Laramide Resources Provides Initial Resource Estimate on the Crownpoint Uranium Project
Listed (TSX:LAM; ASX:LAM)
TORONTO, Dec. 20, 2018 /CNW/ - Laramide Resources Ltd. ("Laramide" or the "Company") is pleased to announce the results of its maiden independent Mineral Resource Estimate (the "Resource Estimate") prepared using the CIM Definitions (2014) as incorporated in NI 43-101 for the Company's 100% owned Crownpoint Uranium Project (the "Project" or "Crownpoint"), located in New Mexico, United States. The Resource Estimate was completed by Roscoe Postle and Associates Inc. ("RPA") in Denver, USA with the assistance of Laramide's technical team. The Resource Estimate also satisfies the requirements of the 2012 JORC code. The Technical Report pertaining to the Resource Estimate will be filed on Sedar (www.sedar.com) within 45 days.
The Resource Estimate supersedes various "historical estimates" for purposes of NI 43-101 reporting (see press release dated October 10, 2018) and considers planned In Situ Recovery ("ISR") of uranium consolidating the significant work completed by previous operators on the Project.
Highlights include:
- An Inferred Resource Estimate of 2.5 million tons at an average grade of 0.102% eU3O8 for a contained resource of 5.1 million pounds U3O8 using a 0.5 ft-% U3O8 Grade Thickness (GT) cutoff.
- Data from previous operators was consolidated and digitized resulting in a database of 305 drill holes totaling 648,702 feet of drilling.
- The report highlighted areas where wide-space drilling did not support a current resource estimate using the CIM Definitions (2014), but have been flagged for immediate follow up to potentially allow further expansion of the resource.
The Resource Estimate expands on the Company's New Mexico uranium resources including the 50.8 million pounds U3O8 of Inferred Resource estimated for the Church Rock Project (see Press Releases October 10, 2017 and November 22, 2017). Importantly, both of the Resource Estimates fall under the Company's NRC license which is the identified location for the 3 million lb U3O8 per annum Central Processing Plant (CPP) under the permit.
Marc Henderson, Laramide Resources Ltd.'s President and Chief Executive Officer, commented, "The Crownpoint Resource is an important piece in the development of our New Mexico uranium portfolio. With this information now in hand the Company can look towards developing a preliminary economic assessment (PEA) of the combined Church Rock and Crownpoint Deposits."
Mineral Resource Estimate
The Crownpoint Resource Estimate was completed utilizing the Grade x Thickness (GT) Contour Method, an industry standard for estimating uranium roll-front type deposits hosted within groundwater-saturated sandstones. The mineralization at Crownpoint has been previously shown to be amenable to ISR techniques.
The Resource Estimate is comprised of the following properties and ownership:
- Section 9, T17N-R13W: The Section 9 property (~160 acres) consists of nine unpatented Lode Mining Claims of which Laramide owns 100%.
- Section 24, T17N-R13W: The Section 24 property (S½ = ~320 acres) consists of 12 unpatented mining claims (Consol 1, 2; CP 10-19), of which Laramide owns 100%, and a 40% interest in the remainder of the property held by private mineral ownership.
- Section 25, T17N-R13W: The Section 25 property (~135 acres) consists of eight unpatented mining claims (Hydro 1-8) of which Laramide owns 100%.
The following table summarizes the Mineral Resource Estimate by Sand Unit and by Section. Due to the historical nature of the data the resource estimate is classified as Inferred, until additional new confirmation data can be obtained:
Table -1 Mineral Resource Estimate by Sand Unit – November 16, 2018 | ||||||||
Total Resource | Laramide Controlled Resource | |||||||
Classification | Sand Unit | Tonnage | Grade | Contained Metal | Tonnage | Grade | Contained Metal | % Controlled |
(000 Tons) | (% eU3O8) | (000 lbs U3O8) | (000 Tons) | (% eU3O8) | (000 lbs U3O8) | |||
Inferred | Jmw A Sand | 436 | 0.091 | 797 | 416 | 0.091 | 753 | 94.4% |
Jmw B Sand | 907 | 0.099 | 1,802 | 655 | 0.099 | 1,300 | 72.1% | |
Jmw C Sand | 444 | 0.088 | 784 | 250 | 0.092 | 458 | 58.4% | |
Jmw D Sand | 179 | 0.114 | 408 | 115 | 0.108 | 249 | 61.0% | |
Jmw E Sand | 2,198 | 0.114 | 5,006 | 1,061 | 0.109 | 2,320 | 46.3% | |
Total Inferred | 4,163 | 0.106 | 8,798 | 2,497 | 0.102 | 5,079 | 57.7% | |
Table -2 Mineral Resource Estimate by Section – November 16, 2018 | ||||||||
Total Resource | Laramide Controlled Resource | |||||||
Classification | Section | Tonnage | Grade | Contained Metal | Tonnage | Grade | Contained Metal | % Controlled |
T17N, R13W | (000 Tons) | (% eU3O8) | (000 lbs U3O8) | (000s Tons) | (% eU3O8) | (000s lbs U3O8) | ||
Inferred | NW¼ Section 9 | 675 | 0.096 | 1,293 | 675 | 0.096 | 1,293 | 100.0% |
S½ Section 24 | 3,466 | 0.108 | 7,468 | 1,800 | 0.104 | 3,749 | 50.2% | |
NE¼ Section 25 | 23 | 0.076 | 35 | 23 | 0.076 | 35 | 100.0% | |
Total Inferred | 4,163 | 0.106 | 8,798 | 2,497 | 0.102 | 5,079 | 57.7% | |
Notes for Tables 1 and 2: | ||
1. | CIM (2014) definitions were followed for Mineral Resources. | |
