PROFILES OF COMPANIES WITH SASKATCHEWAN MINERAL EXPLORATION AND DEVELOPMENT PROJECTS
highest grade uranium deposits in the world
Athabasca Basin Uranium
Oil Sands Base Metals
significant gold and base metal potential
Gold & Base Metals
substantial sodium sulphate resources
largest diamondbearing kimberlite field in the world
significant oil and natural gas resources
45% of worldâ€™s potash reserves
Oil Coal Clays
DISCLAIMER Profiles of Companies with Saskatchewan Mineral Exploration and Development Projects The individual company profiles contained in this document were provided by each company. Although the Saskatchewan Ministry of Energy and Resources has exercised all reasonable care in the compilation and production of this item, it is not possible to ensure total accuracy, and all persons who rely on the information contained herein do so at their own risk. The Ministry of Energy and Resources and the Government of Saskatchewan do not accept liability for any errors, omissions, or inaccuracies that may be included in or derived from, this item.
FOR FURTHER INFORMATION For more information about Saskatchewan’s mineral resources please contact Dr. GARY DELANEY, Chief Geologist, SASKATCHEWAN GEOLOGICAL SURVEY, SASKATCHEWAN MINISTRY OF ENERGY AND RESOURCES at Gary.Delaney@gov.sk.ca Technical information on Saskatchewan’s mineral resources can be found at www.er.gov.ca
For Updates Visit: http://www.er.gov.sk.ca/investment_opportunities
Contents BASE METAL:
Foran Mining Corporation Strongbow Exploration Inc.
Page 1 5
Abasca Resources Inc. Fission Energy Corp. JNR Resources Inc. UEX Corporation Virginia Energy Resources
8 10 13 23 29
Company Name: Website
Foran Mining Corporation www.foranmining.com
Management Team: Darren Morcombe, Chairman of the Board and Director Mr. Morcombe has more than 20 years’ professional experience in a variety of natural resource roles in Australia, the United States and Switzerland, including over 10 years in senior roles with Normandy Mining and Newmont Mining Corp. in the areas of financing, treasury, mergers and acquisitions. He is the founder of Springtide Capital Pty. Ltd., a private investment company specializing in micro-cap listed companies, venture capital and resource-oriented companies. He was Chairman and a major shareholder of European Gold Refineries SA, Europe's largest gold refinery, and Director of AGR Matthey, one of the world's largest gold refineries. Patrick Soares, President, CEO, and Director Mr. Soares began his professional career over 25 years ago as an exploration and mine geologist in northern Canada, then in the fields of investor relations and corporate development with mining and exploration companies. From 2007, until acquisition by Osisko Mining Corp. in mid-2010, Mr. Soares served as President, CEO, and Director of Brett Resources Inc. Mr. Soares is a Professional Geoscientist and holds a B.Sc. (Hons.) from the University of British Columbia. Roger March, Vice President, Project Exploration Mr. March has almost 20 years’ progressive exploration and project management experience, focused mainly on the design, implementation and supervision of advanced exploration programs. Mr. March has extensive experience in project development focusing on integrating exploration with geotechnical, metallurgical and environmental programs. He is using this experience to advance the exploration and development of the McIlvenna Bay Project. Mr. March is a Professional Geoscientist and holds a B.Sc. (Hons.) from Memorial University. Dave Fleming, Vice President, Exploration Mr. Fleming has over 30 years’ experience in the generation, management and implementation of successful mineral exploration throughout North America. Using his background in district and regional scale exploration, Mr. Fleming is focused on the advancement of both McIlvenna Bay and Foran's other properties in Saskatchewan and Manitoba. Mr. Fleming is a Professional Geoscientist and holds a B.Sc. from the University of British Columbia. October 1, 2011
Contact Information: Fiona Childe, Vice President, Corporate Development Suite 2500 – 120 Adelaide Street West, Toronto, ON, M5H 1T1 416-847-7310 email@example.com Corporate Overview: Foran is a Canadian exploration and development company listed on the TSX Venture Exchange (TSXV.FOM). The Company’s offices are located in Vancouver, Saskatoon, and Toronto. Foran’s flagship McIlvenna Bay Project is located in east central Saskatchewan, 60 km west of Flin Flon, Manitoba and 25 km northeast of Prince Albert, Saskatchewan. McIlvenna Bay is a copper-zinc-gold-silver deposit, and one of the largest undeveloped volcanogenic massive sulphide (VMS) deposits in Canada. Objectives: Foran’s short-term objectives are to: • • •
complete an updated National Instrument 43-101 compliant mineral resource estimate on its 100% owned McIlvenna Bay Project, complete a CDN$5.7M Phase Two Exploration Program at McIlvenna Bay that commenced in August, 2011, and commence a CDN$1.5M Regional Exploration Program on its highly prospective landholdings in east central Saskatchewan
Foran’s long-term objective is to build a world-class base metal mine at McIlvenna Bay. Saskatchewan Project: McIlvenna Bay Project: The 100% Foran-owned McIlvenna Bay Project has a current NI 43-101 indicated mineral resource of 6.7 million tonnes grading 0.87% copper, 6.51% zinc and 26.0 g/t silver and a further 6.0 million tonnes grading 0.83% copper, 5.89% zinc and 24.8 g/t silver in the inferred category. This resource estimate is presented in an independent National Instrument 43-101 technical report, dated November 27, 2006 and authored by Scott Wilson Roscoe Postle and Associates Inc.. On July 20, 2011, Foran announced
October 1, 2011
the commissioning of an independent mineral resource estimate of the McIlvenna Bay copper stockwork zone, the results of which are expected in the fourth quarter of 2011. Foran commenced a Phase Two Exploration Program in August, 2011. Highlights of the program include: •
A planned 12,000 to 15,000 metres of diamond drilling in approximately 35 holes. Due to the seasonality of access to some drill sites, drilling will be carried out in two campaigns, which will include an initial 8,000 to 10,000 metres in 18 to 20 holes drilled in the summer/fall of 2011, and the balance of the holes drilled in early 2012; Drilling will focus on step-out on potential areas of expansion of the Copper Stockwork Zone, infill of the resource area, and verification holes. Material from several of the holes will also be used for metallurgical and geotechnical testwork; A Project Regulatory Framework for the permitting of future development at McIlvenna Bay; and Preliminary engineering studies.
Figure 1. Foran Saskatchewan Properties.
October 1, 2011
Figure 2. Foran’s McIlvenna Bay Property, Hanson Property, & Balsam Joint Venture.
Disposition Numbers: CBS9315, CBS6130, CBS3693, CBS8460, S-95741, S-95742, S-95743, S-95744, S95745, S-95740, S-97903, CBS3692, S-100671, CBS9317, CBS9314, CBS9318, S101727, S- 98828, S- 98827, CBS4909, S-100669, S- 95733, S- 95734, S- 95735, S95736, S- 95737, S-112151, S-112150, S-117931, S-111933 The Qualified Person with respect to technical information in this document is Mr. Roger March, Vice President, Project Exploration for Foran Mining Corporation. Additional information related to the 2006 mineral resource, Technical Report and Phase Two Exploration Program can be found on the Company’s website at www.foranmining.com.
