Skyharbour Resources Ltd. reports that the company’s option partner Orano Canada Inc. has started a planned 3,600 m winter diamond drill program at the Preston Uranium Project. The project is situated in the western Athabasca Basin near NexGen Energy Ltd.’s high-grade Arrow deposit hosted on its Rook-1 property and Fission Uranium Corp.’s Triple R deposit situated within their PLS Project area.
Skyharbour and Clean Commodities signed an Option Agreement with Orano Canada (formerly AREVA Resources Canada Inc.) whereby Orano Canada has an option to obtain up to a 70% working interest in the Preston Uranium Project. Based on the Agreement, Orano Canada will provide cash and exploration program considerations adding up to CAD $8,000,000 in exchange for up to 70% of the project area over a period of six years.
We are excited for the commencement of exploration and drilling programs by Orano Canada at the Preston Project. With a proposed CDN $2,200,000 budget over the current year, we are looking forward to the results that this significant amount of exploration can yield as we work with our strategic partner to further advance the project. Orano Canada has a very knowledgeable technical team with a long history of exploration and mining in the Athabasca Basin, which will help to unlock value at this strategic, district-scale property. Skyharbour continues to execute on its key objectives by adding value to its project base in the Basin through ongoing mineral exploration at its flagship, high-grade Moore Uranium Project while utilizing the prospect generator model to advance its other projects with strategic partners.
Jordan Trimble, President and CEO, Skyharbour.
Highlights of Orano Canada’s 2019 Exploration Programs at Preston Uranium Project:
- Orano Canada planning to conduct CDN $2,200,000 in exploration and diamond drilling programs spanning the next year
- Recently started a diamond drilling program comprising of 11 to 15 drill holes at the FSA and JL targets for a total of approximately 3,600 m
- A ground geophysical program comprising of a Moving Loop Transient Electromagnetic (ML-TEM) survey at the Canoe Lake grid
- Orano Canada may receive up to a 70% interest in the 49,635-hectare Preston project through $8,000,000 of total project consideration spanning six years, together with up to $7,300,000 of exploration work programs and $700,000 of cash payments
- Upon completion, a tripartite joint venture would be formed with 70% as to Orano Canada and 30% as equally split between Skyharbour and Clean Commodities Corp.
Preston Uranium Project Winter 2019 Diamond Drilling Program:
Orano Canada has begun its 2019 winter diamond drilling program comprising of 11 to 15 drill holes for a total of around 3,600 m on the Preston Project. Drilling will test targets established by the 2018 EM surveys on the FSA and JL target grids. The cost estimated for the 2019 exploration and drilling programs is CDN $2,200,000. Skyharbour will announce updates as they become available on the development of this drill program.
Proposed Drilling at JL Target:
As of now, the JL grid has no historical drilling but a field reconnaissance program conducted by Orano Canada personnel in 2017 within the western portion of the grid identified more than a few outcrops comprising of mostly felsic to intermediate gneiss with minor pegmatite and granite. Thorium related radiometric anomalies were spotted in relation with some of the pegmatites. A total of 21 drill targets have been recognized within the JL grid including on seven of the eight discrete basement conductors stipulated by the 2018 EM survey.
Proposed Drilling at FSA Target:
The western extension of conductor FSA established by MaxMin was earlier tested by historical drilling. Drill hole PN15004, a follow up to lost hole PN14009, come upon locally graphitic and sulfide-rich metasediments with a 7.5 m wide graphitic and pyrite bearing shear starting at 179 m downhole. Alteration (chlorite and clay) was observed as moderate to strong inside the shear zone and the drill hole returned a maximum of 1.8 ppm U over 1.0 m from 188.42 m downhole. During the Orano Canada field reconnaissance program in the FSA area in 2017, a uranium-related radiometric anomaly was noticed in an outcrop. Two grab samples from this outcrop returned 47 ppm and 62 ppm U. Furthermore, two conductors were identified on the FSA grid on all three profiles delivering a minimum of six drill targets.
Ground Geophysical Program at Canoe Lake Target:
A ground EM survey is also scheduled within the Canoe Lake area to examine a conductive zone crosscut by NNW trending magnetic lineaments that could possibly be related to major structures. The planned Moving Loop Transient Electromagnetic (ML-TEM) survey will comprise of a line spacing of 500 m and total coverage of 38.7 line km.
Overview of Preston Uranium Project:
The important potential of the Western Athabasca Basin has been emphasized by the discoveries lately made in the area by NexGen Energy Ltd. (Arrow), Fission Uranium Corp. (Triple R) and a joint-venture consisting of Cameco Corporation, Orano Canada Inc. and Purepoint Uranium Group Inc. (Spitfire).
Over $4.7-million in expenditures on the total Preston Uranium Project has been incurred thus far date. This exploration has comprised of ground gravity, ground and airborne electromagnetic surveys, as well as soil, radon, silt, lake sediment, biogeochemistry, and geological mapping surveys, and two exploratory drill programs. More than a few high-priority drill target areas linked with several prospective exploration corridors have been effectively delineated via this methodical, multi-phased exploration initiative, which has concluded in a wide-ranging, proprietary geological database for the project area.
The technical information in this news release has been prepared in compliance with the Canadian regulatory requirements set out in National Instrument 43-101 and reviewed and approved by Richard Kusmirski, P.Geo., M.Sc., Skyharbour’s Head Technical Advisor and a Director, as well as a Qualified Person.
Preston Uranium Project Claims Map:
Preston Uranium Project – 2018/2019 Exploration Program Map: