UVRE poised for boots on the ground with East Canyon drilling
With its $6m listing in the rear view mirror, UVRE now has its sights set firmly on starting maiden diamond drilling at its East Canyon uranium-vanadium project within weeks.
Preparation for the Phase 1 program of up to 50 holes, which will be split evenly between the None Such and Bonanza prospects, is progressing well and on schedule to begin in late July and early August with a local contractor already engaged to manage it.
None Such and Bonanza areas were previously identified by East Canyon’s previous owner as being highly prospective for uranium and vanadium due to the presence of extensive historical workings where visible mineralisation was observed.
With samples taken within and around the historical workings returning assays as high as 0.47% uranium oxide and 9.21% vanadium oxide, while underground chip channel sampling returned up to 1m at 1.27% U3O8 and 4.53% V2O5, UVRE (ASX:UVA) is understandably keen to get to grips with its project.
Its drill program is aimed at testing extensions and the nature of the mineralisation observed in the workings, as well as testing the interpreted mineralised trends at the prospects.
Notably, the relative high density of diamond core holes is designed to establish disequilibrium ratios, which quantify the degree that the emitted gamma radiation from radioactive decay daughter products represents the actual uranium grade.
Samples will be tested on site by hand-held X-ray fluorescence (XRF) detectors to evaluate uranium content as well as scintillometer/geiger counter measurements before being sent off to a certified assay laboratory for chemical analysis.
“We are delighted to hit the ground running so shortly after listing as we ramp up towards the company’s maiden drill program,” managing director Pete Woods said.
“We are very pleased to have the services of an experienced local drilling and exploration team to manage the program on UVRE’s behalf and look forward to works commencing at the East Canyon project shortly.
“This will be the first known modern exploration carried out at the project and the company is fully funded for its activities after recently raising $6m.”
UVRE has been progressing the establishment of a US based technical, exploration and project generation team, which will further assist with on-ground exploration activities and target generation, in conjunction with the Phase 1 drill program.
It has also compiled available data on East Canyon and completed an initial desktop review to further assist its future exploration efforts.
East Canyon comprises 231 contiguous claims covering 18.7km2 in the Dry Valley/East Canyon mining district of southeastern Utah.
This area has been an important source of uranium and vanadium in the US for more than 100 years, with historical production of more than 85 million pounds of uranium at an average grade of more than 0.13% U3O8 and more than 440 million pounds of vanadium at an average grade of 1.25% V2O5.
It also hosts several significant uranium-vanadium operations such as Energy Fuels’ La Sal Complex mines, development projects and White Mesa Mill, the only conventional fully operational and licensed uranium/vanadium mill in the US that just happens to be a short 50km hop away.
While there is currently no relationship or arrangement between UVRE and the White Mesa Mill, the mill has historically accepted third party ore.
This article was developed in collaboration with UVRE, 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.