Skyharbour Option Partner Azincourt’s Geophysical Surveys Generate Numerous High-Quality Targets at East Preston Project in the Athabasca Basin
VANCOUVER, B.C., March 07, 2018 (GLOBE NEWSWIRE) -- Skyharbour Resources Ltd. (TSX-V:SYH) (OTCQB:SYHBF) (Frankfurt:SC1P) (the “Company”) is pleased to announce its option partner Azincourt Energy (“Azincourt”) has completed HLEM and Gravity geophysical surveys at the Company’s East Preston project, a highly prospective uranium project located in the western Athabasca Basin, Saskatchewan. The project is located near NexGen Energy Ltd.’s high-grade Arrow deposit hosted on its Rook-1 property and Fission Uranium Corp.’s Triple R deposit located within their PLS Project area. Numerous high-quality drill targets have been generated from the 50 line km surveys and detailed interpretation work is underway to generate targets for future drill testing incorporating the gravity survey results.
Preston Uranium Project Claims Map:
Skyharbour and Clean Commodities entered into an Option Agreement (the “Agreement”) with Azincourt whereby Azincourt has an earn-in option to acquire a 70% working interest in a portion of the Preston Uranium Project known as the East Preston Property. Under the Agreement, Azincourt has issued 4,500,000 listed common shares and will contribute cash and exploration expenditure consideration totaling up to CAD $3,500,000 in exchange for up to 70% of the applicable property area over three years. Of the $3,500,000 in project consideration, $1,000,000 will be in cash payments to Skyharbour and Clean Commodities, as well as $2,500,000 in exploration expenditures over the three year period. Azincourt has issued Skyharbour and Clean Commodities each 2,250,000 common shares upfront for a total issuance of 4,500,000 common shares.
Highlights of Azincourt’s Exploration Program at East Preston Uranium Project:
- 50 line km of Horizontal Loop Electromagnetic (HLEM) and ground gravity surveys completed on multiple grids across the East Preston property (see link to image below)
- Excellent basement conductors confirmed and ground-truthed for follow-up with numerous targets identified on every grid surveyed
- Detailed geophysical interpretation is on-going to qualify and prioritize drill targets for future drill testing using established Athabasca uranium deposit criteria
- Azincourt may earn a 70% interest in East Preston totaling 25,329 hectares, which represents the eastern region of the larger 74,965 hectare Preston Project through the upfront issuance of 4,500,000 shares as well as $3,500,000 of total project consideration over three years, including up to $2,500,000 of exploration work programs and $1,000,000 of cash payments to Skyharbour and Clean Commodities to be split equally
- In addition to the Azincourt Agreement on the Preston East Property, Skyharbour also has an option agreement with Orano Canada Inc. (previously AREVA Resources Canada) whereby Orano may earn up to a 70% interest in a separate 49,635 hectare portion of the Preston Project
Recent Preston Uranium Project Geophysical Programs:
Azincourt engaged a highly experienced geophysical consultant, Mr. Lawrence Bzdel, P.Geo., to plan and oversee the geophysical surveys and interpret all recently acquired data alongside the historical exploration work and results.
East Preston Survey Grid Location:
Paterson Geophysics Ltd. completed the 50 line km of HLEM survey work and MWH Geo-Surveys completed the 50 line km of ground gravity surveying based out of a temporary camp established on the project. The HLEM data was collected with a 200 m Transmitter-Receiver separation, and 50 m station intervals. The survey was designed to accurately identify multiple conductor systems in this shallow depth to basement environment. Unconformity-related uranium deposits are often associated in proximity to basement conductive trends and represent a first order criterion for discovery.
The Gravity survey recorded measurements at 50 m station intervals along grid lines. Subtle gravity low anomalies can highlight areas of alteration and structural disruption while gravity highs may represent basement topography, which are also associated with unconformity-related uranium deposits. Initial interpretation work has confirmed the prospective, often highly complex, basement conductor architecture at East Preston.
Detailed interpretation work will incorporate all data including the historical and the present gravity and HLEM data to generate, rank and prioritize targets for future follow-up drill testing. Based on the interpreted number and quality of the conductor trends, Azincourt expects to generate enough targets for several drill programs.
