Thursday 18th July 2019

Resource Clips


Posts tagged ‘Zadar Ventures Ltd (ZAD)’

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

Athabasca Basin and beyond

June 1st, 2013

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

by Greg Klein

Next Page 1 | 2

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.

Next Page 1 | 2

Athabasca Basin updated

May 18th, 2013

A review of Saskatchewan uranium activity from May 11 to 17, 2013

by Greg Klein

Next Page 1 | 2

More high-grade, near-surface results from Fission/Alpha’s Patterson Lake South

The best assay yet from Patterson Lake South’s R00E zone hit the news on May 16. That’s when the Fission Uranium TSXV:FCU and Alpha Minerals TSXV:AMW joint venture reported nine more holes from last winter’s 46-hole program. Some highlights include:

  • 4.8% U3O8 over 22 metres, starting at 67.5 metres in downhole depth
  • (including 20.73% over 4 metres)
  • 3.56% over 18 metres, starting at 75.5 metres
  • (including 11.95% over 4.5 metres)
  • 1.93% over 18.5 metres, starting at 64.5 metres
  • (including 8.04% over 2.5 metres)
  • 0.87% over 10.5 metres, starting at 62 metres
  • (including 2.01% over 3.5 metres)
  • 0.23% over 21 metres, starting at 64 metres.

True widths weren’t available. Further assays are pending.

The shallowest of the project’s three discovery zones, R00E shows continuous mineralization for 120 metres of strike and remains open in all directions. The 50-50 partners consider it a priority for next season’s drilling on the property that caused so much activity in and around the Athabasca Basin’s southwestern rim.

Noka, Lucky Strike earn-ins finance Skyharbour exploration in PLS region

Two option agreements have Skyharbour Resources TSXV:SYH financed to explore one of the PLS region’s largest land packages. The company granted Lucky Strike Resources TSXV:LKY and Noka Resources TSXV:NX each a 25% earn-in on seven properties totalling 161,755 hectares. In deals announced May 14 and 16 respectively, each company pays Skyharbour $100,000 and funds $500,000 of exploration a year over two years. Noka issues Skyharbour 640,000 shares, while Lucky Strike issues the optionor two million shares. Skyharbour remains project operator and retains a 2% NSR on approximately 46,000 hectares the company staked directly while a vendor holds a 2% NSR on the rest of the package.

We had our foot to the pedal to do these deals with Noka and Lucky Strike so we can get to work without having to go back to the market.—Jordan Trimble, manager of corporate development and communications for
Skyharbour Resources

Events have moved quickly since March, when the company announced its entry into the region. “Now that we’ve brought in these two partners we’ve recuperated the $200,000 all-in costs in the initial outlay, we have a 10% equity position in both companies and their work commitment is half a million each for a total of $1 million a year for two years,” says Jordan Trimble, Skyharbour’s manager of corporate development and communications. The seven properties involved in the agreements include Wheeler, on the Basin’s eastern flank.

But exploration will focus on the PLS area, starting with a joint airborne survey that will fly properties held by Skyharbour and at least three other companies. “Given that we have such a large land package, the most effective way to do the geophysics is to put together a team to share expenses,” Trimble says.

He expects the survey to take two or three weeks, followed by a few weeks of interpretation and a summer of fieldwork. “You can work there until October and then winter is the best time to drill.”

He sees other advantages too. “We’ll be using the same methodology that Alpha and Fission employed. They spent the last four or five years refining the exploration methodology in this area. It’s unique because it’s outside the Basin. If you read their technical report, they have a very refined process and specific geophysical targets that they look for in conjunction with radon anomalies and boulder fields, etc. Given that we don’t have to re-invent the wheel, we’re hoping to have drill targets by the end of the year.”

He adds, “We had our foot to the pedal to do these deals with Noka and Lucky Strike so we can get to work without having to go back to the market.”

Alpha’s PLS discovery team looks north

While Fission toils as PLS project operator, the Alpha team has turned its attention farther north. Along with JV partner Acme Resources TSXV:ARI, Alpha’s studying reports from previous operators on their Skull Lake claim adjacent to the former Cluff Lake mine, which gave up 60 million pounds of uranium by 2005.

The data shows four radon anomalies on the 2,416-hectare property, one over two kilometres long and in the direction of glacial drift from three historic holes. Scintillometer readings from one hole found gamma ray particles percolating as high as 900 counts per second.

Plans for summer include re-sampling the anomalies and searching for radioactive rocks and debris from a potential up-ice source. Alpha holds an 80% interest in the JV.