October 1, 2011
Company Name: Strongbow Exploration Inc. www.strongbowexploration.com Management Team Chairman: D. Grenville Thomas. Mr. Thomas has over 50 years experience in the exploration industry, is a member of the Canadian Mining Hall of Fame and was awarded the 1999 Prospector of the Year Award by the Prospectors and Developers Association of Canada, for the discovery and development of the Diavik Diamond Mine in the Northwest Territories. Mr. Thomas is presently the Chairman of Helio Resource Corp. and CEO of North Arrow Minerals Ltd. And Westhaven Ventures Inc. President & CEO: Kenneth A. Armstrong. Mr. Armstrong has over 18 years of experience in the exploration industry and has been President and CEO of Strongbow Exploration since January 2005 prior to which he worked as a geologist with Rio Tinto and a number of Canadian junior exploration companies. Mr. Armstrong is a registered Professional Geoscientist in the Province of Ontario. Vice President Exploration: David F. Gale. Mr. Gale has over 17 years of gold and base metal exploration experience, working with a number of companies, including Westmin Resources, BHP Minerals Ltd., Homestake Canada, and Barrick Gold. Mr. Gale joined Strongbow Exploration in January 2005 and is a registered Professional Geoscientist in the Province of British Columbia and the Northwest Territories. Contact Information: Address: 860-625 Howe St. Vancouver, BC. V6C 2T6 Phone number: 604-668-8355 Fax number: 604-668-8366 E-mail: firstname.lastname@example.org TSX Venture Exchange: SBW Corporate Overview: Strongbow Exploration is a Vancouver-based junior exploration company engaged in the search for economic precious and base metal deposits in North America. Objectives: Sulphide nickel/copper deposits tend to occur in groups or clusters and it is Strongbow’s goal to identify over 100 million tonnes of economic nickel/copper mineralization within the Snowbird Tectonic Zone in northern Saskatchewan and southeastern Northwest Territories through its wholly owned Nickel King and Snowbird nickel projects. Strongbow is also working to discover gold mineralization within the Carolina slate belt in the southeastern United States and in a number of areas in British Columbia.
Saskatchewan Project(s): Nickel King
145 km northeast of Stony Rapids, Saskatchewan, in NWT.
Excellent metallurgy - a simple flow sheet has produced a final concentrate grading 16.5% Ni (78% recovery), 4.2% Cu (89% recovery), and 0.74% Co (64% recovery).
Hosts a National Instrument 43-101 compliant indicated resource of 11,111,000 tonnes grading 0.40% Ni, 0.10% Cu and 0.018% Co, and an inferred resource of 33,061,000 tonnes grading 0.36% Ni, 0.09% Cu and 0.017% Co.
Additional potential mineral deposits of 10 to 27 million tonnes at a 0.2% Ni cut off have also been identified.
Mineralization remains open along strike and several untested targets are located nearby.
The deposit is hosted within two norite sills intruding the Snowbird Tectonic Zone – a major crustal scale structure considered prospective for magmatic nickel sulphide deposits.
Disposition Numbers: S-111371, S-111359, S-111360, S-111372, S-111373, S111374, S-110564, S-110565 and S-110566.
The combined area of all properties within the Snowbird project is 22,000 ha.
Land Position extends over a 150 km strike length of the southern Snowbird Tectonic Zone in Saskatchewan/Northwest Territories. Regional geophysical, mapping, and prospecting surveys have defined a number of mineralized mafic to ultramafic intrusions within the project area.
Priority target areas include Nickel Lake (1.8% Ni), Heel (0.46% Ni), and Opescal Lake (1.1% Ni). Mineralization and geological setting in these areas are very similar to Nickel King – Strongbow believes these represent “Nickel King” type targets. Future exploration plans include exploration drilling.
ABASCA RESOURCES INC. abasca.ca Dawn Zhou, M. Sc., CGA Holds a Master of Sciences from China University of Geosciences in Beijing and a Certified General Accountant designation from Canada. Dawn was the founder and former Executive Chair of Athabasca Potash Inc. (TSX: API). API indentified a number of potash properties in Saskatchewan and have brought one project from an exploration permit to a mining license, acquired its surface land for mine site and completed its environmental impact study when it was acquired by BHP Billiton in early 2011. PAUL S. OGRYZLO, P. Geo. Has decades of international mineral exploration experience for base metals, gold, uranium and industrial minerals with more than 20 years as a field geologist and many years as exploration manager for a professional staff of up to 30. Paul has actively participated in discovery and development teams on deposits in Manitoba, Yukon, Quebec and Saskatchewan while working for companies including Cameco, Denison Mines , Phelps Dodge, Hudbay and as an independent consultant. CSIT Consulting Inc. Founded in 1993, CSIT Consulting Inc. (CSIT) has assisted in many owner-managed companies to run a successful business in the tough economy in Saskatchewan during the 1990s and early 2000s. Since 2004, CSIT has switched its priorities to consult and invest in a number of successful start-up resources companies in the province, including setting up and establishing an oil operation for a private Chinese corporation in 2005, helping a potash company for its strategic planning in 2009 and a related company for its copper property acquisition in 2011. Contact Information: Abasca Resources Inc. #1903 888 4th Ave SW Calgary, AB T2P 0V2 Canada Tel: 1 306 933 4261 Fax: 1 888 334 6418 Email: email@example.com firstname.lastname@example.org Corporate Overview: Following the takeover of Athabasca Potash Inc. by BHP Billiton in early 2010, Abasca Resources Inc. was founded to continue searching for world class resource projects in Canada and other regions for shareholder value.
Objectives: - Seek early stage uranium exploration projects in Saskatchewan because uranium, similar to potash, is a world class resource abundantly found in the province - Develop oil properties in Saskatchewan and Alberta that are low risk and have quick cash flows - Seek strategic investors for exploration of Key Lake South and other uranium projects in Eastern Athabasca Basin Saskatchewan Project(s): Key Lake South and other uranium projects in Eastern Athabasca Basin Western Canadian Sedimentary Basin oil development properties
Company Name: Fission Energy Corp -
Management Team (provide 2 to 3 sentences that profile each key executive): -
CEO & Chairman – Dev Randhawa: Mr. Randhawa is an experienced senior manager with broad international experience in developing resource, mining exploration and energy companies. Since 2007, Mr. Randhawa has remained the Chairman and CEO of Fission Energy Corp., which has focused on uranium exploration in Saskatchewan. Mr. Randhawa received a Bachelors Degree in Business Administration with honours from Trinity Western College of Langley, British Columbia in 1983 and received his Master in Business Administration from the University of British Columbia in 1985.
President & COO – Ross McElroy: Mr. McEloroy is a professional geologist with over 25 years in the field. He has experience with working and managing many types of mineral projects from grass roots exploration to feasibility and production. He has held previous positions with both major and junior mining companies, which include BHP Billiton, Cogema Canada (now AREVA), and Cameco. He was a member of the early stage discovery team of the MacArthur River deposit, the world’s largest high-grade uranium deposit. Mr. McElroy received a Bachelor's Degree in Science, with a Specialization in Geology from the University of Alberta in 1987.
