Anson Resources Ltd increases its uranium and vanadium footprint

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The Thompson District’s historic production since the late 1980s offers the potential for short-term uranium and vanadium production.

() staked 66 additional mineral claims on its Yellow Cat project in the Thompson District, Grand County, Utah.

The new concessions adjoin and surround the initial concessions of the Yellow Cat project and increase ASN’s land ownership by 78% in the rich uranium and vanadium deposit.

ASN has indeed increased its footprint from 5.5 square kilometers to 12.6 square kilometers.

ASN is encouraged by the mineralization visible in the many underground workings.

Short-term production opportunity

At the end of September, ASN confirmed the high levels of uranium and vanadium in its Phase 2 exploration program at Yellow Cat. High grade assay values ​​of up to 87,600 ppm uranium (10.33% U3O8) and 143,500 ppm vanadium (25.61% V2O5) were returned.

Read: Anson Resources Confirms High Grade Uranium and Vanadium in Yellow Cat, Utah

During the exploration of stage 2, ASN mapped the new zone and found that the character of the mineralization corresponded to that of the uranium and vanadium mineralization in the Salt Wash member of the Morrison formation. .

Many historic work sites in the Yellow Cat project area are still open and in excellent condition, allowing easy access for mapping mineralization and taking samples from the gallery walls.

The Thompson District’s historic production since the late 1980s offers the potential for short-term uranium and vanadium production.

ASN would also be encouraged by XRF field analyzes of the mineralization and laboratory analyzes.

High quality assay values ​​of up to 10.33% U3O8 (sample location YC2) and 25.6% V2O5 (YC11) have been reported.

Staking of these new claims, based on the nature and direction of the mineralized trend, provides approximately 2 kilometers of potential untested lateral length. In addition, the mineralization is shallow or rises to the surface and therefore the mineralized horizon is located above the water table.

Well positioned to take advantage of rising prices

The Yellow Cat project is located in the physiographic region of the Colorado Plateau, which has attracted increasing interest from ASX-listed exploration and development companies due to recent increases in uranium and gas prices. industry support from the United States government.

The U3O8 price over the past year.

The United States is the largest consumer of uranium, however, domestic uranium production is almost non-existent due to low prices and anti-competitive practices by foreign suppliers.

At the end of 2020, the US government approved plans to create a national strategic uranium reserve in the United States.

The District of Thompson could help set up this reserve.

During a peak production period in the district from 1935 to 1954, approximately 42,000 short tons (38,102 metric tons) of ore containing an average of 0.30% U3O8 and 1.80% V2O5 were produced.

Although this is significant, ASN has a large amount of data that will help it redevelop very prospective targets.

A review of historic drilling programs at Yellow Cat identified results of high grade uranium and vanadium mineralization. The mineralized intersections of these historic drill holes range from 2 ft (~ 0.6 meter) at 0.127% U3O8 and 0.83% V2O5, to 7 ft (~ 2.1 meters) at 0.237% U3O8 and 1.07% V2O5, including 0.3 ft (~ 0.1 meter) at 3.75% U3O8 and 3.34% V2O5.

Historical and current production in this region is supported by the only fully licensed and operational conventional uranium / vanadium plant in the United States – the White Mesa plant, which is owned and operated by Energy Fuels Inc and is located within a trucking distance southeast of Yellow Cat. Project.

ASN will seek to enter into an agreement with Energy Fuels insofar as the latter has historically accepted toll processing agreements as well as purchasing programs for the processing of ores from third-party mines.

What this could mean for ASN is a low cost opportunity to use the existing infrastructure and eliminate the significant capital requirement of the development of a mill.


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