The directors of Thor Mining Plc (“Thor”) (AIM, ASX: THR, OTCQB: THORF) are pleased to provide a significant update on the Company’s 100% owned Wedding Bell Project, located in the historic uranium-vanadium mining district within the Uravan mineral belt, southwest Colorado, USA (Figure 1).
Project highlights:
- San Miguel County, Colorado has approved the proposed drilling at Rim Rock and Section 23 prospects (Figure 2).
- Project prospective for shallow ‘Saltwash’ type sandstone-hosted mineralisation within the high-grade uranium-vanadium Uravan mineral belt.
- Field sampling by Thor returned assay results of high-grade uranium, up to 1.25% (12,500ppm) U3O8 and vanadium, up to 3.47% V2O5 (THOR ASX, AIM: 21 July 2020).
- With final sign off with the Federal Bureau of Land Management (BLM) and Colorado Division of Reclamation Mining and safety (DRMS) sought in the coming weeks, p reparations are already underway to engage drilling contractors, with a view to start drilling early in the US summer.
- Spot uranium prices are trading near an 11-year high as a result of improved market sentiment and supply concerns.
- Potential US sanctions on Russian uranium imports has resulted in an increased focus on US domestic uranium supply.
Nicole Galloway Warland, Managing Director of Thor Mining, commented:
“Thor has worked closely with the San Miguel County to systematically work through the permitting process and is delighted with the positive outcome. We look forward to getting on the ground and testing these shallow high-grade uranium targets, especially Section 23, which is untested despite the favourable geological setting.
With the US seeking domestic uranium supply to potentially replace its Russian import of uranium, we are pleased to be in a position to have three, drill ready uranium-vanadium assets in the high-grade, historic producing Uravan Minerals Belt, USA.
Thor is led by a management and technical team with proven uranium credentials and through working closely with our US team, we look forward to progressing our exciting uranium projects in Colorado.”
Figure 1: US Uranium and Vanadium Project location map showing Wedding Bell and Radium Mountain in Colorado and Vanadium King in Utah, USA.
http://www.thormining.com/sites/thormining/media/Maps/20-003-2-VKRMWB-Locn.jpg
Full details on Thor’s US uranium and vanadium projects may be found on Thor’s website https://www.thormining.com/projects/us-uranium-and-vanadium.
Working with our US consultant team, Geosyntec Consultants Inc and World Industrial Minerals LLC Thor has received approval from the San Miguel County on 30 March 2022, to undertake the proposed exploration drilling at Section 23 and Rim Rock prospects at Wedding Bell Project, Colorado (Figure 2).
Next Steps:
- Complete the sign off with the Federal Bureau of Land Management (BLM) and Colorado Division of Reclamation Mining and safety (DRMS).
- Finalise environmental management plan in line with approvals for drilling and reclamation bond
- Drilling preparation, including engaging drilling contractors.
Figure 2: Map of Colorado Wedding Bell Project showing priority areas – Section 23, Groundhog and Rim Rock may be viewed via the following link:
http://www.thormining.com/sites/thormining/media/maps/21-003-1-us-uranium.jpg
MARKET OUTLOOK FOR URANIUM
The spot price of uranium currently trades at approximately US$57/lb of U₃O₈, with analysts expecting continued uranium price strength in the short to mid-term. Recent increases in the uranium price have been driven by record spot market purchases by financial funds, producers and junior uranium companies who have indicated that the long-term fundamentals point to growing demand and supply uncertainty.
On 17 March 2022, US Senators introduced a bill to ban US imports of Russian uranium in response to the Ukraine invasion. The US is the world’s biggest uranium consumer, importing approximately 95% of its uranium; 16% from Russia. There are over 90 reactors in the US; more than in any other country. US Senator John Barrasso was quoted as saying, ” Banning Russian uranium imports will help defund the Russian war machine, help revive American uranium production and increase national security. ”
In addition, the ‘green wave’ is impacting the uranium sector. The world is now turning towards nuclear energy in order to generate power in safe, reliable, carbon-free nuclear reactors. There is an ever-increasing demand for clean baseload electricity while delivering safe, reliable solutions to combat today’s clear-air crisis. The 90+ reactors in the US provide approximately 30% of American baseload electricity needs and account for more than half of all carbon free power generation in the US.
Considering Russian sanctions, Joe Biden’s energy policy, and the US re-signing the Paris Agreement (under which the country pledged to cut carbon emissions by 26% by 2025), nuclear energy, and therefore uranium, is forecast to be in short supply, and it is expected that there will be a strong movement in the US to seek and develop domestic sources of uranium .
This announcement is authorised for release to the market by the Board of Directors.
For further information, please contact:
Thor Mining PLC
Nicole Galloway Warland, Managing Director
Ray Ridge, CFO / Company Secretary
Tel: +61 (8) 7324 1935
Tel: +61 (8) 7324 1935