Vice President Exploration – Raymond Ashley: Mr. Ashley has worked in the mineral exploration industry for 25 years. With BHP-Billiton he was a key member of the discovery team of Ekati, Canada's first diamond mine, and held the position of Exploration Manager Canada Diamonds. From 1996 to 2009 he was VP Exploration for Dia Met Minerals in exploration for diamonds internationally. Since 2009, he has been an independent consulting geoscientist, and has been a member of Fission's team responsible for the high grade uranium J Zone discovery at Waterbury Lake.
Contact Information: -
Address: 700-1620 Dickson Avenue Kelowna, BC Canada V1Y 9Y2
Phone number: 250.868.8140 Fax number: 250.868.8493 E-mail: email@example.com
Corporate Overview: -
Fission Energy Corp. is a Canadian based uranium exploration company with properties in Saskatchewan’s Athabasca Basin, Quebec and the Macusani District in Peru. In 2010 Fission made a high-grade uranium discovery at its Waterbury Lake property immediately adjacent to Hathor Exploration’s Roughrider deposit in the Athabasca Basin. In 2011, Fission discovered a high-grade uranium boulder field on its Patterson Lake South property, located in the southwest margin of the Athabasca Basin. The company is listed on the TSX Venture Exchange (FIS) and the OTCQX (FSSIF) with corporate offices in Kelowna B.C.
Objectives: - Maximize shareholder value by: o Continue to explore and develop Fission’s world class Waterbury Lake high-grade uranium property. o Continue to advance exploration at Fission’s high-grade boulder field discovery at Patterson Lake South o Continue exploration and development of the company’s other projects in Saskatchewan and at Dieter Lake (Quebec) and Macusani (Peru). Saskatchewan Project(s): Project Name: Duddridge Lake The Duddridge Lake property includes 6 claims encompassing 12,954 hectares and is situated along the eastern margin of the Wollaston Basement Domain. The richest uranium deposit known in the world including Key Lake, Millennium, McArthur River, Cigar Lake, Midwest are all found here. NI 43-101 compliant resource calculation identified an inferred mineral resource totaling 215,016 tonnes at an average grade of 0.107% U₃O₈ (approx. 460,000 lbs). Basal till sampling, mapping and a 660-metre drill program were completed in 2008. Project Name: Patterson Lake The Patterson Lake property encompasses approximately 25,000 hectares and is located approximately 30 kilometers due south of UEX Corp. and AREVA’s Anne and Colette uranium deposits near Shea Creek. Approx. 2,800 m of drilling was completed in 2007-08. Follow-up work is subject to additional financing.
Project Name: Davy Lake The Davy Lake property is located in the north-central portion of the Athabasca Basin. In 2011 the property was trimmed down to 8 claims comprising approx 33,000 hectares. Fission is continuing to identify and prioritize drill targets along a 51 kilometre-long MegaTEM II geophysical conductor discovered in late 2005. Ground geophysical surveying was completed during the fall of 2008. A 2,000-metre summer drill program was completed in 2010. Project Name: Minor Bay The Minor Bay property comprises approximately 24,000 hectares, and is located along the southeast margin of the Athabasca Basin. It is accessible by road. Minor Bay is on trend with the West Bear deposit. In 2009 an airborne geophysical survey was conducted over the property. It is an early stage exploration property with great potential based on the continuation of basement geology and magnetic trends. Further analysis of data available from earlier exploration conducted by Gulf Minerals will help guide further exploration.
JNR Resources Inc. www.jnrresources.com Management Team: Rick T. Kusmirski, MSc, PGeo President & CEO, Director Rick Kusmirski has over 35 years of exploration experience in North America and overseas, including 15Â˝ years at Cameco where he was Exploration Manager for their Athabasca Basin uranium projects. Rick joined JNR Resources as Vice President Exploration in 2000 and became President and CEO in 2001. David Billard, BSc, PGeo Vice President Exploration & Chief Operating Officer David Billard has been an explorationist for over 30 years, including 12 years at Cameco Corporation in western North America. Dave joined JNR as a consultant in 2000, became Exploration Manager in 2004 and Vice President Exploration in 2007. L.S. (Les) Beck, PhD, PEng, PGeo Chairman, Technical Advisory Committee and Director Dr. Beck has 50 years of exploration experience and is a world-renowned uranium expert and the author of numerous scientific publications. Dr. Beck is the former Executive Director of the Geology & Mines Division for Saskatchewan Energy & Mines. Irvine R. Annesley, PhD, PGeo Director of Exploration Dr. Annesley has over 33 years of industry experience, including 19 years as a senior geologist with the Saskatchewan Research Council (SRC). His research focused on uranium deposits of the Athabasca Basin as well as worldwide uranium deposits. Ken Wasyliuk, MSc, PGeo Chief Geochemist Ken Wasyliuk has over 25 years of industry experience including 16 years with Cameco Corporation, where he became an expert on the geochemistry of uranium deposits in the Athabasca Basin. Ken joined JNR in 2005. Contact Information: Suite 201 â€“ 315 22nd Street East Saskatoon, Saskatchewan, S7K 0G6 Telephone: (306) 382-2211 Facsimile: (306) 382-2212 Email: firstname.lastname@example.org
Corporate Overview: JNR Resources Inc. is a TSX-Venture listed junior uranium exploration company based in Saskatoon, Saskatchewan, the home of the world’s leading uranium producers. JNR’s distinguishing features include a highly experienced management and exploration team as well as a land package chosen with an emphasis on technical merit, strategic location and politically stability. Objectives: •
Enhance shareholder value by exploring for and discovering high-grade uranium deposits on our properties.
Maintain our technical and scientific excellence and leadership in our exploration for uranium deposits.
Strategically align with joint venture partners that share JNR’s vision and focus in exploration.
