August 5, 2010

Chain Pool

Chain Pool Project

Figure 1: Chain Pool Tenement E08/1689 with GSWA 1:100,000 geological mapping overlain by U channel airborne radiometric survey transparency

Figure 2: Chain Pool Project

  • Ultra detailed airborne radiometric survey completed
  • Rock chip sample results identified high grade uranium at surface
  • High-resolution airborne radiometric survey highlights multiple uranium targets
  • Aboriginal heritage survey completed
  • Seventeen exploration holes drilled and ten targets drill tested

The Chain Pool Project is located within the Gascoyne Province of Western Australia and consists of two granted tenements, E08/1689 and E08/1998. The tenements were interpreted to have the potential to host alaskite uranium mineralisation, similar in style to that at Rossing South in Namibia. Chain Pool is 40 km southeast of the Manyingee uranium deposit and 50 km northwest of the Jailor Bore uranium deposit in the Gascoyne Province of Western Australia.

The Company has flown an ultra detailed radiometric survey over the majority of the tenement. A total of 4,545 line kilometres was flown at 25m line spacing over the Project. The aerial survey was designed to provide higher resolution data to better define surface uranium anomalism to enhance target selection for follow up fieldwork.  The Telfer granite batholith within the tenement area is strongly radiogenic.

Field checking of airborne targets and surface rock chip sampling returned surface samples with results of 2,239 ppm (0.224%) U3O8, 1,014 ppm (0.101%) U3O8, 925 ppm (0.092%) U3O8, 658 ppm (0.066%) U3O8, 645 ppm (0.064%) U3O8, 644 ppm (0.064%) U3O8 and 512 ppm (0.051%) U3O8.

A successful Aboriginal heritage survey was recently completed with the Thudgari Native Title holders prior to drilling.

Figure 3: Chain Pool Drill Targets and Surface Sampling Results

A total of seventeen RC drill holes were drilled to test ten targets.  The best assay result was 95 ppm U3O8 in drill hole CPRC06 from 5m down hole.  The low uranium values returned from this initial program suggest that the host Telfer Granite Batholith is elevated in primary uranium but not at economic levels.