First American Uranium Inc. (CSE: URM | FSE: IOR | OTCPK: FAUMF) has received the final draft of its NI43-101 report for its Red Basin uranium-vanadium property in Catron County, New Mexico, USA.
The report recommends advancing the project and supports a resource calculation that includes an airborne radiometric survey, drilling to confirm historic Gulf Oil data and to test new targets, environmental baseline studies, and an environmental assessment or environmental impact study.
“Receiving this 43-101 report is an important milestone toward advancing our understanding of the Red Basin uranium/vanadium project’s value and for planning our exploration programme to help define the project’s resource potential,” commented Shawn Balaghi, First American Uranium’s CEO.
“As the report indicates, the project’s location, combined with the extent of past exploration, suggests the Red Basin property is a very attractive project in the making. Timing is also an advantage due to rising demand for carbon-free sources of electricity, geopolitical tension with Russia, and uranium prices reaching 10-year highs.”
The project, which consists of 26 optioned lode claims totaling ~217ha, is about 402 km north of the only operating uranium mill in America. The project’s region produced 1,194lbs of U3O8 (triuranium octoxide) in the 1950s from ore mined with an average grade of 0.17% U3O8 (McLemore & Chenoweth, 2017).
According to the report, evaluations of the property from several sources confirm the presence of uranium-vanadium deposits, indicating the potential to become an advanced stage project.
While the report does not include a resource estimate for the project, previous historical studies have made non-43-101-compliant resource estimates for the property of between 1.6 and 6.5Mlbs U3O8.
With respect to these historical estimates, a qualified person has not done sufficient work to classify the historical estimates as current mineral resources or mineral reserves, and First American is not treating the historical estimates as current mineral resources.
The reliability of the estimates is not known, and sampling and drilling will be necessary to confirm the estimates.
For further information, please visit: www.firstamericanuranium.com
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