpha. They’ve now extended to September 17 “the date by which the obligations set out in the LOI, including the signing of an arrangement agreement, must be completed.”

Zadar finds radioactive boulders in PLS-vicinity PNE project

With Phase I exploration complete on Zadar Ventures’ TSXV:ZAD PNE project, a scintillometer has found boulders measuring 130 to 405 cps. “The anomalous boulders sampled have basement rock lithologies similar to those reported in the early stages” of Alpha/Fission’s PLS, Zadar stated on September 11. The program also included taking boulder chip samples for assays and placing radon gas detector cups.

Phase II calls for additional scintillometer prospecting and boulder sampling, as well as a survey of more than 350 radon cups. The team also plans to locate the 15,292-hectare property’s single historic hole. PNE lies about 11 kilometres northeast of PLS and adjacent to Patterson Lake North, a 50/50 JV between Fission and Azincourt Uranium TSXV:AAZ.

Next Page 1 | 2

Athabasca Basin and beyond

July 28th, 2013

Uranium news from Saskatchewan and elsewhere for July 20 to 26, 2013

by Greg Klein

Next Page 1 | 2

Denison reports best grade/interval result from high-grade Wheeler River

A radiometric probe has found the most impressive result so far from Denison Mines’ TSX:DML Wheeler River project in the eastern Athabasca Basin. Of four holes reported July 24, one showed the project’s highest grade-times-thickness calculation.

Three holes at the Phoenix A deposit showed:

  • 43.2% uranium oxide-equivalent (eU3O8) over 10.3 metres, starting at 401.6 metres in vertical depth
  • 16.4% over 1.7 metres, starting at 403.5 metres
  • 13% over 3.1 metres, starting at 403.7 metres.

Roughly 2.1 kilometres from the Phoenix deposits, one hole at the 489 zone showed:

  • 0.3% over 3.2 metres, starting at 411.1 metres.

Intercepts are approximate true widths. The company explained eU3O8 as “radiometric equivalent uranium oxide calculated from a total gamma downhole probe.” Radiometric probes are not chemical assays.

The Phoenix A drill holes tested for possible extensions of the deposit’s higher-grade domain, defined as approximately 20% U3O8. Using a 0.8% cutoff, the December 2012 resource estimate for Phoenix A showed:

  • an indicated category of 133,500 tonnes averaging 15.8% for 46.5 million pounds U3O8
  • an inferred category of 6,300 tonnes averaging 51.7% for 7.2 million pounds.

With the same 0.8% cutoff, the Phoenix B deposit showed:

  • an indicated category of 19,000 tonnes averaging 14.1% for 5.9 million pounds
  • an inferred category of 5,300 tonnes averaging 3.5% for 400,000 pounds.
Uranium news from Saskatchewan and elsewhere for July 20 to 26, 2013

With continued drilling, Denison hopes to expand
Wheeler River’s high-grade resource.

Combined, Wheeler River’s resource comes to 52.4 million pounds indicated and 7.6 million pounds inferred.

With 15 of 23 holes in three areas now complete, drilling continues. Wheeler is held 60% by project operator Denison, 30% by Cameco Corp TSX:CCO and 10% by JCU (Japan-Canada Uranium) Exploration.

This summer will also see Denison busy at seven other Basin properties: Waterbury Lake (held 40% by the Korea Electric Power Corp), Packrat, South Dufferin, Johnston Lake and Moon Lake (held 45% by Uranium One TSX:UUU, which is expected to be taken private by the Russian state-owned company ARMZ in Q3).

WASP extends VTEM-Plus, advances radiometrics on PLS-area’s largest package

A four-company strategic alliance announced progress on its airborne surveys over the Patterson Lake South-area’s largest land package. Jointly funded by Skyharbour Resources TSXV:SYH, Athabasca Nuclear TSXV:ASC, Lucky Strike Resources TSXV:LKY and Noka Resources TSXV:NX, the Western Athabasca Syndicate Project totals 287,130 hectares, with 275,361 hectares in the vicinity of the near-surface, high-grade PLS discovery of Alpha Minerals TSXV:AMW and Fission Uranium TSXV:FCU.

