The Ceboletta project, in New Mexico
US-focused uranium exploration and development company Premier American Uranium (PUR) is shifting from resource confirmation to focus primarily on growth and resource expansion following a recent set of milestones.
The company, which late last month completed the acquisition of American Future Fuel, now has a strong foothold in three of the top uranium districts in the US, namely New Mexico, Wyoming and Colorado.
In New Mexico, PUR last week announced a National Instrument 43-101-compliant mineral resource estimate (MRE) for the Cebolleta project. The resource estimate, which was delivered 12 months ahead of schedule, details 18.6-million pounds equivalent of uranium oxide (eU3O8) (6.6-million short tons at an average grade of 0.14%) in indicated resources and 4.9-million pounds of eU3O8 (2.6-million tons at a grade of 0.10%) in the inferred category.
Compared with the historic 2014 estimate, the new MRE has increased in size and quality, with 80% of the previous inferred resources upgraded to indicated resource, reports CEO Colin Healy.
He points out that the updated resource estimate came at a minimal cost. “We believe the early achievement of this milestone positions PUR to fast-track, focusing efforts on resource expansion and priority target testing, rather than extensive confirmation work as previously anticipated,” says Healy.
The Cebolleta project holds potential for significant resource expansion, including at the Willie P target, which was not included in the MRE, the underexplored extension of mineralisation remaining open along trend, and several other untested areas.
The Westwater Canyon Member, the principal host rock for several large historic uranium mines in the Grants Mineral Belt, which contains more than 400-million pounds of uranium, remains largely unexplored on the Cebolleta property, where the current mineral resources are hosted within the shallower Jackpile sandstone.
“With several untested and underexplored targets at Cebolleta providing a clear path for resource growth, we are excited to initiate next steps well ahead of timelines previously expected by the market.
“Our technical team is currently assessing future work programmes and permitting requirements with a focus on leveraging the momentum gained towards adding pounds in the prolific Grants mineral belt district,” states PUR.
With about 347-million pounds of uranium produced, the Grants district is fourth-biggest uranium district in the world. The company will focus on adding pounds near to the past producing Jackpile and Paguate mine complex with historical production of 100-million pounds of uranium.