New Uranium Project
09/09/2024 07:00
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RNS Number : 3157D Katoro Gold PLC 09 September 2024
Katoro Gold PLC
('Katoro' or the 'Company')
New Uranium Project
Staking of White Pine Uranium Project in Ontario, Canada
09 September 2024: Katoro Gold PLC (AIM:KAT), the strategic and precious
minerals exploration and development company, is pleased to provide a business
development update on the staking of the White Pine Uranium Project ("White
Pine" or the "Project") in Ontario, Canada through its 100% owned subsidiary
Katoro Canada Inc.
HIGHLIGHTS
§ Katoro moves into uranium exploration with its first acquisition through
staking of the White Pine Uranium Project in Ontario, Canada.
§ The Project covers an area of 8036 hectares and is well situated close to
the Trans-Canada Highway.
§ While still very early stage, data gathered thus far from the public domain
(1980, 2003-05 & 2008) highlights the possibility for White Pine to host a
significant uranium discovery:
§ Highly anomalous uranium(1) in the bulk of lake sediments gathered across
the Project area;
§ Geophysical airborne radiometric signature(2) indicates the presence of
radioactive minerals;
§ A prospective geological setting between two granitic rock bodies and
associated radioactive mineral occurrences(3).
§ The Company initially intends to undertake limited reconnaissance and
sampling on the ground as well as desktop-based assessment of the opportunity,
which it expects will amount to approximately £5,000 over the next 6 months;
further work thereafter will be determined by the results of this initial
assessment.
§ Canadian subsidiary Katoro Canada Inc. formed to hold the Company's
Canadian interests and holds a 100% interest in the Project.
§ Further project opportunities under review in precious and critical metals,
including uranium, in Canada and Southern Africa. The focus is on
potentially high impact opportunities through staking or acquisition.
Patrick Cullen, Interim Chief Executive Officer of Katoro Gold plc, commented:
"I am very pleased to announce this development at Katoro. In parallel with
the work done in refinancing, reorganising and stabilising the business, we
have been reviewing a range of new opportunities of varying scale and
complexity, with uranium being one metal we are focused on.
White Pine represents a notable first step into uranium exploration for Katoro
at what the Board believes is an opportune time and in a world class
jurisdiction. The significant uranium experience within the leadership team
and the Company's expanded network has enabled us to evaluate and move quickly
on this opportunity.
The archives of the Ontario Ministry of Mines and other resources in the
public domain provide abundant exploration data acquired by exploration
companies and various government programmes. These data all point towards
significant uranium prospectivity in our target area. I look forward to
providing updates on this exciting acquisition and other developments within
the business."
FURTHER INFORMATION
LOCATION
§ The White Pine Project is located in the Kenora District in northwest
Ontario, Canada (see Figure 1 below) and comprises 384 cells covering an area
of 8,036 hectares. The Project is very well-situated, about 5 kilometres from
the Trans-Canadian Highway, and 75 kilometres (or approximately one hour's
drive) southeast of the town of Dryden, population 7,749 (2016).
§ Ontario is recognised and ranked as a world-leading jurisdiction for
exploration and mining investment and production. In addition, the province
has hosted historic uranium production at 15 uranium mines, with production
commencing in 1955 up until the 1990s.
URANIUM PROSPECTIVITY
§ Based on Open File Reports that comprise the wider Ontario Lake Sediment
Database, uranium in lake sediment values from the Project area (see Figure 2)
are considered very highly anomalous and extremely anomalous when compared
with regional data compiled from lake sediment surveys conducted by the
Ontario Geological Survey(1). The lake sediment results of up to 142 ppm U
across the White Pine claims represent some of the highest results recorded by
the Ontario Geological Survey in the Province.
§ Statistical analysis was completed in-house at Katoro over an area of
approximately 15,000 km(2) covered by the regional lake sediment study.
Results indicate that uranium in 20 samples from 29 samples within the Project
area contain uranium values above mean plus 3 standard deviations (generally
considered very highly anomalous); 8 samples contain uranium values of between
3 and 5 standard deviations above mean (generally considered very highly
anomalous) and 9 samples from the Project area contain uranium values in
excess of 5 standard deviations above the mean (generally considered extremely
anomalous). These results, and their spatial relationship are illustrated in
Figure 2.
§ The results of a radiometric survey(2) over the Project area (see Figure 3)
indicate an intense radiometric signature over the Project, extending at least
14km. This area aligns closely with the anomalous uranium-in-lake sediments
described above.
§ The White Pine project area has prospective geology supportive of
intrusive-type uranium targets with two granitic rock bodies, which have
radioactive occurrences(3) within them; the granites intrude into an area of
Archean felsic gneiss (see Figure 2). The highly anomalous lake sediments, and
a significant airborne radiometric response are all concentrated in the same
area.