A VTEM-Plus survey has flown 720 line-kilometres in addition to the original 4,120-line-kilometre survey. The additional coverage consisted of infill and extension of conductive anomalies and structural features identified in preliminary data, the syndicate reported on July 23. Meanwhile Goldak Airborne Surveys is wrapping up a 4,400-line-kilometre radiometric program at 200-metre line spacing to measure radioactivity in outcrops and boulder trains. Goldak compiles the data using a proprietary digital acquisition system.

“We should have complete interpretation done by [geophysicist] Phil Robertshaw in early or mid-August,” Skyharbour president/CEO Jordan Trimble tells ResourceClips.com. “That will delineate the highest-priority targets for fieldwork but we’ve already had boots on the ground doing some preliminary surveying and prospecting. We plan to have a small team back there in early August and that will lead to the full-fledged field program that will commence probably in late August.”

With the four companies earning 25% each, the alliance plans to spend $6 million over two years. “The syndicate is a real advantage to budget,” Trimble points out. “Skyharbour’s obligation is just one-sixth of that. The same with Athabasca Nuclear and then Lucky Strike and Noka pay just one-third each, so it’s not onerous for any one company. It makes the project a lot more viable, especially in these tough markets. And we’re really starting to see the synergies pay off here with the different geologists and their contact base. Their networks are open too.”

Read more about the Western Athabasca Syndicate Project.

VTEM-Plus, radiometric collaboration flies Aldrin’s Triple M

The VTEM-Plus and radiometric surveys also cover PLS-area properties held by Aldrin Resource TSXV:ALN and Forum Uranium TSXV:FDC, a money-saving collaboration announced in May. On July 24 Aldrin also reported the program completed VTEM-Plus infill lines and began radiometrics using 100-metre line spacing over its Triple M property.

Scheduled for August is radon sampling as well as follow-up work on any anomalies found by the radiometrics. The company hopes to start drilling next January to test basement conductors reported in June.

NexGen expands PLS-adjacent Rook 1 drill campaign

NexGen Energy TSXV:NXE has doubled its drill plans for Rook 1, the company announced July 24. With two rigs scheduled to start in mid-August, the campaign now calls for approximately 20 holes totalling 3,000 metres, twice the amount announced in May. Land-based, shallow drilling will test targets identified by airborne VTEM and ground gravity and DC resistivity surveys in the property’s southwestern section, immediately northeast of PLS. NexGen interprets a conductor to extend from the Fission/Alpha discovery into southwestern Rook 1.

In June NexGen began a 4,000-metre campaign on its Radio project, part of a 70% earn-in on the property adjacent to Rio Tinto’s Roughrider deposit.

Fission, Azincourt announce summer program for Patterson Lake North

Immediately north of Patterson Lake South lies, of course, Patterson Lake North. On July 22 joint venture partners Fission and Azincourt Uranium TSXV:AAZ announced a $530,000 summer program to start in early August.

Following up on “conductive areas of interest” found by a previous survey, an airborne VTEM max will fly 303 line-kilometres at 400-metre line spacing over the approximately 25,000-hectare property’s northern half. That will be followed by a single-line 6.3-line-kilometre ground magnetotellurics survey. The property’s southern portion will get a ground TDEM survey. The partners hope results will help identify targets for a drill campaign anticipated for next winter.

The companies say PLN sits within a large gravity low structural corridor that incorporates PLS, the former Cluff Lake mine and the Shea Creek deposits of UEX Corp TSX:UEX and AREVA Resources Canada. Additionally PLN shows EM anomalies that might be interpreted as an extension of the Saskatoon Lake EM conductor associated with Shea Creek.

Azincourt may earn 50% of PLN by paying $4.75 million in cash or shares and spending $12 million by April 2017. Fission gets a 2% NSR and acts as project operator. Fission has already spent about $4.7 million exploring PLN. Earlier this month the company applied for a patent on its “System and Method for Aerial Surveying or Mapping of Radioactive Deposits.”

Next Page 1 | 2

Athabasca Basin and beyond

July 6th, 2013

Uranium news from Saskatchewan and elsewhere for June 29 to July 5, 2013

by Greg Klein

Next Page 1 | 2

Conductive trend links Forum’s Clearwater with Patterson Lake South

A conductive trend hosting the Patterson Lake South discovery extends into Forum Uranium’s TSXV:FDC adjacent Clearwater property, the company announced July 3. Preliminary results from an electromagnetic and magnetic survey link the trend with the high-grade, near-surface uranium found by Alpha Minerals TSXV:AMW and Fission Uranium TSXV:FCU over the last several months.

