GTR to fast track drilling at Jeffrey uranium project
Backed by positive survey results, GTi Resources Ltd (ASX:GTR) is fast-tracking its planned maiden exploration drilling program at the Jeffrey uranium and vanadium project in Utah.
Management now expects drilling to occur in the middle of June 2020.
The positive results from the recent geophysical down hole survey of 26 open historical drill holes have been integrated into the planning of the proposed 10-hole drill program at the Jeffrey project.
Calibrated gamma geophysical logs in the historical drill holes have provided equivalent U3O8 grades, and further information on the mineralised geometries.
The results of these downhole surveys were consistent with the company’s expectations and demonstrated a continuation of known mineralization under cover at two locations within the project.
Numerous zones of mineralisation were intercepted in the historical drill holes, including an intercept of 0.3 metres at 0.234% eU3O8.
This favourable outcome has encouraged management to rapidly advance the planned drill program.
Over the preceding period GTR has confirmed the presence of high-grade uranium and vanadium potential at the Jeffrey project in Utah, and completed the gamma logging program to leverage existing open drill holes dating from the late 1970s to generate low-cost, high-value assay data.
The in-situ equivalent assay data will be utilised to refine knowledge of the local mineralisation as the trend moves away from outcrop and shallow underground exposure, and guide refinement of drill targets for the planned follow-up drilling campaign which will involve advancement of up to 10 shallow core holes commencing mid-June.
It is worth noting that GTR is well-positioned to fund follow-up drilling programs after the recent exercise of options raised nearly $1.2 million.
Rats Nest samples too hot to handle
GTR also conducted sampling and mapping work on outcrop and underground workings at the nearby prospective Rat Nest Project which as can be seen on the map above is in close proximity to the Jeffrey Project.
Sampling included both face-cut channel samples on historical underground working faces, as well as grab samples.
These samples were sent to a laboratory in Reno, Nevada for assay.
However, some of the samples emitted radiation at levels that exceeded the laboratory’s safe handling limits and were subsequently sent to their facility in Vancouver, Canada for assay.
The assay results for the Rats Nest samples are expected to be available in the coming weeks.
From a broader perspective, the Jeffrey Project is one of several held by GTR in Utah, covering approximately 1,500 hectares of the Henry Mountains region, within Garfield and Wayne Counties near Hanksville.
The region forms part of the prolific Colorado Plateau uranium province which historically provided the most important uranium resources in the US.
The region benefits from well-established infrastructure and a mature mining industry.
The White Mesa mill, the only conventional fully licensed and operational uranium/vanadium combination mill in the United States, is located within trucking distance of the properties.
The industry backdrop is also looking positive with the Trump administration’s 2021 budget proposing the creation of a US$1.5 billion U3O8 reserve through purchasing the commodity at an annualised rate of US$150 million.
GTR has been one of the market's best performers in May-April, delivering shareholders a 700% gain since April 1.