Pegasus Resources to acquire uranium from Pine Channel
VANCOUVER, British Columbia, Oct 07, 2021 (GLOBE NEWSWIRE) – Pegasus Resources Inc. (TSX-V: PEGA; Frankfurt – 0QS, OTC / Pink Sheet symbol SLTFF) (the “Company” or “Pegasus”) is pleased to announce the acquisition of the Pine Channel Uranium property (the “Property”) in the prolific region of Athabasca. Northern Saskatchewan Basin. The property encompasses 6,028 ha in six mineral claims located at the north end of the Athabasca Basin, approximately 40 km west of the community of Stony Rapids, Saskatchewan. It is accessible by trails and a winter road that start at Stony Rapids, cross the property and continue west to other locations.
A 100% interest in claim MC00013839 can be acquired from Eagle Plains Resources Ltd., while an adjacent southern claim (MC00015143) will be acquired by way of a binding letter of intent with a staking syndicate. Four other mining claims are under option of ALX Resources Corp. (MC00014001,08,43 and MC00015391)
A photo accompanying this announcement is available at https://www.globenewswire.com/NewsRoom/AttachmentNg/fb58fb4d-3c76-447d-99e9-ba0bc1bff57f
Highlights of the Pine Channel uranium property:
- The property is promising for uranium mineralization associated with unconformities, with very shallow depth to basement from the surface of approximately 60 to 100 meters;
- Historical work has identified two driving trends on the property. One trend is about 2.5 km long, defined by aerial and ground electromagnetic (EM) surveys. The second, a conductor 600 meters long, has not yet been followed by ground EM survey (s) or drilling; and
- Drilling in 1981 identified anomalous uranium in a hematite-rich fracture in Athabasca sandstone rocks directly above the discordance in hole PC81-2 with 0.15% U3O8 over 0.15m.
The property, with a thin cover of the Athabasca Basin, rests at shallow depths on the structurally complex Tanto domain, which hosts numerous occurrences of U, Cu, Ni, and Au.
During the 1970s, Denison Mines Ltd. conducted aerial and ground geophysical surveys on and around the Pine Channel property. In 1979, Denison drilled a total of 12 diamond drill holes in the area to test a conductor that coincided with a magnetic contact.
The results were very encouraging and included:
- PN-79-1: 0.028% U3O8 over 1.2 m in brecciated basement rocks,
- PN-79-2: 0.062% U3O8 over 0.6 m in weathered basement rocks, and
- PN-79-3: 0.039% U3O8 over 0.7 m in the sandstone of the Athabasca Basin.
In 1981, Denison completed four additional holes on the Pine Channel property to test ground geophysical conductors at the same location as the 1979 drill holes. At least four drill holes intersected high radioactivity directly above the unconformity. , including PC81-2 which intersected 0.15% U3O8 over 0.15m.
The property remained unused until about 2005, when UEX Corporation conducted an airborne magnetic, radiometric and gravity survey, as well as an airborne MegaTEM survey atop the Pine Channel property and surrounding areas.
A photo accompanying this announcement is available at https://www.globenewswire.com/NewsRoom/AttachmentNg/e7a33e21-5d52-4281-8bad-e3e2b3f0de38
With the discovery of NexGen’s Arrow deposit, recent exploration in and around the Athabasca Basin has included the search for other occurrences of high grade uranium hosted underground. The Pine Channel property has several important attributes that make it an attractive exploration target for this type of deposit:
- structurally complex basement lithologies,
- altered basement rocks associated with a conductive tendency, and
- several boreholes having intersected highly abnormal radioactivity, ranging from 0.028 to 0.15% U3O8.
The location and accessibility of the route provide the opportunity to conduct year-round advanced exploration at Pine Channel.
According to Charles Desjardins, CEO, “Despite the significant success of the Pine Channel property, including the identification of highly anomalous radioactivity in structurally complex bedrocks, exploration essentially came to a halt in 1981. We are very happy to have acquired this project, which has not only satisfied inactive since the beginning of the 80s, but also which was explored at a time before the discovery of uranium in the rocks of the basement, as with the projects Arrow from NexGen and PLS from Fission.
The Company intends to begin an immediate program of data compilation, review and planning for the next stages of exploration on the Pine Channel property.
A 100% interest in the Pine Channel property (Claim MC00013839) was acquired from Eagle Plains Resources Ltd. by issuing 500,000 shares of Pegasus (subject to a 2% NSR royalty). The 2% NSR is subject to a buy-out clause whereby the company can reduce the NSR to 1%, with a cash payment of $ 1 million.
The company can acquire a 70% interest in the four mineral claims (MC00014001, 08, 43 and MC00015391) from ALX Resources Corp., by making cash payments of $ 50,000 and issuing 700,000 shares and spending 300 $ 000 in exploration over 3 years. An additional 30% interest can be purchased by making a cash payment of $ 200,000 and issuing 500,000 shares, otherwise a joint venture would be formed.
The Company signed a binding letter of intent with a staking union. Details to follow.
These acquisitions are subject to acceptance by the TSX Venture Exchange and the respective boards of directors of ALX Resources Corp. and Eagle Plains Resources Ltd.
The scientific and technical information contained in this press release has been reviewed and approved by Neil McCallum B.Sc., P.Geol. of Dahrouge Geological Consulting, and is a “qualified person” within the meaning of NI 43-101.
About Pegasus Resources Inc.
Pegasus Resources Inc. is a diversified Junior Canadian Mineral Exploration Company focused on zinc and base metal properties in North America. The Company is also actively seeking the right opportunity in other resources to enhance shareholder value. For more information, please visit the Company at www.pegasusresourcesinc.com or contact Charles Desjardins at [email protected]
On behalf of the board of directors
President and director
Pegasus Resources Inc.
700 – 838 Hastings Street West
Vancouver, BC V6C 0A6
Telephone: 1 604 369-8973
E: [email protected]
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
Statements included in this announcement, including statements regarding the plans, intentions and expectations of the Company, which are not historical in nature are intended to be, and are hereby identified as “forward-looking statements”. Forward-looking statements may be identified by words such as “anticipates”, “believes”, “intends”, “believes”, “expects” and similar expressions. The Company cautions readers that forward-looking statements, including, but not limited to, those relating to the Company’s future operations and business prospects, are subject to certain risks and uncertainties which could cause actual results to differ. substantially than those indicated in forward-looking statements.