Skyharbour option partner Orano Canada commences winter diamond drill program at Preston Uranium
Skyharbour Resources Ltd. (TSX-V:SYH) (OTCQB:SYHBF) (Frankfurt:SC1P) (the “Company”) is pleased to announce that the Company’s option partner Orano Canada Inc. (“Orano Canada”) has commenced a planned 3,600 metre winter diamond drill program at the Preston Uranium Project. The project is located 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 located within their PLS Project area.
Skyharbour and Clean Commodities entered into an Option Agreement (the “Agreement”) with Orano Canada (previously AREVA Resources Canada Inc.) whereby Orano Canada has an option to acquire up to a 70% working interest in the Preston Uranium Project. Under the Agreement, Orano Canada will contribute cash and exploration program considerations totaling up to CAD $8,000,000 in exchange for up to 70% of the project area over six years.
Skyharbour’s President and CEO, Jordan Trimble, commented: “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.”
Highlights of Orano Canada’s 2019 Exploration Programs at Preston Uranium Project:
- Orano Canada planning to carry out CDN $2,200,000 in exploration and diamond drilling programs over the next year
- Recently commenced a diamond drilling program consisting of 11 to 15 drill holes at the JL and FSA targets for a total of approximately 3,600 metres
- A ground geophysical program consisting of a Moving Loop Transient Electromagnetic (ML-TEM) survey at the Canoe Lake grid
- Orano Canada may earn up to a 70% interest in the 49,635-hectare Preston project through $8,000,000 of total project consideration over six years, including up to $7,300,000 of exploration work programs and $700,000 of cash payments
- If carried to completion, a tripartite joint venture would be formed is 70% as to Orano Canada and 30% as equally divided between Skyharbour and Clean Commodities Corp.
Preston Uranium Project Winter 2019 Diamond Drilling Program:
Orano Canada has commenced its 2019 winter diamond drilling program consisting of 11 to 15 drill holes for a total of approximately 3,600 metres on the Preston Project. Drilling will test targets defined by the 2018 EM surveys on the JL and FSA target grids. The estimated cost of the 2019 exploration and drilling programs is CDN $2,200,000. Skyharbour will provide updates as they become available on the progress of this drill program.
Proposed Drilling at JL Target:
The JL grid has no historical drilling yet a field reconnaissance program carried out by Orano Canada personnel in 2017 within the western portion of the grid identified several outcrops consisting largely of felsic to intermediate gneiss with minor granite and pegmatite. Thorium related radiometric anomalies were detected in association with some of the pegmatites. A total of 21 drill targets have been identified within the JL grid including on seven of the eight discrete basement conductors defined by the 2018 EM survey.
Proposed Drilling at FSA Target:
The western extension of conductor FSA defined by MaxMin was previously tested by historical drilling. Drill hole PN15004, a follow up to lost hole PN14009, encountered locally graphitic and sulphide-rich metasediments with a 7.5m wide graphitic and pyrite bearing shear beginning at 179m downhole. Alteration (clay and chlorite) was noted as moderate to strong within the shear zone and the drill hole returned a maximum of 1.8 ppm U over 1.0m from 188.42m downhole. During the 2017 Orano Canada field reconnaissance program in the FSA area, a uranium related radiometric anomaly was detected in an outcrop. Two grab samples from this outcrop returned 47 ppm and 62 ppm U. Also of note, two conductors were identified on the FSA grid on all three profiles providing a minimum of six drill targets.
Ground Geophysical Program at Canoe Lake Target:
A ground EM survey is also planned within the Canoe Lake area to investigate a conductive zone crosscut by NNW trending magnetic lineaments that could potentially be related to significant structures. The planned Moving Loop Transient Electromagnetic (ML-TEM) survey will consist of a line spacing of 500 m and total coverage of 38.7 line km.
Overview of Preston Uranium Project:
The significant potential of the Western Athabasca Basin has been highlighted by recent discoveries 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).
More than $4.7-million in expenditures on the entire Preston Uranium Project have been incurred to date. This exploration has consisted of ground gravity, airborne and ground electromagnetic surveys, as well as radon, soil, silt, biogeochemistry, lake sediment, and geological mapping surveys, and two exploratory drill programs. Several high-priority drill target areas associated with multiple prospective exploration corridors have been successfully delineated through this methodical, multiphased exploration initiative, which has culminated in an extensive, proprietary geological database for the project area.
About Orano Canada Inc.:
Headquartered in Saskatoon, Saskatchewan, Orano Canada Inc. is a leading producer of uranium, accounting for the processing of 18 million pounds or over half of the uranium concentrate produced in Canada in 2017. Orano Canada has been exploring for uranium, mining and producing uranium concentrate in Canada for more than 50 years. Orano Canada is the operator of the McClean Lake uranium mill and a major partner in the Cigar Lake, McArthur River, and Key Lake operations. The company employs over 450 people in Saskatchewan, including about 130 in Saskatoon. As a sustainable uranium producer, Orano Canada is committed to safety, environmental protection, and neighbouring communities.
About Skyharbour Resources Ltd.:
Skyharbour holds an extensive portfolio of uranium and thorium exploration projects in Canada's Athabasca Basin and is well positioned to benefit from improving uranium market fundamentals with five drill-ready projects. Skyharbour's goal is to maximize shareholder value through new mineral discoveries, committed long-term partnerships, and the advancement of exploration projects in geopolitically favourable jurisdictions.