Pele drilling confirming Elliot Lake resource

Pele Mountain Resources (GEM-V, PMNHF-O) expects to see results of a scoping study on the company’s Elliot Lake uranium project soon, following a successful infill drilling campaign.

The property has an inferred resource of 30 million tonnes grading 0.05% U3O8, in a channel about 6 km long and 500 metres wide. Mineralization is known over about 3.8 km of dip, both north and south of the resource.

Recent drilling concentrated on two areas, the Adit Block, near the middle of the resource area, and the Canyon Lake block, about 1 km west. The Adit Block presents a near-surface target that would be a logical start point for mining, and a 23-hole program in the block showed results that matched historical drilling (from which the current inferred resource was calculated).

Typical thicknesses of the deposit’s Main Conglomerate Bed were around 2.8 metres, against an average 2.4 metres in previous drilling. A 1.9-metre intersection ran 0.09% U3O8 and a 2.3-metre intersection 0.08% U3O8 in the recent drilling, with most grades in the 0.03% to 0.06% range.

A 12-hole program in the Canyon Lake block intersected a lower mineralized layer, the Basal Conglomerate Bed, in 11 holes. True widths ranged mostly from 0.4 to 2.6 metres, with grades between 0.02% and 0.1% U3O8. The 2.6-metre intersection ran 0.08% U3O8 and one intersection of 0.45 metre ran 0.15%.

Uranium mineralization in the Canyon Lake zone occurs largely in secondary pitchblende, coffinite and silicates, unlike the primary mineralization in the Adit Block. Pele geologists consider that this offers some potential for higher-grade secondary mineralization in localized zones in the host conglomerate.

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