Laramide Resources | Church Rock and ISR Projects
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Church Rock and ISR Projects

Church Rock Project and ISR Division Overview

 

Location: Grants Mineral District, New Mexico, United States

Laramide ownership: 100% owned

Proposed Mine type: ISR operation

Estimated resources: An Inferred Resource Estimate of 33.9 million tons at an average grade of 0.075% eU3O8 for a contained resource of 50.8 million pounds using a 0.5 ft-% Grade Thickness (GT) cutoff.

 

Laramide’s Church Rock Project and nearby properties represent one of the largest and highest grade undeveloped In-Situ Recovery uranium projects in the USA. The Church Rock Project is located on the western end of the Grants Mineral Belt in the main portion of the historic Churchrock Mining District, approximately 10 miles north-northeast of Gallup, New Mexico. An updated 2017 independent NI 43-101 Resource Estimate Technical Report has been completed by Roscoe Postle Associates Inc. in Denver, United States with the assistance of Laramide’s technical team.

 

The Project is well advanced and currently is covered by:

 

  • a NRC licence in timely renewal
  • a UIC permit from the State of New Mexico in timely renewal
  • an Aquifer Exemption on the property from the United States Environmental Protection Agency
  • a Final Environmental Impact Study

 

The permitted Project site is accessible directly from a short dirt road off of Highway 566 and is best described as an open, slightly sloping canyon surrounded to the north, east, and west by talus slopes grading to table land or mesa.

 

Next Steps: With the completion of the Resource Estimate, the Project will be advanced to a Preliminary Economic Assessment (PEA).  This will be the first economic study on the consolidated Project, and would include the elimination of certain royalties owned by Laramide (including the sliding scale 5%- 25% gross revenue royalty) on portions of the Project.  The PEA will also have the benefit of the Feasibility Study on Section 8 of the Project previously completed by a former operator.

 

Exploration is planned for areas noted in the Technical Report where wide-spaced drilling previously defined potential additional mineralization.  This drilling, in conjunction with the core studies, may allow areas of the present Inferred Mineral Resource to be elevated to Measured and Indicated Resources, as well as lead to the potential discovery of additional mineral resources.

 

The following table summarizes the Church Rock Deposit’s Mineral Resource Estimate. Due to the historical nature of the data the resource estimate is classified as Inferred, until additional new confirmation data can be obtained:

 

Notes

  1. CIM (2014) definitions were followed for Mineral Resources.
  2. Mineral Resources are reported at a grade x thickness (GT) cut-off of 0.5 ft-%.
  3. A minimum thickness of 2.0 feet was used.
  4. A minimum cut-off grade of 0.02% eU3O8 (based on historic mining costs and parameters from the district) was used to define the mineralization envelope.
  5. Internal maximum dilution of 5.0 feet was used.
  6. Grade values have not been adjusted for disequilibrium (equilibrium factor = 1.0).
  7. Tonnage factor of 15 ft3/ton (based on historical density used by the mining operators) was applied.
  8. Totals may not add due to rounding.

Crownpoint Project

 

Laramide’s Crownpoint Project is located 25 miles from Church Rock Project and part of Laramide’s ISR division in New Mexico, United States. The Crownpoint Project area includes an NRC permit for a 3 million pounds (U3O8) per annum Central Processing Plant to process uranium produced from Laramide’s New Mexico projects. While the permit to build the facility has been granted, a mining study has not been filed to support the technical feasibility or economic viability of the Central Processing Plant. Further work is required to verify the historical mineral reserve estimates as current mineral resources at Crownpoint.