Next Page 1 | 2

Athabasca Basin updated

May 11th, 2013

A review of Saskatchewan uranium activity from April 27 to May 10, 2013

by Greg Klein

Next Page 1 | 2

Fission/Alpha conduct radon survey at Patterson Lake South

What? Two weeks without assays from Patterson Lake South? No scintillometer readings either? Taking a break from reporting drill results, Fission Uranium TSXV:FCU and Alpha Minerals TSXV:AMW instead revealed a survey showing “the strongest radon-in-water anomaly to date,” the companies stated on May 6. That result was 13.3 pCi/L, found about 170 metres northeast along strike of the project’s R780E zone.

By the way, pCi/L stands for “picocuries per litre.” But you knew that, didn’t you? Regardless, all those picolitres per whatever suggest good news for a project that based its initial drill targets on these measurements of radon gas, which is released by radioactivity. Those targets found two of three discovery zones featuring the high-grade, near-surface assays that sparked the acquisition rush around the southwestern rim of Saskatchewan’s Athabasca Basin.

Overall the survey found six radon anomalies, in addition to the original five, “all associated with known conductors and offsetting structures.” One anomaly was found as far as 1,500 metres along strike of R780E. The 50-50 joint venture partners now plan summer drilling from barges on the lake and further radon surveys next winter.

Forum, NexGen release NW Athabasca assays

A JV within a JV, Forum Uranium TSXV:FDC and NexGen Energy TSXV:NXE reported assays on May 9 for their Northwest Athabasca project. Highlights from Zone A show:

  • 0.14% U3O8 over 3 metres, starting at 80.5 metres
  • 1.34% over 3 metres, starting at 88.5 metres
  • (including 1.86% over 1.5 metres)
  • (which includes 2.48% over 0.5 metres).

True widths weren’t available.

A result from the Barney zone showed:

  • 2.32% U3O8 over 0.5 metres, starting at 169 metres.

Still pending are assays for a 30-metre interval of uranium mineralization at the project’s Otis West zone, the partners stated. Zone A lies on the north side of the Maurice Bay deposit, which has an historic, non-43-101 resource of 1.5 million pounds uranium averaging 0.6% U3O8.

Forum and NexGen may earn 30% each of the project, which would leave Cameco Corp TSX:CCO a 27.5% interest in its JV with AREVA Resources, which holds the remaining 12.5%. Forum acts as project operator. NexGen made its Venture debut on April 23.

Yellowjacket offers $600,000 private placement, plans airborne survey

Saskatchewan uranium activity April 27 to May 10, 2013

Having announced a $600,000 offering on April 30, Yellowjacket Resources TSXV:YJK followed up on May 10 with plans to begin flying its claims in the Patterson Lake South vicinity later this month. “The airborne survey will cover approximately 2,910 line-kilometres using VTEM-plus, EM and magnetometer arrays, with an additional 1,700 line-kilometres of radiometric sensor coverage,” the company stated. Results are expected in late July.

The private placement would issue up to 5 million units at $0.12, with each unit consisting of one share and one-half share warrant. Each whole warrant will be exercisable for a share at $0.20 for 18 months. If the shares trade at or above a volume-weighted average of $0.30 for more than 10 consecutive trading days, any unexercised warrants will expire 30 days after the company issues written notice.

Yellowjacket will use the proceeds for its Saskatchewan uranium projects and general working capital. With over 158,000 hectares, the company says it’s the largest claim holder in the Patterson Lake area.

Zadar acquisition approved

Zadar Ventures’ TSXV:ZAD 100% option on the Bull Run project cleared TSXV approval, the company reported on May 10. First announced April 17, the 9,185-hectare acquisition consists of three blocks in the southwestern Basin. In return Zadar pays $265,000 and issues 550,000 shares over six years, as well as spending $50,000 by July 2015 and $100,000 by July 2016.

Last month the company picked up the 2,729-hectare Upper Poulton Lake property adjoining the Richmond Lake project, part of the former Fission Energy portfolio acquired by Denison Mines TSX:DML in April. The same month Zadar announced completion of its 60% earn-in on the 17,300-hectare Whiskey Gap uranium project in southwestern Alberta.

Athabasca Uranium expands

Athabasca Uranium’s TSXV:UAX eastside Basin portfolio grew by 10,157 hectares with the Fisher River option announced May 7. Three kilometres north of the company’s Keefe Lake project, it’s contiguous with the southern part of UAX’s McCarthy Lake project and some Denison claims.

The property’s Fisher River zone features “conductive targets near or at the unconformity and associated with faulting” which the company stated “are typically the mainstay of uranium exploration” in the Basin.

Additionally the zone “appears to be crosscut by a series of northwest lineaments, which is significant as secondary faulting greatly improves a target’s quality—deposits such as Shea Creek and McArthur River are unequivocally associated with cross-faulting. Unconformity depths at Fisher are shallow, estimated to be between 125 to 170 metres,” the company added.

The vendor gets $10,000 and 3 million shares up front and another $500,000 by the fourth anniversary, along with a 1% NSR. Athabasca Uranium may buy back half the NSR for $1 million.

