Cigar Lake’s underground mine has total mineral reserves of 551,400 tonnes at an eye-popping grade of 15.87pc uranium oxide – around 160,000 parts per million (ppm) – for 192.9 million pounds of the material that is fed into nuclear reactors to produce energy.
The nearby high-grade McArthur River mine contains a reserve of 2.49m tonnes at a superb 6.55pc uranium oxide for a mammoth 359.6m pounds.
Infini Resources executive director David Pevcic said: “The completion of this acquisition marks a significant milestone for Infini as we expand our footprint to the Athabasca Basin. With a strong focus on advancing our flagship Portland Creek uranium project, the addition of Reynolds and Boulding Lake complements our strategy to build a diversified and high-impact uranium exploration portfolio.”
The upfront $1.6m consideration paid for the Canadian acquisition consists of 2,622,378 fully paid ordinary shares issued at 57.2 cents per share, based on the 15-day volume-weighted-average-price, in addition to $100,000 cash plus $750,000 in performance rights subject to Infini meeting drill and resource milestones.
The company plans to conduct geophysical surveys across both projects to generate targets for follow-up exploration activities.
Acquiring the two properties strengthens the company’s Canadian presence, however its Portland Creek project on Canada’s east coast, remains its prime focus.
Portland Creek turned punters heads last year with lab busting assays that sent the share price skywards, ramping Infini into the top echelon of share price gainers last year.
Management says drilling has been completed at 4 holes from a planned 23 hole diamond drilling program at the Falls Lake prospect, within the Portland Creek project.
It believes initial results have been encouraging with current step-out drilling about 100m north testing up-ice along strike of the super high-grade soil assays.
The Athabasca Basin is regarded as the world’s premium location for uranium deposits, spanning 100,000 sq km and home to a range of prospective projects.
Infini will be looking for the new projects to bolster its uranium-grip in Canada and add some pounds to its future resource expectations.
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