Moore Lake The Moore Lake property comprises 12 claims totalling 35,705 ha in the southeastern portion of the Athabasca basin, 40 km south of Cameco's McArthur River mine and 45 km northeast of the Key Lake mine and mill complex. JNR Resources holds a 25% interest in the property while Denison Mines owns the remaining 75%. JNR is prepared to entertain expressions of interest for its equity in the property. Disposition Size (ha) S-107381
High-grade uranium mineralization was discovered in April of 2000 when diamond drilling resulted in the discovery of the Maverick Zone. The Maverick Zone lies on a pronounced structural corridor that has been traced over a minimum strike length of 6.5 kilometres. Since 2004, uranium mineralization has been identified along a 1.7-kilometre length of the Maverick structural corridor, with over 50% of this corridor yet to be drill tested. The Maverick Main Zone is the most significant high grade mineralized lens identified to date. It has a minimum strike length of 350 metres, with some of the better results including: ML-55 - 5.14% U3O8 over 6.2 m; ML-61 - 4.03% eU3O8 over 10.0 metres (including 20% eU3O8 over 1.4 metres); ML-140 - 3.20% U3O8 over 6.5 metres including a 3.5-metre intercept of 5.25% U3O8, 2.1% nickel and 0.65% cobalt; ML-139 - 1.23% U3O8 over 8.5 metres, including a 1.5-metre intercept of 4.20% U3O8 ; and ML-133 with two zones of mineralization, 2.72% U3O8, 2.30% nickel and 0.905% cobalt over 5.0 metres at the unconformity and 0.611% U3O8 over 3.5 metres from the basement rocks. Step-out drilling along the Maverick structural corridor resulted in the discovery of two additional zones (‘525’ & ‘527’). The ‘527’ zone, located 450 metres to the northeast of the main lens, returned a best assay to date of 1.53% U3O8 over 6.6 metres, including 2.22% U3O8 over 3
4.0 metres. Other high priority exploration targets exist on the property including the Nutana-Venice structural corridor and Avalon conductors. In the NutanaVenice corridor the work to date has identified an impressive, 10-km long, 500 m. wide conductive corridor that wraps around the northern boundary of a granitic body and encompasses the Nutana, West-Venice and Venice grids. The geochemical and geological signature in drill core is highly prospective, with many features that are consistent with major mineralized systems. Recent geophysical programs carried out by project operator identified a number of widely-spaced geophysical resistivity structural targets that were drill tested in 2011. Eight holes were two holes approximately three kilometres east of the main intersecting up to 0.31% U3O8/1.0 metre.
Denison Mines anomalies and completed, with Maverick zone
Denison Mines currently operates the project and is planning additional exploration programs at this time. Newnham Lake The Newnham Lake project is located on the northeastern margin of the Athabasca Basin approximately 50 kilometres east of Black Lake and 100 kilometres northwest of the Eagle Point Mine. The property comprises 8 mineral dispositions totalling 27,723 hectares. Depth to the unconformity is 0 to 200 metres. Disposition Size (ha) S- 99125
Exploration in the Newnham Lake area began in the 1960's through to the early 1980â€™s with numerous airborne radiometric, magnetic, and INPUT surveys; ground EM, magnetic, VLF and gravity surveys; prospecting and mapping; surficial geochemical sampling; and diamond drilling. This work identified geological, geophysical and geochemical features typical of unconformity-type uranium deposits, including weak uranium mineralization (defined as >100 ppm U) in 27 diamond drill holes, 19 of which extended across a 2.4-kilometre section of the Deborah Lake pelitic basin. A large number of surficial geochemical anomalies (up to 5000 ppm U) were identified as well. JNR Resources acquired 4 16
the property in 1997 when it became available for staking. During the compilation of the historic work, it was noted that the role of structure, basement geology and geochemistry had not been fully appreciated by previous operators. JNR began modern day exploration in 1998, with an airborne magnetic survey, some limited prospecting and soil sampling, a sandstone boulder survey and a 12-hole drilling program. The surveys identified numerous graphitic conductors and north-south trending thrust faults as well as a large area of highly radioactive intrusives in the northeastern part of the property. A 1,550 line-kilometre helicopter-borne VTEM survey completed in November 2005 confirmed a 15-kilometre long, eastnortheast trending conductor associated with surficial geochemical anomalies up to 5000 ppm U. A follow-up 110-kilometre linecutting and ground EM program better defined portions of this conductor in February of 2006. In 2008, a 4,200-line kilometre high resolution gradient magnetic survey and 1,547 line-kilometre high-resolution ZTEM survey were flown over the project as was a 1,379 line-km airborne full tensor, 3D gravity gradient survey in 2011. These surveys identified several discrete zones of interest with significant uranium potential. A 3D GOCAD model of the project area is under way and is being used to better define drill targets on the property. The project is drill-ready with a minimum of 3,000 metres identified for future drill programs. Black Lake The Black Lake property is located on the north rim of the Athabasca Basin of northern Saskatchewan, 20 kilometres southeast of the town of Stony Rapids, and lies along the seasonal road to that community. It covers 40 kilometres of strike length on the Snowbird/Black Lake structure. It consists of 9 mineral claims totalling 36,800 hectares. Depth to the unconformity is 200 to 900 metres.
Disposition Size (ha)
Historic work in the area focused on the nearby Nisto uranium mine. In the late 70's and early 80's parts of the property were covered by an assortment of airborne geophysical surveys that identified prominent electromagnetic (EM) conductors. A limited amount of diamond drilling returned anomalous geochemical results. In the late 90's the property was covered by both airborne and ground geophysical surveys and a boulder geochemical survey. Two strong basement conductors were identified and tested by 3 diamond drill holes. No economic uranium mineralization was intersected by the drilling, but encouraging geological and geochemical results were obtained. Furthermore, the boulder geochemical survey identified a uranium anomaly and a strong illite-dravitechlorite anomaly. In 2005, JNR completed a 1400-line kilometre airborne magnetic and MEGATEM survey over the property, resulting in several interpreted EM conductors from 2 to 8 kilometres in length. Four grids totalling 135 kilometres of cut line were established over some of the more promising conductors and ground EM surveys totalling 190 kilometres were subsequently completed. In the fall of 2007, Goldak Airborne Surveys completed a 7,700 linekilometre high-resolution gradient magnetic survey over the property. The 2008 program consisted of a 4-hole, 2,815 metre diamond drilling program in the central portion of the property and a 3,280 km airborne gravity gradiometer program. A 3D GOCAD modeling program was also initiated in 2008. The drilling intersected anomalous clay and trace element geochemistry including uranium, and significant faulting in the sandstone. In 2009, a 344 line-kilometre AirMT (ZTEM) geophysical survey was flown over the southern part of the property, and the 2005 Megatem data re-interpreted. These programs have better defined the deeper EM conductors in the central part of the property. Well over a dozen priority drill targets have now been identified on the Black Lake property. Further analysis of the geological and geophysical results to date and their incorporation into the 3D GOCAD model is continuing. The project is drill-ready with a minimum of 3,000 metres identified in shallow lake targets and 2,000 to 3,000 metres ready on landward targets. Snowbird Project The Snowbird property is located along the south central margin of the Athabasca Basin, 110 km west of Key Lake. It consists of 6 claims totalling 25,192 hectares. The property covers the eastern portion of the Virgin River/Snowbird Tectonic zone, a major mineralized structural zone which hosts Camecoâ€™s Centennial deposit, 20 km to the north. The depth to the unconformity ranges from 0 to 100 metres with most of the property outside of the Athabasca Basin proper.
Disposition Size (ha) S-107627
Despite the proximity to some highly prospective uranium targets, the property has seen little historic exploration with the exception of a few airborne geophysical surveys and base metal prospecting programs. JNR acquired the property in 2004 and carried out a 1,340 line-km helicopter borne EM and magnetic VTEM survey over this property and the adjacent South Dufferin joint venture with Denison Mines. Several 'zones of interest' and significant EM conductors were identified. These zones consist of north-northeast trending conductors that locally exhibit correlation with magnetic lineaments. A small linecutting and HLEM program was undertaken in the southwest and southeast corner of the property to ground define the airborne results. A 1,100 line-km high resolution airborne gravity gradiometer program was completed in late 2009, followed up by an additional 557 line-km aircraft-borne full tensor 3D gravity gradient survey in 2011. The results of these programs have been integrated into a 3D GOCAD model incorporating all of the data to date. Based on the results of this work JNR commenced a 1,000 metre drilling program on the Snowbird project in mid August. Results from this drilling program are pending. Way Lake The Way Lake property is located 55 kilometres east of the Key Lake mine. It consists of 19 contiguous claims totalling 80,925 hectares. The property lies just outside of the Athabasca Basin within the prospective Wollaston domain.
