Uranium Deposit Types in North America: Review of Current Production, Development and Exploration Projects

Transcription

1 Uranium Deposit Types in North America: Review of Current Production, Development and Exploration Projects Kim Warthan Consulting Geologist BlueRock Resources Ltd.

2 Uranium Deposit Types IAEA classification system Historical production in North America Unconformity-related Quartz-pebble conglomerate Sandstone Volcanic and caldera-related Collapse breccia pipes Phosphorite 2

3 Uranium Deposit Models 3

4 Outline Review of current North American projects by deposit type Production Canada U.S. Development Exploration Summary 4

5 North America Uranium Deposit Types in Production Unconformityrelated Roll-front sandstone Tabular sandstone 5

6 Canada Production Summary (Ref. nuclear.org/info/inf49.html 9/10/2007) Production Centre McArthur River * small, included with McArthur River figure ** shutdown following most productive year, Key Lake * McClean Lake Rabbit Lake Cluff Lake 27** TOTAL (tu)

7 Canada Unconformity-related deposits in production 7

8 North America Uranium Deposit Types in Production Unconformityrelated Roll-front sandstone Tabular sandstone 8

9 U.S. EIA Summary Production Statistics dated 4 May 2007 Operations In situ recovery Plants [1] Conventional Plants [2] Production (tu) [1] Power Resources (Cameco) Highland/Smith Ranch in WY and Crow Butte in Nebraska; Uranium Resources Kingsville Dome and Vasuez in Texas; and Mesteña in Texas at Alta Mesa. [2] Canon City, White Mesa (includes alternate feed ) U.S. (ref. EIA Summary Production Statistics of the U.S. Uranium Industry, Report date May 4, 2007) 9

10 EIA Summary Mine Operations Number of Mines Underground Open pit In Situ Leach Other (incl. cleanup) Ref. EIA Summary Production Statistics of the U.S. Uranium Industry, Report date May 4,

11 U.S. Sandstone deposits in production Roll front, in situ leach (ISL) Power Resources (Cameco) Highlands/ Smith Ranch Wyoming Crow Butte - Nebraska Uranium Resources Mesteña Kingsville Dome Texas Vasuez Texas Alta Mesa Texas 11

12 Wyoming Region Production 2006 Project 2006 Production 2007 Plans Smith Ranch 2,044,000 1,600,000 Highlands Ranch 0 0 Christiansen Ranch 0 0 Sweetwater 0 0 Crow Butte 700, ,000 TOTAL 2,744,000 2,400,000 Production figures in pounds U3O8 courtesy of Power Resources Inc. 12

13 South Texas Production 2006 Total 1.42 million pounds U 3 O 8 Mesteña 1.16 million pounds U 3 O 8 Uranium Resources Inc. 260,000 pounds U 3 O 8 13

14 Colorado Plateau tabular sandstone deposits Uravan Mineral Belt St. Jude Sunday & West Sunday Pandora Topaz LaSalle Denison stockpiling about 500 tons ore/day at White Mesa Cotter Mill shutdown Shootaring Mill inoperable SHOOTARING MILL COTTER MILL COTTR MILL 14

15 North America Uranium Deposit Types under development Unconformityrelated Collapse breccia pipes Roll-front sandstone Tabular sandstone 15

16 Canada unconformity-related development Athabasca Basin MIDWEST MILLENNIUM 16

17 Canada unconformity-related development Cigar Lake 450 m deep underground mine poor ground conditions delay to 2011 proven and probable reserves 176,700 t U3O8 at over 24% grade ore slurry to be milled at McClean Lake, later half to Rabbit Lake 17

18 Canada unconformity-related development Midwest (managed by Areva w/ Denison & OURD) planned as underground, then as open pit to provide additional material for Jeb mill EA began 2006, site prep 2008 resources about 40 M lbs. U3O8 Millennium (Cameco w/ Areva & JCU) feasibility study is underway indicated resources of 17,000 tonnes U3O8 at 3.8% near McArthur River 18

19 U.S. Deposit types in development Sandstone roll front tabular humate / strata bound Collapse breccia pipes 19

20 U.S. Sandstone roll front deposits in development South Texas Wyoming Region New Mexico 20

21 South Texas ISL development Hobson/Palangana Project inferred resource 5.7 million pounds U3O8 scheduled production from 2008 double plant capacity to 1 million pounds U3O8 21

22 Wyoming region development projects at least 15 projects total of >152 M lbs U 3 O 8 range of about 2 to 25 M lbs U 3 O 8 /deposit startups as early as all ISL except Sheep Mountain 22

23 23

24 Wyoming region ISL development Power Resources (Cameco) Reynolds Ranch 11.5 M lbs U 3 O % Gas Hills 25.3 M lbs U 3 O % North Butte 16.7 M lbs U 3 O % Energy Metals (Uranium One) Corp. Processing agreement with Power Resources Moore Ranch 5.9 M lbs U 3 O % Nine Mile 9.0 M lbs U 3 O % Peterson 1.8 M lbs U 3 O % 24

25 Wyoming region ISL development Ur-Energy Inc Lost Creek 10.9 M lbs U 3 O % Lost Soldier 14.6 M lbs U 3 O % Uranerz Energy Hank NA Nichols Ranch 1.7 M lbs U 3 O % Powertech Dewey Burdock (South Dakota) 7.6 M lbs U 3 O % Centennial (Denver Basin) 9.5 M lbs U 3 O % 25

