- CanAlaska (CVV) has optioned the Key Extension Uranium Project from Durama Enterprises
- The 17,665-hectare project is located in the highly prospective Wollaston-Mudjatik transition zone in the southeast Athabasca Basin region
- The adjacent Key Lake deposits have historically produced over 150 million lbs. U3O8
- The company has submitted work permit applications for surveys and prospecting with diamond drilling planned for late 2022
- CanAlaska Uranium holds interests in 300,000 hectares in Canada’s Athabasca Basin
- CanAlaska (CVV) is unchanged trading at $0.65 per share
CanAlaska (CVV) has optioned the Key Extension Uranium Project from Durama Enterprises.
The 17,665-hectare project is located in the highly prospective Wollaston-Mudjatik transition zone in the southeast Athabasca Basin region adjacent to the Key Lake mine and uranium milling complex.
The Key Lake deposits, located approximately 10 km from the northeastern project boundary, have historically produced over 150 million lbs. U3O8 from the Gaertner and Deilmann open pits.
The deposit-controlling Key Lake structure and stratigraphy are interpreted to trend onto the project lands based on magnetic lineaments and conductor patterns in the geophysical data.
Option requirements
| Earned interest (%) | Cash ($) | Shares (#) | Work commitment ($) | Timeline (mo.) | |
| Year 1 | 0 | C$5,000 | 0 | 0 | 12 |
| Year 2 | 0 | $10,000 | 50,000 | $0 | 12 |
| Year 3 | 0 | $15,000 | 100,000 | $0 | 12 |
| Year 4 | 100 | $20,000 | 150,000 | $850,000 | 12 |
| Total | 100 | $50,000 | 300,000 | $850,000 | 48 |
Durama retains a 1.5 per cent net smelter return royalty.
CanAlaska has submitted work permit applications for a ground gravity survey, a regional geological prospecting program and a reinterpretation of a historical VTEM survey. Diamond drilling is planned for late 2022.
Cory Belyk, CanAlaska’s CEO, stated,
“CanAlaska is very pleased to enter into the purchase option with Durama. It is a rare opportunity in the eastern Athabasca Basin to gain access to an underexplored section of the prolific Key Lake structure just 15 kilometres from the operating Key Lake uranium mill.
The application of geological knowledge gained from recent basement-hosted uranium deposit discoveries at Eagle Point and Arrow has never been applied on this section of the Key Lake Fault, providing incredible discovery opportunity for our shareholders.”
CanAlaska Uranium holds interests in 300,000 hectares in Canada’s Athabasca Basin.
CanAlaska (CVV) is unchanged trading at $0.65 per share as of 9:31 am ET.