Disposition Size (ha)
High-grade uranium mineralization was discovered at Hook Lake by AGIP Canada Ltd. in 1978. JNR re-staked the property in 2004 and in 2006, highgrade uranium mineralization was sampled from a previously trenched area now referred to as the Hook Lake showing. Two grab samples collected from the vein returned 40.1 % and 48% U3O8. This discovery prompted a series of aggressive exploration programs on the Way Lake property. They consisted of extensive airborne and ground geophysical surveys, prospecting and a number of diamond drilling programs. At Hook Lake, drilling intersected a significant 20-metre wide northeast trending structure and anomalous radioactivity with 3 of the 12 holes intersecting anomalous radioactivity, but no high grade uranium values. On the remainder of the property numerous new uranium showings were identified in addition to the one at Hook Lake. The most significant results to date were returned from the Fraser Lakes area on several targets related to the Fraser Lakes â€œBâ€? Zone. These targets in conjunction with the Fraser Lakes mineralization identified to date have significant potential to host high-grade basement mineralization similar to that identified at the Eagle Point, Millennium, and Roughrider Zones. The significant uranium and metal endowment in the 8
Fraser Lakes district combined with the lack of sandstone cover and shallow depth to mineralization allows for efficient and timely exploration on these targets. The B Zone showings occur within a 65-kilometre-long electromagnetic (EM) conductor system accompanied by uraniferous granitic pegmatites. Of 70 grab samples taken from individual mineralized outcrop sites at the B Zone, 70% returned assays ranging from 0.03 to 0.457% U3O8. Drilling to date on the Fraser Lakes B Zone has identified an extensive area approximately 1,000 metres long by 650 metres wide of moderately dipping, multiple stacked uranium and thorium mineralized horizons open to the southwest and eastnortheast to at least 125 metres depth. The radioactivity is accompanied by geological and geochemical features which are typically associated with highgrade mineralized zones in the Athabasca Basin. An extensive 3D GOCAD model has been built utilizing the wealth of geophysical and drilling data collected to date. The model will be used to plan the future diamond drilling programs in 2012 and beyond. Yurchison Lake The Yurchison Lake property is located 70 kilometres southeast of the McArthur River uranium mine and is directly adjacent to the highway which services the Eagle Point and McLean Lake mines. It consists of 4 contiguous claims totalling 12,660 hectares. The property lies just outside of the Athabasca Basin proper within the prospective Wollaston domain.
Disposition Size (ha) S-110103
The property was first explored in the 1960â€™s and 1970â€™s for uranium and base metals. JNR carried out prospecting and geological mapping in and near several old trenches in 2006. The program returned significant uranium and molybdenum mineralization from both outcrop and float samples. Uranium values ranged from 0.09 to 0.30% U3O8 with molybdenum values ranging from 2,500 to 6,400 ppm. An 800 line-kilometre helicopter-borne VTEM survey of the project lands was 9 21
completed in October 2006. In 2008, JNR drilled 14 diamond drill holes totalling 2,902 metres. This program returned anomalous levels of uranium and important pathfinder elements such as As, Ni, Co and Mo. Up to 240 ppm U and 3,750 ppm Mo were intersected. Several zones of enriched stratiform zinc mineralization were identified by the drilling. A 3D GOCAD modeling program is underway on this project area as well. The project is drill-ready with 2,000 to 3,000 metres of drilling identified by past results and interpretation of the GOCAD model. Crackingstone Project The Crackingstone property consists of four mineral claims totalling 10,665 hectares. It is located adjacent to the north rim of the Athabasca Basin near the town of Uranium City.
Disposition Size (ha) S-107436
Previous work on the Crackingstone property was carried out in the 1950's and 1960's, largely on the two southern claims that cover the Crackingstone Peninsula. During that time period the Gulch deposit and about 12 uranium showings were discovered. Underground development was initiated on the Gulch mine in 1955. A number of reserve estimates have been published for the Gulch deposit, none of which follow the prescribed terminology of NI 43-101. The most recent, a 1975 estimate by Gulch Mines Inc., reported "drill-indicated reserves" of 201,000 tons grading 0.09% U3O8 (0.05% cut-off) and "possible reserves" of 315,000 tons at a similar grade (Source: Mineral Bulletin MR213, June 1986, Energy, Mines and Resources, Canada). JNR has flown a 1,345 km VTEM and 3,760-km high-resolution gradient magnetic survey. These results have been incorporated with prior ground and/or airborne geophysical surveys to better define targets for drill testing. Planning of additional work is underway. 10 22
UEX CORPORATION www.uex-corporation.com
Representative of the Board of Directors: Colin C. Macdonald Director Mr. Macdonald held the position of Vice-President, Exploration, for Cameco Corporation until his retirement on June 30, 2011. He had worked for Cameco Corporation and its predecessor companies since 1981 and was responsible for Cameco's worldwide uranium exploration activities. Cameco Corporation is the world's largest uranium producer and is UEX's largest shareholder.
Management Team: Graham C. Thody President & CEO, Director Mr. Thody was a Partner of Nemeth Thody Anderson, Chartered Accountants of Vancouver, BC from 1979 until his retirement from public practice in 2007. His practice focused on audits of reporting companies, participation in the Initial Public Offering Process, corporate mergers and acquisitions as well as domestic and international tax matters. He was a Director of Pioneer Metals Corporation at the time of the adoption of the Plan of Arrangement which created UEX Corporation and has been a Director of UEX since its inception. Mr. Thody served as Chairman of the Board of UEX from June 2007 until June 2010. Mr. Thody is a member of the British Columbia Institute of Chartered Accountants (1976) and the Canadian Institute of Chartered Accountants (1976). He holds a Bachelor of Commerce degree (Marketing) from the University of British Columbia (1973). Ed Boney, CA Chief Financial Officer Mr. Boney is a member of the Institute of Chartered Accountants of British Columbia and the Canadian Institute of Chartered Accountants. He holds a Bachelor of Commerce degree (with Distinction) from the University of Victoria as well as a Diploma in Accounting from the University of British Columbia. Prior to joining UEX, Mr. Boney held the position of Corporate Controller at a Canadian junior gold mining company with producing mines in Canada and Peru. Mr. Boney has also held the position of manager with Deloitte & Touche where he supervised the audits of several public companies in the mining and natural resource sector, was involved in the asset valuations of several companies in the Canadian oil and gas sector, and was seconded for eighteen months on a major international forensic accounting assignment. 23
R. Sierd Eriks, P.Geo. Vice-President, Exploration Mr. Eriks, B.A. (Geology), has worked in mineral exploration for over twenty-five years. From 1979 to 1998, he gained geological and managerial experience with SMDC (now Cameco Corporation), Falconbridge Limited, Noranda Exploration Co. Ltd. and Cogema Resources Inc. (now AREVA Resources Canada Inc.) in base metals, gold, PGE and uranium exploration. In 1999, he became a consulting geologist and has worked as a consultant on numerous uranium exploration programs for UEX Corporation. Nan H. Lee, M.Sc., P.Eng. Vice-President, Project Development Ms. Lee is a graduate of McGill University having received her Bachelor of Engineering in Mining. She obtained her Master of Science in Geo-environmental Engineering from the University of Saskatchewan. Ms. Lee has worked as a Mining and Project Engineer on several projects located in Canada including both underground and open pit operations, and has also worked with Kilborn Engineering where she assisted with project feasibility studies. As an independent consultant Ms. Lee has coordinated, or assisted with the preparation of Environmental Impact Statements for several uranium mine developments in Canada. Most recently Ms. Lee has been managing the preliminary feasibility studies for tailings management facilities for two uranium operations in northern Saskatchewan.