§ Other data available from the Ontario Ministry of Mines archives includes
relatively detailed landforms maps(4) which, on first review, give support to
the view that the elevated uranium values indicated in other data are derived
from a local source.
CORPORATE STRUCTURE
§ Katoro has registered a new wholly owned Canadian subsidiary Katoro Canada
Inc. which owns a 100% interest in the Project. Katoro Canada Inc. is
incorporated in British Columbia and registered in Ontario.
FURTHER STAKING INFORMATION
§ The total cost of staking the project with the Ontario Ministry of Mines
Mineral Lands Administration System ("MLAS") is CAD$19,200 (GBP £10,850) or
CAD$50 per staked claim.
§ The newly staked claims are issued for a two-year term with no minimum
spend requirement but which can then be extended for subsequent years by
spending a minimum of CAD$153,600 (GBP£86,800) per annum. This assumes Katoro
chooses to extend all claims which will only be determined following this
two-year initial term. If the area is reduced or expanded, then this value may
change.
REFERENCES
(1)Jackson, J.E. 2003, Lake Sediment Geochemical Data from the Ignace Survey
Area, Northwestern Ontario: Operation Treasure Hunt, MRD118 & Russel,
D.F., 2004, Lake Sediment and Water Data for the Sturgeon Lake-Wabigoon Lake
Area, MRD130 & Felix, V.E., 2005, Lake Sediment and Water Analytical Data
for the Eagle Lake Area, Northwestern Ontario, MRD 145
(2)Goldak Airborne Surveys 2008, Technical report on a radiometric survey,
Basket Lake Block, Northwestern Ontario, Takara Resources Inc.
(3)Breaks, F.W. 1980, Sioux Lookout-Armstrong, Geological Compilation Series,
Kenora and Thunder Bay Districts, Ontario Geological Survey: 2000 Series
Map, NTS Number: 52
(4)Mollard, D.G. 1980, Press Lake, Data Base Map, Northern Ontario Engineering
Geology Terrain Study, Ontario Geological Survey: 5000 Series Map,
NTS Number: 52
LOCATION, URANIUM IN LAKE SEDIMENTS, GEOLOGY AND RADIOMETRIC MAPS
Figure 1: Regional Map
Figure 2: Geology, Uranium in Lake Sediments and Radioactive Occurrences
Figure 3: Radiometric and Uranium in Lake Sediments
QUALIFIED PERSON STATEMENT
The technical information contained in this disclosure has been reviewed and
approved by Mr Nick O'Reilly (MSc, DIC, MIMMM QMR, MAusIMM, FGS), who is a
qualified geologist and acts as the Qualified Person under the AIM Rules -
Note for Mining and Oil & Gas Companies. Mr O'Reilly is a principal
consultant working for Mining Analyst Consulting Ltd which is providing
independent technical review to Katoro Gold PLC.
GLOSSARY
Archean (or Archaean) - the geological period from 4,000 million years ago
to 2,500 million years ago
Batholith - a type of igneous intrusion
Felsic gneiss - a high-grade metamorphic rock and dominated by light-coloured
minerals, commonly quartz and feldspar
Intrusive-type targets - exploration targets associated with igneous
intrusions
Igneous intrusion - type of rock formed when magma cools and solidifies before
it reaches the surface
ppm - a concentration in parts per million
Radiometric survey (or gamma-ray spectrometric survey) - a geophysical process
used to estimate concentrations of the radioelements: potassium, uranium and
thorium in the near surface
U - uranium, a silvery-white metallic chemical element in the periodic table,
with atomic number 92
This announcement contains inside information as stipulated under the Market
Abuse Regulations (EU) no. 596/2014.
Beaumont Cornish Limited ("Beaumont Cornish") is the Company's Nominated
Adviser and is authorised and regulated by the FCA. Beaumont Cornish's
responsibilities as the Company's Nominated Adviser, including a
responsibility to advise and guide the Company on its responsibilities under
the AIM Rules for Companies and AIM Rules for Nominated Advisers, are owed
solely to the London Stock Exchange. Beaumont Cornish is not acting for and
will not be responsible to any other persons for providing protections
afforded to customers of Beaumont Cornish nor for advising them in relation to
the proposed arrangements described in this announcement or any matter
referred to in it.
For further information please visit www.katorogold.com
(http://www.katorogold.com) or contact:
Katoro Gold PLC
Patrick Cullen, Interim Chief Executive
Officer
info@katorogold.com (mailto:info@katorogold.com)
Beaumont Cornish Limited
Nominated Adviser
James
Biddle
+44 207 628 3396
Roland Cornish
SI Capital
Ltd
Corporate Broker
Nick
Emmerson
+44 148 341 3500
Sam Lomanto
**ENDS**
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