Grid 5 and Grid 1 target areas to be drilled this summer with $2.1 million budget
Vancouver, Canada, July 20, 2017, — CanAlaska Uranium Ltd. (TSX-V: CVV; OTCQB: CVVUF; Frankfurt: DH7N) (“CanAlaska” or the “Company”) is pleased to announce that Cameco Corporation (TSX: CCO; NYSE: CCJ) has commenced the summer drill program on the West McArthur uranium project (“Project”). Cameco’s recently completed high definition ground geophysical survey has confirmed the location of three parallel conductors identified as the C10 conductor package at Grid 5. At Grid 1 a conductive basement target is defined 180 metres north of the alteration zones and uranium mineralization reported in historical drill hole EL-12.
The summer drill program will have concurrent drilling on the two target areas. The work will be carried out by a helicopter supported team based at Cameco’s nearby majority-owned McArthur River mine. These target areas are detailed and shown in the figures below.
At Grid 5 a geophysical program of 42.2 kilometres of Time Domain Electromagnetics (TDEM), characterized the graphitic conductors located within the ZTEM conductivity high between L12450E and L13250E (see Figure 1).The interpretation shows three conductive responses in the survey. The middle response is the strongest response and represents the primary target for the drill program. The northern response represents the second target for the 2017 drill program. The proposed drilling program will utilize up to three drill-holes and one offcut totaling 3,400 metres.
The second target to be tested this summer is located at Grid 1. This target is a linear magnetic low that correlates with high conductivity in the ZTEM survey east of CanAlaska’s historical drill hole WMA002. Nearby historical drill hole EL-12 had over 50 metres of strong alteration high within the sandstone followed by recurring smaller alteration zones down to unconformity. Disseminated pitchblende with strong chloritization occurs in sandstone just above the unconformity (1.45m @ 0.03% U3O8). The basement contained a moderately graphitic healed fault breccia and some elevated uranium related to secondary hematite. At least two new drill holes will be carried out to test for mineralization at and below the unconformity for a total of approximately 1,900 metres of drilling. Figure 2 shows the updated conductor interpretation of Grid 1. The primary target is at Site 1, 180 metres north of EL-12. A second conductive response has been identified 180 m south of EL-12 at Site 2.
Cameco is carrying out the current work as part of an option to earn a 60% interest in the West McArthur project. Cameco has paid CanAlaska an initial $725,000 and has the right to earn a first stage 30% interest for a $5 million exploration program within 3 years ($1.1 million to date) on two separate target areas: Grid 1 and Grid 5. Cameco will then have the right, after a $500,000 payment, to carry out a further $6.275 million of work on the Project over the following 3 years to earn a further 30% interest and form a Joint Venture (JV) with CanAlaska.
The West McArthur Uranium Project covers 35,830 hectares (88,536 acres) commencing 15 kilometres (9 miles) west of Cameco’s majority-owned McArthur River uranium mine. More importantly, the Project is immediately adjacent to Cameco’s Fox Lake uranium discovery with reported inferred resources of approximately 68.1 million lbs based on 387,000 tonnes at 7.99% U3O8. The Fox lake discovery is within the Read Lake project operated by Cameco (Cameco 78.2%, Areva 21.8%). Further information on Project is available at https://canalaska.com/s/West_McArthur.asp?ReportID=560713.
CanAlaska president Peter Dasler comments, “The detailed geophysical survey carried out in June by Cameco’s team has now given us well defined targets in two highly prospective areas of the West McArthur property. Both of the target areas appear to host large mineralizing systems and it is encouraging to see the priority that Cameco’s team has given this Project during challenging times. We are looking forward to the results of this significant drill program.”
About CanAlaska Uranium
CanAlaska Uranium Ltd. (TSX-V: CVV; OTCQB: CVVUF; Frankfurt: DH7N) holds interests in approximately 500,000 hectares (1.2 million acres), one of the largest land positions in Canada’s Athabasca Basin region — the “Saudi Arabia of Uranium.” CanAlaska’s strategic holdings have attracted major international mining companies. CanAlaska is currently working with Cameco and Denison at two of the Company’s properties in the Eastern Athabasca Basin. CanAlaska is a project generator positioned for discovery success in the world’s richest uranium district. For further information visit www.canalaska.com.
About Cameco Corporation
Further information on Cameco can be found at www.cameco.com.
The qualified technical person for this news release is Dr Karl Schimann, P. Geo, CanAlaska director and VP Exploration.
On behalf of the Board of Directors
Peter Dasler, M.Sc., P.Geo.
President & CEO
CanAlaska Uranium Ltd.
Peter Dasler, President
Tel: +1.604.688.3211 x 138
Email: [email protected]
John Gomez, Corporate Development
Email: [email protected]
Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
All statements included in this press release that address activities, events or developments that the Company expects, believes or anticipates will or may occur in the future are forward-looking statements. These forward-looking statements involve numerous assumptions made by the Company based on its experience, perception of historical trends, current conditions, expected future developments and other factors it believes are appropriate in the circumstances. In addition, these statements involve substantial known and unknown risks and uncertainties that contribute to the possibility that the predictions, forecasts, projections and other forward-looking statements will prove inaccurate, certain of which are beyond the Company’s control. Readers should not place undue reliance on forward-looking statements. Except as required by law, the Company does not intend to revise or update these forward-looking statements after the date hereof or revise them to reflect the occurrence of future unanticipated events.