Contact Information: UEX Corporation Suite 1007 â€“ 808 Nelson Street Vancouver, British Columbia Canada V6Z 2H2 t: 604 669 2349 f: 604 669 1240 e: email@example.com
Corporate Overview: During the past three years, UEX has made the transition from a pure exploration company seeking uranium discoveries to a development company with significant investment in two advanced uranium assets: Shea Creek and Horseshoe-Raven at Hidden Bay, respectively the largest and sixth largest undeveloped uranium resources in the Athabasca Basin. UEX is seeking new investment to provide the financing necessary to advance its project portfolio. The Shea Creek joint venture, in which UEX holds a 49% interest, is continuing to expand its defined resource by delineation drilling on the Anne, Kianna, 58B and Colette deposits. At the Hidden Bay Project, work is proceeding toward a pre-feasibility study on the Horseshoe and Raven deposits. Both of these advanced projects require ongoing funding to continue to advance through development and ultimately to production. TSX: UEX
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Investment Opportunities: Two opportunities exist for investment in UEX that would allow the company to proceed along the development path and position the investor to capitalize on the successful advancement of the UEX advanced uranium assets. These opportunities are principally as follows: Equity investment via private placement in UEX Corporation; and Direct investment in the Hidden Bay Project.
Corporate Objectives: To continue the exploration and development work required to delineate and develop economic resources at the Shea Creek Project; To advance the development process at the Horseshoe, Raven and West Bear deposits; To maintain, explore and advance to discovery our other uranium projects; and To pursue a diversified portfolio of projects from early exploration through to development and production.
Projects in Saskatchewan: UEX Corporation has a total of 18 projects either 100% owned, joint ventured or under option totaling 338,972 hectares (837,618 acres) located in the eastern, western and northern perimeters of the Athabasca Basin in northern Saskatchewan, Canada. The Athabasca Basin produced approximately 18% of the global primary uranium production in 2010. Figure 1 â€“ Athabasca Basin
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Shea Creek Project The largest undeveloped uranium resource in the Athabasca Basin comprises four deposits (Anne, Kianna, 58B and Colette) distributed along a 3-kilometre strike length of the Saskatoon Lake conductor. Resources are open in almost every direction and have excellent potential for significant expansion as exploration continues. Area:
Western Athabasca Basin, 13 km south of the former AREVA Resources Canada Inc. Cluff Lake mine site
History: In 1990, an airborne GEOTEM electromagnetic and magnetic survey conducted by AREVA identified the presence of conductive north-northwest trending zones. Further surveys in the following two years culminated in the commencement of drilling on the Saskatoon Lake conductor. By 2000, the Anne and Colette deposits had been identified, along with numerous other promising mineralized intercepts. In 2004, UEX entered into an agreement with AREVA to fund C$30 million of exploration costs in exchange for a 49% interest in the Western Athabasca Projects, which include Shea Creek. AREVA continued to act as operator. The Kianna Deposit was identified in 2006, and UEX successfully met its funding target and earned its 49% interest in 2007. In 2010, a Mineral Resource Estimate was released confirming the deposits at Shea Creek as the largest undeveloped uranium resource in the Athabasca Basin. That same year a fourth deposit, 58B, was discovered in the area between Kianna and Colette but was not included in the mineral resource estimate. Total expenditures to the end of 2010 on exploration and development at Shea Creek are C$32.4 million and C$7.3 million, respectively, and a total of 208,000 metres of drilling was completed. Current Program: The 2011 exploration program at Shea Creek began in mid-February and consists of diamond drilling utilizing three drills, as well as a ground geophysical program which was conducted to the south of the Anne Deposit. The drilling program consists of approximately 48 drill holes focused on the following: Expanding the Kianna Deposit and associated areas of basement mineralization; Testing open areas of basement mineralization and high-grade unconformity mineralization at the Colette Deposit; and Drilling of untested areas between the Kianna and 58B deposits.
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Hidden Bay Project The sixth largest undeveloped uranium resource in the Athabasca Basin comprises two main deposits (Horseshoe and Raven) and has a very robust economic outlook. Work is now proceeding toward a prefeasibility study. The proximity of these deposits to milling facilities operated by Cameco Corporation (Rabbit Lake, 4 km) and AREVA Resources Canada Inc. (McClean Lake, 22 km) offers the potential for future toll milling arrangements, which could significantly reduce the capital requirements of the project. Area:
The eastern Athabasca uranium district, surrounding Cameco’s Rabbit Lake property and adjacent to AREVA’s McClean Lake property.
History: Gulf Minerals Canada Ltd. discovered the Horseshoe, Raven and West Bear deposits while exploring the Hidden Bay property in the 1970s. UEX acquired Hidden Bay from Cameco upon UEX’s formation in 2002. Extensive drilling programs were conducted on the property in the following years, leading to the release of a Mineral Resource Estimate for Horseshoe and Raven in 2009, and a Probable Mineral Reserve Estimate for West Bear in 2010. The Hidden Bay Project continued to grow in prominence following the release of a Preliminary Assessment Technical Report by SRK Consulting (Canada) Inc. on February 15, 2011 which demonstrated "very robust" economics for mining Horseshoe and Raven. Total expenditures to the end of 2010 on exploration and development at Hidden Bay are C$53.4 million and C$4.6 million, respectively, and a total of 460,000 metres of drilling was completed. Current Program: The 2011 summer exploration program at Horseshoe and Raven began in early July and consists of diamond drilling utilizing two drills. The drilling program comprises approximately 18,000 metres with a budget of $4.5 million focused on targets in the vicinity of the Horseshoe and Raven deposits. Drilling is being carried out in three areas: Step out and infill drilling at the Raven Deposit to assess possible extensions of mineralization into open areas, upgrade portions of the deposit resources from Inferred to Indicated status, and to evaluate the potential for greater continuity and expansion of higher grade portions of the deposit. Drilling between the Horseshoe and Raven deposits to follow up previous intercepts, and to assess potential for additional pods of mineralization. Drilling at the Horseshoe Deposit to further enhance geological interpretation and to provide additional infill information which may upgrade the resources.