Along with three other companies, Forum took part in a jointly funded VTEM-plus time domain survey to fly contiguous PLS-area properties held by Forum, Aldrin Resource TSXV:ALN, Skyharbour Resources TSXV:SYH and Athabasca Nuclear TSXV:ASC. A radiometric survey will follow later this summer to search for radioactive boulder trains.

Uranium news from Saskatchewan and elsewhere for June 29 to July 5, 2013

Core trays hold Patterson Lake South samples with off-scale gamma ray readings over 9,999 counts per second. Fission and Alpha have now announced details of their $6.95-million PLS campaign.

Clearwater sits adjacent to the southwest of Patterson Lake South and also borders properties that would form part of the Western Athabasca Syndicate. Under a memorandum of understanding announced June 24, Skyharbour and Athabasca Nuclear TSXV:ASC plan to combine their Athabasca Basin properties into a single 287,130-hectare package. The two companies, plus Lucky Strike Resources TSXV:LKY and Noka Resources TSXV:NX, would then fund $6 million of exploration over two years. Except for the 11,769-hectare Wheeler project on the Basin’s east side, the entire package lies within the PLS area.

As a result of its find, Forum increased the resolution of its airborne survey. The company plans to follow up with radon surveys, ground geophysics and detailed prospecting.

Fission, Alpha unveil $6.95-million Patterson Lake South plan

With barges and drills onsite and permits in hand, the Alpha/Fission joint venture released details about their imminent $6.95-million, 44-hole, 11,000-metre PLS program on July 2. The 50/50 partners plan 40 holes focusing on three zones along an 850-metre trend, while an additional four holes will test additional targets along strike. Equipment will include a reverse circulation drill for overburden, two diamond drills for bedrock and three barges to keep them afloat. Two of the three zones are underwater with lake depths of about four to six metres.

All holes will get a radiometric probe. Ground geophysics and environmental baseline studies will also take place.

So far over 90% of drill targets have found mineralization, the companies stated. The 31,000-hectare project’s three zones are separated by gaps of 300 metres and 360 metres that have yet to be drilled. All three zones remain open in all directions, the partners added.

Fission serves as project operator until April 2014, when it swaps roles with Alpha.

Japanese utilities to apply for nuclear reactor permits

Japan’s Nuclear Regulation Authority will begin receiving applications on July 8 for reactor re-starts, Bloomberg reported. The news agency’s July 3 dispatch said 48 reactors, providing over a quarter of the country’s electricity, had been shut down following the 2011 earthquakes and Fukushima accident. Since then Japanese utilities have been “bleeding cash from importing extra oil and gas for backup generation.”

Speaking to ResourceClips.com on July 5, Dundee Capital Markets senior analyst David Talbot said he’s heard three agencies will be reviewing the applications in a process that might take as long as six months. “It’s not whether their reactors are coming back online because I think everybody realizes they are,” he said. “It’s how many reactors are going to come online and how quickly…. How many of these reactors get up and running by the end of the year is probably one of the biggest questions. Once they start coming back online, I think that’s going to give a psychological push to the entire sector.” As a result the price of uranium, now below $40 a pound, could get the boost needed to spur mine development, Talbot explained.

Japan, Uzbekistan to co-operate on uranium exploration

Meanwhile, Japan expects to sign a uranium exploration agreement with Uzbekistan, the Kyodo news service reported on July 6. Two state-owned companies, the Japan Oil, Gas and Metals National Corp and Uzbekistan’s Navoi Mining and Metallurgical Combinat, will meet July 8 to ink a five-year plan to assess uranium deposits in Uzbekistan. Japan depends completely on imported uranium.