2. | Mineral Resources are reported at a GT cut-off of 0.5 ft-% eU3O8. | |
3. | A minimum thickness of 2.0 ft was used. | |
4. | A minimum cut-off grade of 0.03% eU3O8 is based on historic mining costs and parameters from the district was used. | |
5. | Internal maximum dilution of 5.0 ft was used. | |
6. | Grade values have not been adjusted for disequilibrium. | |
7. | Tonnage factor of 15 ft3/ton is based on the tonnage factor historically used by the mining operators in the area. | |
8. | Mineralized areas defined by isolatedor widely spaced drill holes, or located within the area previously subject to pastproduction, were excluded from the estimate. | |
9. | Numbers may not add due to rounding. | |
Next Steps
With the completion of the Resource Estimate, the combined Church Rock and Crownpoint Project will be advanced to a PEA. This will be the first economic study on the consolidated Project, and which would include the elimination of certain royalties owned by Laramide (including the up to 25% gross) on portions of the Project.
To complete the New Mexico Environmental Department Groundwater Discharge Plan permit requirements, the Company must demonstrate, in a laboratory environment, the ability, post leaching, to restore groundwater in the mining aquifer to an acceptable level. In order to complete this leach study fresh core is required from the Project. The Company plans to complete this core drilling and begin the leach-restoration testing in early 2019.
Exploration is also planned for areas noted in the Technical Report where wide-spaced drilling previously defined potential mineralization. This drilling, in conjunction with the core studies, may lead to areas of the present Inferred Mineral Resource to be upgraded to Measured and Indicated Resources, and the potential discovery of additional mineral resources.
Qualified Person
The Mineral Resource estimate for Crownpoint was prepared in accordance with standards as defined by the Canadian Institute of Mining, Metallurgy and Petroleum ("CIM") "CIM Definition Standards-For Mineral Resources and Mineral Reserves", adopted by CIM Council on May 10, 2014. The Mineral Resource estimate for Crownpoint was prepared by Mark Mathisen, C.P.G., a Principal Geologist at Roscoe Postle Associates Inc. Mr. Mathisen is the Competent Person for the related Mineral Resource and is a Member of the American Institute of Professional Geologists (CPG-11648), a 'Recognized Professional Organization' (RPO) included in a list that is posted on the ASX website from time to time. Mr. Mathisen has sufficient experience which is relevant to the style of mineralization and type of deposit under consideration and to the activity being undertaken to qualify as a Competent Person as defined in the 2012 Edition of the 'Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves'. Mr. Mathisen is independent of the Company at the time of the mineral resource estimate. He is a Qualified Person as defined by Canadian National Instrument 43-101 and has reviewed and approved the technical disclosure of the Mineral Resources contained in this news release.
The technical information in this news release has been prepared in accordance with the Canadian regulatory requirements set out in NI 43-101. The information has been reviewed and approved by Bryn Jones, MMinEng, FAusIMM, a Qualified Person under the definition established by National Instrument 43-101 and JORC. Mr. Jones is the Chief Operating Officer of the Company and a Fellow of the Australasian Institute of Mining and Metallurgy. The Mineral Resource Estimate was prepared by Mark Mathisen, C.P.G., of Roscoe, Postle and Associates Inc. RPA in Denver, USA, with the assistance of Laramide's technical team. Mark Mathisen, who is an Independent Qualified Person ("QP"), as defined by National Instrument 43-101, has reviewed and approved the technical contents of this news release.
To learn more about Laramide, please visit the Company's website at www.laramide.com.
About Laramide Resources:
Laramide is a Canadian-based company with diversified uranium assets strategically positioned in the United States and Australia that have been chosen for their low-cost production potential. Laramide's recently acquired Church Rock and Crownpoint properties form a leading In-Situ Recovery (ISR) division that benefits from significant mineral resources and near-term development potential. Additional U.S. assets include La Jara Mesa in Grants, New Mexico, and La Sal in the Lisbon Valley district of Utah. The Company's Australian advanced stage Westmoreland is one of the largest uranium projects currently held by a junior mining company. Laramide is listed on the TSX: LAM and ASX: LAM.
Forward-looking Statements and Cautionary Language
This News Release contains forward looking statements which are subject to a variety of risks and uncertainties which could cause actual events or results to differ materially from those reflected in the forward looking statements. The Company does not intend to update this information and disclaims any legal liability to the contrary.
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SOURCE Laramide Resources Ltd.
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