The company also announced it’s reviewing a recently completed model of its Keefe Lake project by the University of Saskatchewan geophysical team prior to determining the Phase 3 drill program. Athabasca Uranium holds over 70,000 hectares in the eastern Basin.

Uravan to fly Stewardson Lake, review Halliday Lake

Uravan Minerals TSXV:UVN reported on May 7 news from its Stewardson Lake and Halliday Lake projects, both under option to Cameco. Stewardson, in the south-central Basin, will get a heli-borne EM survey over 779 line-kilometres with 500-metre spacing in June. A ground EM survey will follow, along with geochemical sampling on the 21,349-hectare property. The company is now interpreting ground geophysics undertaken last March on the 2,169-hectare Halliday project in the eastern Basin.

While Uravan acts as project operator, Cameco has an option to earn up to 70% of the two projects by funding a total of $22 million.

Next Page 1 | 2

Athabasca Basin report

April 27th, 2013

Who’s doing what in the super-charged Saskatchewan uranium play

by Greg Klein

Next Page 1 | 2

Denison gets Fission Energy, spinco Fission Uranium gets Patterson Lake South

It’s a done deal, both companies announced April 26. Denison Mines TSX:DML closed its acquisition of Fission Energy TSXV:FIS. The latter company stops trading at the close of April 29 but a new outfit, Fission Uranium Corp TSXV:FCU, is expected to begin trading on May 1. (Update: Fission Uranium Corp TSXV:FCU began trading on April 30, 2013.) Fission Uranium will retain the Fission Energy team and their most celebrated asset, a 50% interest in Patterson Lake South.

For each Fission Energy share, holders get 0.355 of a Denison share, a full Fission Uranium share and, for good measure, one ten-thousandth of a penny. The new company also gets about $17 million from Denison, a handy sum to continue its share of PLS drilling while shopping for other properties.

The acquisition went much as planned except for a late decision to change the new company’s stock ticker to FCU. It was originally registered as FUC.

Read more about the Denison/Fission acquisition here.

Patterson Lake South rolls out the results

Patterson Lake South, meanwhile, continues to shock and awe the market with near-surface results showing off-scale scintillometer readings and high-grade assays about every week—at least.

Athabasca Basin report

Just a couple of examples: An April 22 announcement reported assays of 6.57% U3O8 over 53 metres, including 29.26% over 10.5 metres. The intercept started at a downhole depth of 95 metres. Only two days later came assays of 6.26% over 49.5 metres, including 35% over 6 metres, starting at 66 metres in downhole depth.

A 50/50 joint venture between Fission Energy and Alpha Minerals TSXV:AMW, the PLS discovery sparked the current staking rush around the Athabasca Basin’s southwestern rim. Alpha filed an NI 43-101 technical report for the property on April 14.

Read more about the Patterson Lake South discovery here and here.

Read more about the Athabasca Basin staking rush here.

Alpha private placement closes at $12.28 million

While Fission Uranium starts off with about $17 million from Denison, its JV partner-to-be, Alpha Minerals, has just picked up $12.28 million. On April 25 the company announced completion of 1.2 million flow-through shares at $4.40 each and 1.75 million units at $4. Each unit consists of one non-flow-through share and half of a warrant. Each whole warrant will be exercisable at $5 for 24 months.

The private placement was originally offered up to $7.28 million, but was increased by $5 million on April 9.

NexGen now on the TSXV

Its reverse takeover with Clermont Capital complete, NexGen Energy Ltd TSXV:NXE made its Venture debut on April 23. NexGen interprets its flagship Radio property to be on the same structural trend as Rio Tinto’s Roughrider deposit and Denison’s Waterbury Lake J-zone. NexGen holds an option to acquire an initial 70%, then the remaining 30% subject to a 2% NSR.

Another NexGen standout is Rook 1, immediately northeast of Patterson Lake South.

Under a JV within a JV, NexGen and Forum Uranium TSXV:FDC have an option to earn 30% each of the Northwest Athabasca project, currently held 87.5% by Cameco Corp TSX:CCO and 12.5% by AREVA Resources. On April 10 project operator Forum announced completion of a 3,500-metre program that hit uranium mineralization in eight of 17 holes.

Last November NexGen picked up 10 Canadian uranium properties from Mega Uranium TSXV:MGA. On April 22 Mega acquired an approximately 25.2% interest in NexGen, which currently has about $6 million on hand.

Read more about NexGen here and here.

As for Waterbury and the J-zone …

In the eastside Basin neighbourhood of Radio and Roughrider, Waterbury Lake is now held 60% by Denison, a result of its Fission Energy acquisition. A consortium headed by the Korean power utility Kepco holds the remaining 40%.