Next Page 1 | 2

Athabasca Basin and beyond

June 29th, 2013

Uranium news from Saskatchewan and elsewhere for June 22 to 28, 2013

by Greg Klein

Next Page 1 | 2

Fission/Alpha strike gold at PLS, report geochem results

Patterson Lake South’s potential might go beyond the stuff of yellowcake to include yellow metal. After releasing all those high-grade, near-surface uranium assays, Alpha Minerals TSXV:AMW and Fission Uranium TSXV:FCU finally reported high-grade, near-surface gold on June 24. Where it was found, the gold frequently correlated with high-grade uranium, although the reverse wasn’t always true. But they did find gold in all three zones.

Some highlights include:

Zone R390E

  • 1.58 grams per tonne gold over 63.5 metres, starting at 82 metres in downhole depth
  • (including 8.8 g/t over 2.5 metres)
  • (and including 35.6 g/t over 0.5 metres)
  • 1.02 g/t over 53 metres, starting at 95 metres
  • (including 2.6 g/t over 10.5 metres).
Uranium news from Saskatchewan and elsewhere

Zone R00E

  • 1.9 g/t over 20.5 metres, starting at 65.5 metres.

Zone R780E

  • 1.71 g/t over 7 metres, starting at 144 metres
  • (including 4.48 g/t over 2.5 metres).

True thicknesses weren’t available. The 50/50 joint venture partners pointed to other uranium-gold occurrences in the western Athabasca Basin including Cluff Lake, which produced over 16,000 gold ounces in 1987, and the high gold grades reported from the UEX Corp TSX:UEX/AREVA Resources Canada Shea Creek JV. But Fission and Alpha cautioned that Athabasca gold typically occurs irregularly, making extraction viable only with a mineable uranium deposit.

The companies also reported that, unlike some Basin deposits, PLS has shown low arsenic values. High arsenic requires more costly processing and disposal, the partners stated.

Additionally, geochemical work showed strongly anomalous boron related to the hydrothermal alteration in and around uranium mineralization. “The extent of the alteration halo around the mineralization can enlarge the target area and be used as a guide to focus on an area in a suitable geophysical setting,” the companies stated.

Project operator Fission plans to resume drilling in July, part of a program jointly budgeted at $6.95 million.

$6-million program for PLS-area’s largest package proposed by Skyharbour, Athabasca Nuclear, Lucky Strike, Noka

The plan calls for four companies funding exploration on the Patterson Lake South area’s largest land package. Under a memorandum of understanding announced June 24, Skyharbour Resources TSXV:SYH and Athabasca Nuclear TSXV:ASC would combine their Basin properties into one 287,130-hectare bundle, with Lucky Strike Resources TSXV:LKY and Noka Resources TSXV:NX also contributing to a two-year, $6-million campaign.

The properties include Athabasca Nuclear’s Preston Lake, 26 kilometres south of the PLS discovery, and Skyharbour’s adjacent West Patterson, South Patterson and Draco properties. Also included are Skyharbour’s nearby North Patterson, RY and South Basin properties, and its 11,769-hectare Wheeler claims in the eastern Basin.

Noka and Lucky Strike already hold a 25% earn-in each on Skyharbour’s properties. The MOU would give Athabasca Nuclear a 25% option on the properties as well. The other three companies would each get 25% options on Athabasca Nuclear’s 125,375-hectare Preston Lake. Lucky Strike and Noka would each fund $1 million of exploration per year for two years, while Skyharbour and Athabasca Nuclear would each put up $500,00 a year.

Cash and shares would change hands as Noka and Lucky Strike each pay $100,000 and issue $100,000 in shares to each of Skyharbour and Athabasca Nuclear. The latter two would issue each other shares worth $100,000.

Finally, the four companies would form a JV. They hope to sign a definitive agreement by June 30.

Speaking to ResourceClips.com, Skyharbour president/CEO Jordan Trimble emphasized that the plan minimizes his company’s risk and future equity dilution. “We decided this approach made the most sense from both an exploration standpoint and a financial standpoint,” he said. “This will also create value-added synergies that will further improve our chances of raising money and making a new discovery.”

Already underway at the PLS-area properties is an airborne VTEM-plus time domain survey, to be followed by radiometrics later this summer. Another co-operative effort, the surveys are jointly funded by Skyharbour, Athabasca Nuclear, Aldrin Resource TSXV:ALN and Forum Uranium TSXV:FDC to explore their contiguous claims.

