Strathmore Receives Positive Core Assay Results from Monitor Well Installation Program at Roca Honda Uranium Projectadmin
Strathmore Minerals Corp. announce positive core assay results from the 2007-08 well installation program at its Roca Honda uranium development project in New Mexico. The program successfully installed groundwater monitor and sampling wells on the project site. In addition, cores were collected for environmental and metallurgical studies. These studies are part of the mine permit application and feasibility analysis currently being prepared by Strathmore and its joint venture partner, Sumitomo Corp. of Japan.
Drilling, coring, logging, and well installation were completed between June 20, 2007 and January 13, 2008. Monitor well S-1b is an offset to S-1a, which was lost after collecting the core. Two of the four additional locations tested identified significant new uranium mineralization. The final chemical results were received from the laboratory in July, 2008.
Monitor wells S-1b and S-2 identified additional mineralization in areas outside the known deposit as identified by the Company’s NI 43-101 resource calculation. The Company is encouraged by these findings which suggest additional uranium resources will be identified at Roca Honda beyond the known deposit which has an estimated Measured & Indicated mineral resource totaling 17,512,000 lbs. U3O8 contained within 3,782,000 tons at an average grade of 0.23% U3O8 for the Roca Honda property. An additional 15,832,000 lbs. U3O8 within 4,546,000 tons at an average grade of 0.17% U3O8 are estimated as an inferred mineral resource. The newly acquired results will be incorporated into the next uranium resource update.
Monitor wells S-3 and S-4 were also drilled, cored, and installed. Core recovery was variable, but generally poor. These two wells were drilled outside known or expected mineralized areas.
In hole S-1a, the average grade (core) was 0.679% cU3O8, while the average corresponding grade for the intercept at approximately the same depth in hole S-1b (probe, gamma) was 0.370% eU3O8. For S-2 the core average grade for the second intercept was 0.733% cU3O8, while the corresponding gamma grade for the intercept was 0.560% eU3O8. Both results show more uranium present than is indicated by gamma logging. However, the results do not change the methodology of calculating uranium resources in the district. While the data suggests a higher positive factor may be used, the generally accepted equilibrium factor of 1.0 will continue to be used and is considered reliable. This method corresponds with historical operating data from the eastern Ambrosia Lake District.
Strathmore continues to perform the studies that will lead to submittal of the mine plan permit and NRC mill license applications. With respect to ongoing permitting studies, the sampling of regional public and private water wells on the project property, and in the vicinity, has begun as part of the baseline environmental program. Surface water and sediment sampling will follow shortly thereafter. In addition, hydrologic pump tests are scheduled to be performed later this fall. A draft Sample and Analysis Plan has been submitted to the regulatory agencies for their review and comment, and Mine Plan and water treatment designs are well underway. A mine permit application is expected to be submitted in early 2009.
The ongoing alternative mill and tailing disposal sites analysis has narrowed the alternative locations sufficiently to allow the Company to begin site-specific field studies, including the drilling of geotechnical boreholes, archaeological, and biological investigations. The Company’s engineering consultants have completed the 30% design of the mill (see press release dated July 10, 2008). It will be advanced to a 60% design for use in the NRC license application, scheduled to be submitted in late 2009 or early 2010.
Roca Honda is an advanced stage uranium development project. Mine planning, permitting, and mill design studies are being carried out under the direction of Strathmore and its joint venture partner Sumitomo Corp. of Japan. The project is owned 60% by Strathmore and 40% by Sumitomo.