CanAlaska Uranium (CVV-V) Dec 27, '13 has recently entered into project option agreements on the Patterson Lake and the NW Manitoba uranium projects, with respective initial work commitments of $1.5-million and $3.2-million. Work has commenced on each of these projects, the results of which are expected to be available in the first quarter 2014.At Patterson Lake, airborne surveys have been contracted, and survey work is imminent. At NW Manitoba the current interest is drill testing of high-grade, near-surface uranium mineralization. This is well supported by the geology and mineralization found on the property to date. The $11.6-million project option will allow CanAlaska shareholders to benefit from significant exploration on one of its advanced properties without suffering the effects of share dilution in the current market.
The company has also been in discussion with a number of other industry participants concerning its advanced projects in the Athabasca. These discussions are progressing under confidentiality agreements. The company has reduced its own direct project costs. To this end, MC Resources Canada Ltd., a subsidiary of Mitsubishi Corp., and CanAlaska have allocated a net maintenance budget of $98,850 for the 2014 joint venture expenditure on the West McArthur project. The Cree East project, financed by CanAlaska's Korean partners, Hanwha, SK, KORES and KEPCO, has adopted a winter budget of $408,163 to allow detailed gravity and radon surveys, as well as ground electromagnetic and resistivity within the area of zone B.
At Cree East, a summer drill program to test target B has been approved, subject to additional financing following the winter groundwork. The Cree East project has a number of large alteration zones caused by hydrothermal fluids interacting with rocks at the unconformity and the overlying sandstone. These alteration zones show the characteristics of alteration at active mines elsewhere in the Athabasca. The largest and most intense target on the property is located at zone B. This target has been detailed in previous news releases, but, in summary, drilling has intersected a major 50-metre offset at the unconformity, coincident with a quartz ridge, intense sandstone silicification/desilicification and sandstone column collapse, extending from the unconformity at 400 metres to surface.
The recent announcement of the discovery of a new diamond area, east of La Ronge, Sask., has drawn significant interest to the 12 target areas staked by the company earlier this year. These are non-core assets, and the company has these claims for sale or option. Each claim group covers selected geophysical targets with distinct magnetic signatures similar to kimberlite targets in the area.
Shareholders and investors can review detailed information on all the company's 18 uranium projects and joint ventures on the company's website.
Peter Dasler, MSc, PGeo, is the qualified person responsible for this news release. |