Plans call for further exploration by the newly announced strategic alliance, with operator Athabasca Nuclear consulting with the other geological teams as well as Alpha’s 43-101 technical report for PLS. “They’ve really written the book on how to discover deposits in this specific area,” Trimble said.

Read more about the four-way strategic alliance.

International Enexco JVs with Denison on Bachman Lake

A JV announced June 25 brings together International Enexco TSXV:IEC and Denison Mines TSX:DML on the Bachman Lake project, about four kilometres from Cameco Corp’s TSX:CCO proposed Millennium mine in the southeastern Basin. Enexco may earn 20% of Bachman by funding $500,000 of exploration by year-end. Denison remains project operator. The 11,419-hectare property is scheduled for a helicopter-supported 1,900-metre drill program beginning in August to focus on three conductors identified by geophysics and historic drilling.

Twenty kilometres northeast Enexco holds a 30% interest in the 3,407-hectare Mann Lake project, a JV with operator Cameco (52.5%) and AREVA Resources Canada (17.5%). In Nevada, Enexco has a feasibility study underway on its Contact copper project.

Kivalliq releases assays from its Angilak project in Nunavut

Exploration drilling on two new zones at Kivalliq Energy’s TSXV:KIV Angilak project produced a batch of assays released June 27. Some highlights from the Nunavut property show:

ML zone

  • 0.46% uranium oxide (U3O8), 0.48% copper, 0.15% molybdenum and 53.6 g/t silver over 4.3 metres, starting at 90.2 metres in downhole depth
  • (including 1.42% U3O8, 0.64% copper, 0.4% molybdenum and 139 g/t silver over 1.2 metres).

J1 zone

  • 0.06% U3O8, 0.08% copper, 0.01% molybdenum and 8.3 g/t silver over 1.3 metres, starting at 38 metres
  • 1.06% U3O8, 0.28% copper, 0.03% molybdenum and 3.6 g/t silver over 0.3 metres, starting at 60.1 metres
  • 0.56% U3O8, 0.05% copper, 0.28% molybdenum and 15.5 g/t silver over 0.6 metres, starting at 77.2 metres
  • (including 1.31% U3O8, 0.09% copper, 0.66% molybdenum and 33.9 g/t silver over 0.3 metres)
  • 0.15% U3O8, 0.05% copper, 0.07% molybdenum and 9.2 g/t silver over 0.2 metres, starting at 114.8 metres.

Intercepts are estimated true widths. Kivalliq president Jeff Ward said the two zones show geological similarity and proximity to current deposits on the project’s Lac 50 trend, which has a March 2013 inferred resource of 2.83 million tonnes averaging 0.69% U3O8, Canada’s highest-grade uranium resource outside the Athabasca Basin.

Kivalliq operates the 138,000-hectare project, 225 kilometres south of Baker Lake, in partnership with Nunavut Tunngavik Inc. Drilling resumes in July.

Macusani releases assays from Peru, says resource updates are imminent

In southeastern Peru, Macusani Yellowcake TSXV:YEL announced drill results from the Chilcuno Chico anomaly on its Kihitian property. Some highlights from the June 26 release include:

  • 0.121% U3O8 over 17 metres, starting at 220 metres in downhole depth
  • (including 0.346% over 4 metres)
  • 0.172% over 4 metres, starting at 103 metres
  • 0.032% over 41 metres, starting at 248 metres
  • (including 0.308% over 3 metres)
  • 0.056% over 16 metres, starting at 35 metres
  • 0.059% over 9 metres, starting at 232 metres
  • (including 0.163% over 2 metres).

True widths weren’t available. With 45,000 metres since 2011, drilling has delineated an area about 1,050 metres by 1,100 metres, where the Manto B zone remains open in all directions. Macusani believes the project’s Quebrada Blanca anomaly forms part of the same mineralized sequence as Manto B.

The company has two drills turning at Chilcuno Chico and two more at its Tupuramani project, also on the Macusani Plateau. Resource updates for Colibri 2 and 3/Tupuramani and for Chilcuno Chico/Quebrada Blanca are expected within days.

Read more about exploration and mining in Peru.

Next Page 1 | 2

Athabasca Basin and beyond

June 15th, 2013

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

by Greg Klein

Next Page 1 | 2

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.

Next Page 1 | 2