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Black Lake Project Area:
Northern Athabasca Basin, 15 km south of Stony Rapids, Saskatchewan
History: The Black Lake property was initially explored in the 1970s following the discovery of radioactive boulders identified in till. Electromagnetic (EM) surveys carried out by Eldorado Nuclear Ltd. during 1979 to 1980, and then by Cameco Corporation in 2000, identified well-defined, north-northeast trending conductors. After evaluating drill core from previous operators, UEX commenced systematic testing for uranium mineralization on the Black Lake property in 2003. In 2004, unconformity-type uranium mineralization was discovered in drill hole BL-18. On the basis of the BL-18 intersection, UEX increased its exploration activities in the project area. By 2007, unconformity-type mineralization had been intersected over a strike length of more than 1.7 kilometres. Although no discrete deposits have yet been defined, the presence of unconformity-type mineralization intersected to date continues to indicate that nearby mineralized zones may be present in the area. Current Program: UEX is currently working on a geophysical compilation of results to date at Black Lake to identify potential future drilling targets.
Riou Lake Project Area:
Northern Athabasca Basin, 35 km southwest of Stony Rapids, Saskatchewan
History: Exploration on the Riou Lake property was conducted by Pioneer Metals Corporation from 1997 until 2002, and since then has been conducted by UEX. Principal exploration activities have comprised surface prospecting and lake sediment sampling, electromagnetic (EM) and magnetic surveys, and drilling along conductive units and faults. Although drilling has been of a reconnaissance nature, and is widely spaced, several areas of anomalous alteration, low-grade uranium mineralization and associated faulting have been intersected near the subAthabasca unconformity, which form principal target areas for follow-up drilling. UEX continues to evaluate the uranium exploration potential of the Riou Lake property. While prospective, the significant depths to the target area mean drilling will need to be optimized to the best targets with sufficient size potential for a significant uranium deposit. Current Program: UEX is currently working on a geophysical compilation of results to date at Riou Lake to identify potential future drilling targets. TSX: UEX
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Virginia Energy Resources Inc. (www.virginiaenergyresources.com) Management Team: Walter Coles, Jr., President & CEO Mr. Coles has over ten years of investment banking and management experience in mining and minerals exploration. Before joining Virginia Energy Resources, he was analyst for Cadence Investment Partners, LLC, a New York based hedge fund, from 2005 through to the beginning of 2007. Previously, he worked at UBS Investment Bank as an Associate Director from 1999 through 2005, providing coverage for companies in the natural resource sector. Mr. Coles has a Bachelor of Arts degree in Economics from the University of Richmond. Michael Cathro, Vice President, Exploration Mr. Cathro is a Professional Geoscientist with more than 30 years experience in uranium, gold and base metal exploration, geological research, administration and mine permitting, primarily in North America. He received his M.Sc. from the Colorado School of Mines in 1992 and an Honours B.Sc. in Geological Sciences from Queen's University in 1984. Ronald Netolitzky, MSc., Director Ron Netolitzky holds a Bachelor of Science degree from the University of Alberta and a M.Sc. degree from the University of Calgary, both in geological sciences. He has been directly involved in the mineral exploration industry in Western Canada since 1964. Ron has extensive exploration and mine development experience, and is an officer and director of a number of public mining companies currently involved in mineral exploration throughout the world. Most recently, Mr. Netolitzky was Chairman of Brett Resources Inc., which was acquired by Osisko Mining Corp. in the Spring of 2010. Prior to that, he was Chairman and President of Viceroy Exploration Ltd., which achieved exploration success with its Gualcaymayo gold project in Argentina resulting in the sale of the company to Yamana Gold in 2006. Mr. Netolitzky has been directly associated with three major gold discoveries in Canada that have subsequently been put into production; the Eskay Creek, Snip and Brewery Creek mines. He was honoured with the Bill Dennis Prospector of the Year Award in 1990 by the Prospectors and Developers Association of Canada.
Ron Hochstein, Director Mr. Hochstein is a Professional Engineer and holds an MBA from the University of British Columbia and a B.Sc. from the University of Alberta. Mr. Hochstein is currently President and Chief Operating Officer of Denison Mines Corp. and President of Fortress Minerals Corp. Peter Grosskopf, Director Mr. Grosskopf assumed the role of Chief Executive Officer of Sprott Inc. in September 2010. Mr. Grosskopf has over 23 years of experience in the financial services industry and an extensive background as an advisor and underwriter to companies in a wide variety of sectors. In addition to his role at Sprott, he also serves as Chief Executive Officer of Sprott Resource Lending Corp., and President of Sprott Consulting. Prior to joining Sprott, he was President of Cormark Securities Inc. Over the course of his career, Mr. Grosskopf has established a track record of successfully building and growing businesses. Prior to joining Cormark, Mr. Grosskopf was one of the co-founders of Newcrest Capital Inc., which was acquired by the TD Bank Financial Group in 2000. Mr. Grosskopf holds a Bachelor of Arts degree and a Masters of Business Administration from the University of Western Ontario. Norm Reynolds, Director Mr. Reynolds has over 30 years of experience in mineral exploration and development in Canada and the United States. From 1976 to 1985 he worked exclusively in the uranium industry, mainly in Saskatchewan, Northwest Territories and Virginia. As President of Marline, Mr. Reynolds was directly responsible for uranium exploration efforts in the Eastern United States, which lead to the discovery of the Coles Hill Property in Virginia. From 1985 to 2005, Mr. Reynolds founded, operated and sold ProMark, a significant national geophysical service firm with over 400 employees. Mr. Reynolds has a Bachelors of Science degree from the University of Alberta and is a Registered Professional Geologist in Virginia and Georgia. Contact Information: Suite 611, 675 West Hastings Street Vancouver, British Columbia, Canada V6B 1N2 Telephone: (604) 669-4799 Fax: (604) 669-2543 Email: firstname.lastname@example.org Corporate Overview: Virginia Energy Resources Inc. is focused on the exploration and development of uranium projects in North America. Based in Vancouver, the Company is listed on the TSX Venture Exchange (TSX.V: VAE).
Virginia's most important asset is a 29.9% stake in the giant Coles Hill uranium deposit in Virginia, USA, which has a resource of 119 million pounds U3O8. The Company's most active exploration projects are its uranium properties in the Athabasca Basin of Saskatchewan and the Otish Basin of Quebec. Objectives: *Grow shareholder value through investment in world-class projects in stable geopolitical regions. *Advance permitting and pre-feasibility studies for the Coles Hill deposit, Virginia. *Discover economic, high-grade uranium deposits on its Canadian land holdings. *Develop joint venture partnerships to advance our projects to production. Saskatchewan Projects: Virginia Energy holds an interest in over 98,500 hectares of mineral dispositions within or on the margins of the prolific Athabasca Basin of Saskatchewan, of which half is wholly owned, and the remainder is held in 50-50 joint ventures with Denison Mines Corp. or Forum Uranium Corp. Most of the properties have been actively explored since 2004.
