Kaycee Uranium Project, Wyoming
Highlights
The Kaycee Project in Wyoming’s prolific Powder River Basin (PRB) is the Company’s priority project, covering a 33 mile mineralized trend with over 110 miles of identified roll fronts and consists of more than 42 square miles of mineral rights. Under Nuclear Fuels Inc., this represents the first time since the early 1980’s that the entire district is controlled by one company.
Project Details
Historic drilling of over 3,800 drill holes has confirmed uranium mineralization over more than 1,000 vertical feet in all three historically productive sandstones within the PRB, making the Kaycee Project unique as the only one in the PRB where all three formations—Wasatch, Fort Union, and Lance—are mineralized and potentially amenable to ISR extraction. The majority of the trend has not been well-explored with drilling concentrated on approximately 10% of the trend.
Nuclear Fuels acquired the Kaycee Project from enCore Energy Corp., which retains a back-in right for 51% of the project by paying 2.5X the exploration costs and carrying the Kaycee project to production (costs recoverable from production) upon Nuclear Fuels establishing a minimum of a 43-101 compliant resource of 15 million pound U3O8.
2023/2024 Kaycee Project Drill Programs
- Initial Phase of Drilling Complete:
- Nuclear Fuels commenced drilling at the Kaycee Project in November 2023 with a focus on confirming and expanding historic resources at both the Saddle Zone and Spur Zone which have not been drill-tested since the early 1980s – completed 200 holes in 2023 and during the first half of 2024.
- Results from the 2023 and early 2024 drilling successfully confirmed and expanded historically-identified mineralization at both the Saddle Zone and the Spur Zone, with numerous holes returning potentially economic grades at relatively shallow, potentially ISR-amenable depths.
- High-grade mineralization was encountered in numerous drill holes at the Saddle Zone, including hole SD23_065 which returned 4.5 feet of 0.237% U3O8 from a depth of 306.0 feet for a Grade-Thickness of 1.067. GradeThickness or GT is the thickness times the grade; GTs in excess of 0.25 are considered suitable for inclusion in a potential wellfield.
- Spur Zone mineralization was intersected on trend 2 miles northwest of the Saddle Zone with hole SR23-002 returning 3.5 feet of 0.141% U3O8 from a depth of 415.5 feet and 4.5 feet of 0.223% U3O8 from a depth of 422.0 feet for a combined GT of 1.543.
- 2024 Drill Program Underway:
- The Company has incorporated the 2023 and H1/2024 drill results into the extensive project database which includes over 3,800 previously-drilled holes, in order to guide ongoing exploration at the Kaycee project.
- An update on current exploration activities along with additional drill results will be provided in due course.
Wyoming
Wyoming is a proven and prolific uranium producer with a pro-energy government with established regulatory regime for the extraction of uranium through in-situ recovery (ISR) technology. As Wyoming is one of the few “Agreement States” where the federal government and the Nuclear Regulatory Commission have ceded regulatory authority to the state government, permitting and advancing uranium projects is more efficient and streamlined as compared to most other states. Wyoming, with over 250 million pounds of historic production, ranks as the state with the second most uranium production to date; most of which has been through the ISR method since 1990 with most of the ISR production having come from the PRB.
Fruchey, R., A., 1982, Kaycee Geologic Report for Washtenaw Energy Corporation and Midwest Energy Resources Co. Internal report.
The technical content of this news release has been reviewed and approved by Mark Travis, CPG., a contractor to the Company, and a Qualified Person as defined in National Instrument 43-101.
Drill holes are completed by Single Water Services using a rotary drill rig. Chip samples are collected for lithological logging every five feet. Century Geophysics of Tusla Oklahoma is contracted to conduct downhole gamma ray, resistivity, spontaneous potential, and deviation. Century Geophysics calibrates it’s downhole tools in the US Department of Energy uranium logging Test pits in Casper Wyoming to insure the accuracy of the down hole gamma ray log measurements.