Last winter Fission Energy sunk 68 holes totalling over 21,000 metres to define and expand the project’s J-zone. Scintillometer results announced April 5 showed mineralization in 35 holes. Assays are pending for this final stage of a three-year, $30-million campaign.

Forum to fly Clearwater

In addition to its NexGen collaboration, Forum plans an airborne magnetic and electromagnetic survey over its 100%-held, 9,910-hectare Clearwater property immediately southwest of Patterson Lake South. Funding comes from a $500,000 private placement that closed April 23.

Denison drills turn Wheeler River

On the Basin’s east side, winter drilling at Denison’s 60% Wheeler River project completed 14,577 metres in 27 holes. On April 24 the company announced it had extended the new 489 zone along strike by 65 metres. The zone lies 2.1 kilometres from the project’s Phoenix deposits, which Denison calls “the most significant new uranium discovery in the Athabasca Basin in many years.”

Denison acts as project operator for partners Cameco, which holds a 30% interest, and JCU (Japan-Canada Uranium) Exploration, which holds 10%.

Lakeland stakes more land

Now a “pure play uranium exploration company focused on the Athabasca Basin,” Lakeland Resources TSXV:LK announced on April 25 it had staked three more properties. The Small Lake, Hawkrock Rapids and Circle Lake properties total 54,745 hectares in the northern and northeastern Basin.

The news followed an April 2 announcement that Lakeland staked two other northern Basin properties, the 9,645-hectare Otherside and 35,429-hectare Riou Lake. All five properties, totalling nearly 100,000 hectares, were chosen on the basis of previous work by former operators. Lakeland intends to study historic data prior to planning a work program.

The company has also signed a non-binding letter of intent for eight other Basin properties totalling about 190,000 hectares.

Next Page 1 | 2

Week in review

April 12th, 2013

A mining and exploration retrospect for April 6 to 12, 2013

by Greg Klein

Next Page 1 | 2

Projects go under, under new Ontario law

“We’re not working in Ontario any longer and, yes, that’s because of these regulations.” Friday’s Toronto Star quoted Wally Rayner, VP of exploration for Mineral Mountain Resources TSXV:MMV, on the provincial Mining Act amendments that took full effect April 1.

Gone is the free entry system. In its place are requirements that companies and individual prospectors file plans with the government for even the earliest-stage work. That’s followed by a minimum 30-day period for public comments. Prospectors and explorers are now specifically required to consult and accommodate aboriginals. “Many find the regulations too onerous for an industry already in dire financial straits,” the Star reported.

A mining and exploration retrospect

Last month, even before the new regs took hold, Solid Gold Resources TSXV:SLD was denied an exploration permit in what the company said “appears to be a politically motivated abuse of power and indicates the unfair political interference that permeates the new exploration regime.” Now trading for a penny, the company has had uneasy relations with a Timmins-region native band.

Last February International Millennium Mining TSXV:IMI backed out of an option on its Hope Lake property, saying “the constraints of Ontario’s modernized Mining Act provided incentive for ending the agreement.”

Mineral Mountain’s Rayner also told the Star that delays jeopardize spending deadlines mandated by flow-through shares. “If the exploration is held up because of consultations or permits, then this whole financing system falls apart,” he said.

The reporter added, “The Ontario Bar Association echoed that concern in a submission to the ministry last year.”

The new act presents problems for natives too. Shawn Batise, executive director of the Wabun Tribal Council, told the Star his group has been overwhelmed with requests for consultation. “Today we got 12 requests, eight yesterday, six the day before, 20 last week…”

As for Quebec …

Over 10,000 people signed a petition expressing concern about possible changes to the province’s royalties structure, the Quebec Mining Association announced on Tuesday. Following a round of talks with industry reps, the Parti Quebecois government now ponders a 5% tax on the gross value of annual mine production and a 30% royalty on yet-to-be-defined “super profits.”

“Quebec has already the highest royalties and corporate tax rates among all the main mineral-producing provinces in Canada,” the QMA stated.

QMA president/CEO Josée Méthot added, “The damage caused to the Quebec economy could be far greater than the benefits derived from an increase in royalties.”

But in Saskatchewan …

One provincial government has actually cut royalties. Saskatchewan’s new system re-evaluates uranium mining costs in a manner that will slash taxes by about $15 million a year, the Saskatoon StarPhoenix reported on Tuesday. Premier Brad Wall discussed the revamped royalties at the offices of Cameco Corp TSX:CCO, where he joined federal politicians to announce a uranium trade deal with India. Canada had banned uranium exports to the country in 1974, after it used a Canadian-made reactor to create plutonium for a nuclear bomb.

Following a recent and similar deal with China, the India agreement “will mean literally billions of dollars worth of sales of Saskatchewan uranium into these two markets,” the StarPhoenix quoted Wall.

Next Page 1 | 2