Overview of East Preston:
The significant potential of the Western Athabasca Basin has been highlighted by recent discoveries in the area by NexGen Energy Ltd. (Arrow), Fission Uranium Corp. (Triple R) and a joint-venture consisting of Cameco Corporation, Orano Canada Inc. and Purepoint Uranium Group Inc. (Spitfire). More than $4.7-million in expenditures on the entire Preston Uranium Project have been incurred to date, including over $2 million at East Preston. This exploration has consisted of ground gravity, airborne and ground electromagnetics, radon, soil, silt, biogeochem, lake sediment, and geological mapping surveys, as well as two exploratory drill programs. Several high-priority drill target areas associated with multiple prospective exploration corridors have been successfully delineated through this methodical, multiphased exploration initiative, which has culminated in an extensive, proprietary geological database for the project area.
Preston Uranium Property Map and Regional Exploration Corridors:
Furthermore, on March 9th, 2017, Skyharbour announced an option agreement with Orano Canada Inc. which provides Orano an earn-in option to acquire up to a 70% working interest in a 49,635 hectare portion of the total 74,965 hectare Preston Uranium Project (see News Release dated March 9th, 2017). Under the agreement, Orano can contribute cash and exploration program consideration totaling up to CAD $8,000,000 in exchange for up to 70% of the applicable project area over six years.
The technical information in this news release has been prepared in accordance with the Canadian regulatory requirements set out in National Instrument 43-101 and reviewed and approved by Richard Kusmirski, P.Geo., M.Sc., Skyharbour’s Head Technical Advisor and a Director, as well as a Qualified Person.
About Skyharbour Resources Ltd.:
Skyharbour holds an extensive portfolio of uranium and thorium exploration projects in Canada\'s Athabasca Basin and is well positioned to benefit from improving uranium market fundamentals with five drill-ready projects. In July 2016, Skyharbour acquired an option from Denison Mines, a large strategic shareholder of the Company, to acquire 100% of the Moore Uranium Project which is located approx. 15 kilometres east of Denison\'s Wheeler River project and 39 kilometres south of Cameco\'s McArthur River uranium mine. Moore is an advanced stage uranium exploration property with high-grade uranium mineralization at the Maverick Zone with drill results returning 6.0% U3O8 over 5.9 metres including 20.8% U3O8 over 1.5 metres at a vertical depth of 265 metres. Skyharbour recently signed option agreements with Orano Canada Inc. and Azincourt Energy whereby Orano and Azincourt can earn in 70% on the Preston Project through a combined $9,800,000 in total exploration expenditures, as well as $1,700,000 in total cash payments and 4,500,000 Azincourt shares. Preston is a large, geologically prospective property proximal to Fission Uranium\'s Triple R deposit as well as NexGen Energy\'s Arrow deposit. The Company also owns a 100% interest in the Falcon Point Uranium Project on the eastern perimeter of the Basin which contains an NI 43-101 inferred resource totaling 7.0 million pounds of U3O8 at 0.03% and 5.3 million pounds of ThO2 at 0.023% contained within 10,354,926 tonnes using a cutoff grade of 0.01% U3O8. The project also hosts a high-grade surface showing with up to 68% U3O8 in grab samples from a massive pitchblende vein, the source of which has yet to be discovered. The Company\'s 100% owned Mann Lake Uranium project on the east side of the Basin is strategically located adjacent to the Mann Lake Joint Venture operated by Cameco, where high-grade uranium mineralization was recently discovered. Skyharbour\'s goal is to maximize shareholder value through new mineral discoveries, committed long-term partnerships, and the advancement of exploration projects in geopolitically favourable jurisdictions.
Skyharbour’s Uranium Project Map in the Athabasca Basin:
SKYHARBOUR RESOURCES LTD.
President and CEO
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Skyharbour Resources Ltd.
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This release includes certain statements that may be deemed to be "forward-looking statements". All statements in this release, other than statements of historical facts, that address events or developments that management of the Company expects, are forward-looking statements. Although management believes the expectations expressed in such forward-looking statements are based on reasonable assumptions, such statements are not guarantees of future performance, and actual results or developments may differ materially from those in the forward-looking statements. The Company undertakes no obligation to update these forward-looking statements if management\'s beliefs, estimates or opinions, or other factors, should change. Factors that could cause actual results to differ materially from those in forward-looking statements, include market prices, exploration and development successes, continued availability of capital and financing, and general economic, market or business conditions. Please see the public filings of the Company at www.sedar.com for further information.
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