Kernaghan Lake Project, Northern Saskatchewan, Canada
The Company granted an option whereby the optionees have earned 80% interest in certain mineral claims by making certain payments (received), and completing exploration work totaling $1,000,000 (deemed completed). The Project is a joint venture with AREVA (40%), Cameco (40%) and Coronation Mines Ltd. (20%) with AREVA acting as operator. Coronation Mines Ltd. is a 100% owned subsidiary of Formation Metals Inc. The project area is located near the northeast rim of the Athabasca Basin approximately 42 km north of Points North Landing. The Kernaghan / Bell project currently consists of 13 mineral claims totaling 4,342 ha. To date 38 diamond drill holes have been drilled within the property totaling 10,051m targeting an unconformity that ranges from 160m to 290m in depth.
Eight diamond drill holes totaling 2,683.4m were drilling during the 2009 exploration project budgeted at $820,000. Four holes were drilled on the KER A conductive trend with the remaining four holes having been drilled on the K1 conductive trend. Although anomalous uranium intersections with a maximum partial uranium value were returned from Ker A Conductor in drill hole KB-11 of 160 ppm and a maximum partial uranium value returned from K 1 Conductor in drill hole KB-07 of 34.2 ppm, none of the holes drilled ion 2009 intersected significant uranium mineralization.
A minimum maintenance and interpretation budget is planned for 2010 with a proposed budget of $20,000. This program will include an interpretation of existing magnetic data on a regional and project scale. The program is expected to aid in identifying potential structural trends and assist in targeting future drill holes.