26 Wyoming roll front development Uranium Power/Uranium One JV Sheep Mountain % conventional underground mine reported fully licensed and permitted 26

27 Other Rio Tinto Energy America Sweetwater Mill, Wyoming (licensed, closed) Green Mountain uranium deposits Jackpot + Big Eagle Phase II deposits: +/- 80 M lbs U 3 O 8 resources evaluating resources at several mines decision in

28 Tabular Sandstone development Denison Henry Mountains Complex Tony M Mine 5.3 million pounds U3O8 Bullfrog Deposit 12.9 million pounds U3O8 Mining permit Sept Uranium One Shootaring Canyon mill 28

29 Other tabular vanadium-uranium deposits in development Colorado Plateau projects examples Uranium Power Corp Burro Canyon Energy Fuels Whirlwind BlueRock Resources J Bird, Cone Mountain, Tramp Anglo-Canadian Eule Belle 29

30 New Mexico - Sandstone humate, strata-bound evaluating conventional resources Strathmore Laramide Resources roll front ISL in final permitting phase Uranium Resources Inc. (Hydro Resources Inc.(HRI) 30

31 New Mexico development Strathmore Minerals Corp. JV with Sumitomo Corp. ISL & conventional mine/mill will apply for mill site license near Roca Honda applied for Roca Honda mine permits measured & indicated 17.5 M 0.23% plus Inferred 15.8 M 0.17% 31

32 New Mexico Strathmore project 32

33 New Mexico Uranium Resources Inc. subsidiary HRI (ISL project) Church Rock/Crownpoint deposits (licensing advanced) JV with Itochu Corp. 14,600 tu recoverable reserves Depth 250 to 700 meters opposed by Navajo Nation 33

34 Other New Mexico General Atomics subsidiary Rio Grande Resources Corp. Mt. Taylor deposit, New Mexico 100 M+ lbs U 3 O 8 at 910 m (3,000 ft) depth No plans announced; evaluation for ISL recovery 34

35 U.S. Collapse breccia pipes in development Pine Nut pipe fully developed mine 0.9 M lbs. 0.44% Arizona 1 pipe partially developed, rehabilitation underway 1 M lbs. 0.68% Canyon pipe sinking shaft for development 1.5 M lbs. 1.1% 35

36 North America Uranium Deposit Types - Exploration Unconformity -related Volcanics Collapse breccia pipes Roll-front sandstone Tabular sandstone Humate sandstone IOCG Quartz-pebble Conglomerates Phosphorite 36

37 Drill rigs operating in North America (Mining Scout, 1997 & June 2007) 120 Total 100 USA Total USA Canada Canada Total USA Canada Monthly average Jun-07 37

38 Canada - Exploration Unconformity-related Volcanics Sandstone Quartz-pebble conglomerates IOCG 38

39 Uranium exploration expenditures in Saskatchewan (CAD$) Millions $120 $100 $80 $60 $40 $ e $0 Uranium Exploration 39

40 2006 uranium exploration in Saskatchewan, Yukon and Quebec (CAD$) Millions $120 $100 $80 $60 $40 Saskatchewan Yukon Quebec $20 $0 Uranium exploration 40

41 North America Uranium Deposit Types - Exploration Unconformity -related Volcanics Collapse breccia pipes Roll-front sandstone Tabular sandstone Humate sandstone IOCG Quartz-pebble Conglomerates Phosphorite 41

42 Canada Exploration Unconformity-related HORNBY THELON ATHABASCA 42

43 Labrador Exploration Central Mineral Belt Volcanic deposits Michelin & Kitts about 9700 t U discovered 1951 plans for mine 1978 being re-evaluated 43

44 Canada exploration Sandstone potential for roll front deposits in British Columbia and southern Saskatchewan Firestone - Alberta Sun Project, B.C. Uranium Power Corp in Southern Saskatchewan 44

45 Canada Exploration IOCG possibility of significant resources of Olympic Dam type under-explored across Canada Southern and northern Bear magmatic zones, Northwest Territories Wernecke Mountains, Yukon Southern Province east of Lake Superior, Ontario Central Mineral Belt, Labrador 45

46 Quartz-pebble conglomerate re-evaluation Elliot lake, Ontario Denison re-eval resources 205 M lbs. U3O8 Pele Mountain Resources Others 46

47 U.S. Exploration Sandstone Volcanics Collapse breccia pipes Phosphorite 10/5/

48 U.S. Exploration sandstone Active exploration principally in Wyoming, Utah, Colorado, Texas and New Mexico Most projects are re-evaluation and extension to known deposits Drilling used extensively 48

49 Volcanics McDermitt Caldera Uranium One - Aurora Deposit 15M lbs. U3O8 Cameco - King s Valley 17M lbs. U3O8 Trigon - Marysvale Volcanic Field drilling on-going 49

50 Exploration Collapse Breccia Pipes Arizona Strip Active exploration by at least 11 companies, each identifying targets 50

51 Phosphorite Re-evaluation for extraction Large resource available Decision to add 500 t U/ year recovery circuit to existing plant 51

52 Summary Most important deposit types in production Unconformity Roll front sandstone Tabular sandstone mines Development Additional unconformity-related deposits Roll front and tabular sandstone projects near production Collapse breccia pipes Exploration Known trends and other basins IOCG, uartz-pebble conglomerate, volcanic and phosphorite 52