Fission Uranium Corp. [FCU-TSX; FCUUF-OTCQX; 2FU-FSE] has released the results of an updated resource estimate for the Triple R deposit at its at its 100%-owned Patterson Lake South (PLS) property in Saskatchewan.
Fission has previously said the Triple R uranium deposit has the potential to become one of the lowest cost uranium mining operations in the world. The project is located in Saskatchewan’s Athabasca Basin, the world’s richest uranium region. In 2020, the Athabasca Basin accounted for approximately 8.1% of the global primary uranium production.
On Monday, the company said total indicated tonnes have increased by 21.3% (472,000 tonnes) compared to a previous estimate released in September, 2019, with an associated increase of approximately 12.3% in contained U308 and a minor decrease in grade from 2.10% U308 to 1.94% U308.
As of May 17, 2022, the indicated resource stands a 2.68 million tonnes of grade 1.94% U308 and 0.61 g/t gold or 114.9 million pounds of contained uranium and 52,700 ounces of gold.
The total inferred resource stands at 653,000 tonnes of grade 1.10% U308 and 0.44 g/t gold or 15.4 million pounds of contained uranium and 9,000 ounces of gold
The latest estimate includes the R151W, R840W, ROOE, R780E and R1620E zones. The new larger resource is primarily due to the successful infill drilling program s on the R780E and R840W zones from 2019 to 2021 and will be fundamental to the feasibility study, including life of mine calculations and processing schedule.
“The increased resource estimate of the Triple R deposit at PLS will play an important role in the calculations used for the feasibility study, the results of which are expected by year end,’’ said Fission President and CEO Ross McElroy.
Of the 838 holes drilled on the PLS property, 696 covering 213,969 metres were used for the mineral resource estimate.
The 31,039-hectare Patterson Lake Project is accessible by road with the primary access from all-weather Highway 955, which runs north of the former Cluff Lake mine and passes the NexGen Energy Ltd. [NXE-TSX, NYSE] Arrow deposit located 3.0 kilometres to the east and UEX Corp. [UEX-TSX, UEXCF-OTC]-Areva Shea Creek discoveries located 50 kilometres to the north.
The company released a pre-feasibility study for the PLS property in November, 2019. It outlines an underground-only mining scenario for PLS which to date has only considered the R00e and R780E zones.
The resource update comes amid signs that a new uranium bull market is under way, a scenario that is expected to boost demand for the radioactive metal. Analysts say higher uranium prices and the continually increasing focus on green energy is shining the spotlight on exploration companies like Fission Uranium.
On September, 2022, Fission Uranium shares closed unchanged at 85 cents and currently trade in a 52-week range of $1.25 and 56 cents.