Skyharbour Resources’ joint venture partner, Orano Canada, has started a diamond drilling program at the Preston Uranium Project in the Athabasca Basin. The program includes 28 holes, spanning 6,000 to 7,000 metres, and is designed to test high-priority targets across the project, including Johnson Lake, Canoe Lake, and the FSAN target. Skyharbour Resources holds an extensive portfolio of uranium projects in Canada’s Athabasca Basin, with interest in 36 projects covering more than 614,000 hectares of land. The company aims to capitalize on uranium’s role in nuclear power generation. Uranium is a radioactive heavy metal used in nuclear reactors to generate electrical power.
At Johnson Lake, drilling will target a broad structural corridor identified in an airborne survey. The program aims to test ground conductors at structurally complex intersections, prospective for uranium mineralisation. At Canoe Lake, the program seeks to assess high-priority targets for uranium mineralisation and further define the target area. Six zones of interest have been identified based on airborne and ground geophysical data, characterised by gravity lows near interpreted structural breaks and cross-cutting magnetic features.
Drilling at the FSAN Zone will focus on discrete airborne electromagnetic anomalies. An additional seven to 14 holes will test gravity low anomalies, areas of magnetic disruption, and sites of high geochemical response. Skyharbour notes the West and Far West zones have been designated as contingency targets for the program. Skyharbour holds a 25.6% interest in the project, while Orano holds 53.3% and Dixie Gold holds 21.2%.
Uranium futures in the US stood at US$78.5 per pound as of 8am AEST on 27 June. In March 2017, Skyharbour signed an option agreement with Orano, granting Orano the option to acquire a majority working interest in the Preston Project. Orano fulfilled its earn-in option by funding expenditure and making required cash payments, resulting in a joint venture between the companies.