Hatchet Lake (Joint Venture of Virginia Energy 50%, Denison Mines 50%) Location: 30 kilometres north of Points North airport (see map below). Size of Property: 27,663 Hectares. History: The Hatchet Lake property is located in the northern part of the Athabasca basin and covers the strike continuation of faults and conductors which host nearby
unconformity-related uranium deposits and prospects such as La Rocque Lake (Cameco) and Wolly (Areva - Denison). Sandstone cover on the property is relatively thin, ranging from nil to approximately 120 m. Deep penetrating airborne electromagnetic and magnetic surveys have been completed over all the claims and detailed ground surveys have been completed on specific targets. Historic drill holes encountered a number of uranium, cobalt, copper, nickel, arsenic, and gold-enriched sulphide intercepts, including one intersection of 2.5 metres of 7.34% Co, 1.66% Ni and 16.07% As (true width unknown). In recent years the Joint Venture completed scout drilling on the Tuning Fork EM conductors, encountering non-radioactive sulphides and alteration near the unconformity. Current program: The winter 2011 program at Hatchet Lake included ground geophysics and diamond drilling in the Richardson--Crooked Lake area. The target area includes a historically described, six-kilometre-long conductor system with uranium and base-metal enrichment associated with sulphide mineralization and alteration in sandstone and basement rocks. Three holes totaling 802 metres were completed and returned anomalous radioactivity in basement intersections, as follows: Hole # RL-11-01 and RL-11-02A RL-11-03
From (m) 97.65 122.25 107.65 92.55
To (m) 98.05 122.45 108.45 92.85
Thickness (m) 0.4 0.2 0.8 0.3
Grade* (% eU3O8) 0.13% 0.06% 0.15% 0.06%
*Grades reported here are by down-hole probe.
Denison and Virginia are currently planning a follow-up drill campaign on this promising target. Murphy Lake (Joint Venture of Virginia Energy 50%, Denison Mines 50%) Location: 25 kilometres north of Points North Landing airport (see map above). Size of Property: 14,517 hectares. History: The property was previously explored by Asamera Oil, SMDC, Cogema and others. Several interesting geological features including under-explored EM conductors and locally elevated geochemical values have been identified. Limited previous drilling has been completed including holes by Denison/Virginia and Cogema, which intersected anomalous uranium values at the unconformity or in the basement.
Current program: A ground HLEM survey was completed on claim S-111636 in 2011 and follow-up drilling is being planned for several targets on the property. Fond du Lac (Virginia Energy, 100%) Location: 60 kilometres north of Points North Landing (see map). Size of Property: 3877 hectares. History: The Fond du Lac property covers the shallow northeast margin of the Athabasca Basin. Uranium-enriched basement rocks occur to the northeast of the unconformity in this area. Conductivity Depth Imaging identified a possible basement conductor warranting drilling or further ground geophysical follow-up. A number of lake sediment anomalies and elevated metal values in sandstone boulder analyses outline additional target areas. There has been no previous drill testing of these targets. Current program: Soil sampling in 2011 identified several strong uranium and pathfinder anomalies associated with previously identified basement conductors. The property is at a drill-ready stage. Fir Island (Virginia Energy 100%) Location: 20 kilometres east of the village of Stony Rapids. Size of Property: 21,423 Ha History: The Fir Island property straddles the northern margin of the Athabasca basin and the regionally important Black Lake fault. The historic Nisto uranium mine occurs in basement rocks to the northwest of the fault, directly adjacent to the property boundary. Canalaska Uranium and previous operators have identified additional promising basement-hosted uranium targets further to the west. Work by the Company has defined strong radon-in-lake water and soil gas hydrocarbon anomalies, and elevated radioactivity and clay alteration in sandstones on the Fir Island property. The Black Lake fault and sub-parallel conductors are evident from airborne geophysical surveys. Four ground audiomagnetotelluric (AMT) lines were surveyed in 2008. The AMT lines are interpreted to indicate the presence of a significant resistive basement high or uplift, adjacent to the Black Lake fault. Little previous drilling has been completed on the property. Depth to basement is estimated at 200 to 400 metres.
Current program: The property is at a drill-ready stage, with several promising geochemical and geophysical targets. Richards Lake (Virginia Energy 100%) Location: Size of Property: 5387 hectares. History: The Richards Lake property covers relatively deep unconformity uranium targets within the northern part of Athabasca Basin (400 -- 800 m). Structural trends have been identified from airborne magnetic and electromagnetic (MEGATEM) surveys. Conductivity Depth Imaging (CDI) processing of selected MEGATEM lines suggests structural trends indicative of post-Athabasca faulting. Soil Gas Hydrocarbon, lake sediment, and soil samples suggest some uranium enrichment along these trends. In 2008, two ground Audiomagnetotelluric (AMT) lines were completed, indicating a possible basement unconformity coincidental with previously identified MEGATEM and magnetic features. Current program: The property is at a drill-ready stage. Webb River (Virginia Energy 100%) Location: 30 kilometres northeast of Key Lake mine (see map). Size of Property: 15,140 hectares. History: The claims were staked in 2009, straddle the trace of the Athabasca basin unconformity and have structural and geochemical indications favourable for shallow uranium deposits. There are several known bedrock and boulder prospects and radioactive muskeg occurrences on the claims. Current program: Limited soil sampling was completed in 2011. A VTEM survey is proposed. Karpinka (Joint Venture of Virginia Energy 50%, Forum Uranium 50%) Location: 30 kilometres southwest of Key Lake mine (see map). Size of Property: 8151 hectares.
History: The property is transected by the existing Key Lake mine road and is close to Cameco's Key Lake processing facility. It is underlain by Mudjatik and Wollaston Domains and hosts several airborne electromagnetic conductors with crosscutting N70 structures prospective for shallow basement-hosted uranium deposits similar to Cameco's Millenium deposit. In addition, several radioactive boulder occurrences and outcrops are known from historic work. Current program: The JV has recently completed a gravity survey and additional work is being contemplated. Quebec Project Otish Basin (Virginia Energy 100%) Location: 350 km north of Chibougamau, Quebec. Size of property: approximately 100,000 hectares. History: Virginia has been exploring its large property package in the Proterozoic Otish Basin since 2007. The area of the claims was explored in the 1980s by Uranerz, Cogema and several other companies, who drilled several hundred holes and identified numerous prospects. Virginiaâ€™s Otish properties have uranium prospects similar to the nearby, highgrade Matoush deposit of Strateco Resources Inc. (7.46 million lbs U3O8 Indicated, and 12.78 million lbs U3O8 Inferred), the Seru L zone (or Lavoie) deposit of Abitex/Soquem/Areva, the new Epsilon discovery of Abitex, and Cameco's South Otish (Camie River) project. Current program: A $1.1 million exploration program, including 2000 metres drilling, was completed in August 2011 and results are awaited. The drilling was conducted on the Lac du Castor, Lavoie East (L-Zone extension) and Red Green prospects. The targets are relatively shallow (less than 100 metres depth) and defined by historic drill intercepts (e.g. 5 metres grading 0.16 per cent U3O8 in hole OELV-290 at Lac du Castor), mineralized boulders as well as geophysical and geochemical anomalies in areas with prospective geology. Numerous other targets are ready for drilling.