GTI to pick up the pace on Utah desert uranium exploration
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Special Report: GTI Resources has flagged an accelerated exploration program at its Utah uranium project after successfully consolidating landholding in the commodity-rich region.
GTI Resources (ASX:GTR) this morning announced results from the initial phase of it’s uranium exploration program, post completion of the acquisition and transfer of two State of Utah mineral leases which consolidate its landholding along a 5.5km mineralised trend at its Henry Mountains uranium-vanadium project.
The newly acquired land connects the company’s Rats Nest and Jeffrey projects in the Henry Mountains district of south eastern Utah and exploration has been accelerated now that the leases have been formally transferred. The initial phase of fieldwork was guided by a full review of a significant historical data package carried out during the preceding months.
The company said that information from the data package confirmed the excellent prospectivity of the newly acquired land package, while follow-up work carried out since has also given cause for excitement.
More than 1300m of underground mapping of two historical underground developments has been carried out, and portable X-ray fluorescence (pXRF) screening returned results as high as 19.64% uranium oxide and 6.08% vanadium pentoxide.
GTI executive director Bruce Lane said the company was “excited by the results of recent exploration activity on the newly acquired leases”.
“(We) see real potential in the district for mine redevelopment and high-grade uranium and vanadium ores,” he said.
Lane said the company was in the process of finalising exploration permit applications and expected to have them submitted before the end of the year.
It comes at a good time for the commodity. China’s commitment in October to carbon neutrality by 2060 is expected to increase demand for uranium, while similar political moves in the US and UK have placed nuclear power firmly in the conversation.
Of particular significance was the announcement last week of the bipartisan approval by a US Senate committee to recommend that the US Senate vote to approve the creation of a strategic $1.5 billion uranium reserve to strengthen its nuclear fuel supply chain.
GTI has high hopes for its Henry Mountain projects in Utah and intends to leverage existing underground developments to help it rapidly advance the project.
Beginning in early Q2 2021, proposed exploration activities include geophysical logging of a number of exploration drill holes which would confirm prior exploration activities, and the advancement of a number of core horizontal drill holes to test mineral continuity of open underground workings and distal historical holes drilled from surface.
GTI said these results would allow it to study the distribution and controls of ore-grade mineral material in the area and generate data for a possible mineral resource.
Pending early results, a follow up program would then take place in Q3, and small-scale exploration and sampling activities will also be completed on an ongoing basis.
GTI is also seeking opportunities to expand its US portfolio.
Recent underground mapping work at Henry Mountains focused on two mines which last operated in the late 1970s and show evidence of more modern mining techniques than seen in much of the district.
More than 50 new survey stations were set up to ensure the accuracy of the maps, and remnants of the historical operations suggested that both operated trackless with a random room and pillar mining environment.
Despite having been idle for around 50 years, GTI said both mines were in very good condition and had existing declines for access.
pXRF screenings were taken of the mine ribs, returning encouraging early results.
The two historic mines sit on one of the two newly acquired mining leases.
The news out of Utah is the latest from GTI, which is concurrently pursuing its Niagara gold project in Western Australia’s Eastern Goldfields. Reverse circulation drilling started at that project last week.
This article was developed in collaboration with GTI Resources, a Stockhead advertiser at the time of publishing.
This article does not constitute financial product advice. You should consider obtaining independent advice before making any financial decisions.