News.
ORIGINAL: Uranium City Vision – Standard Uranium’s Sun Dog Project Combined into District-Scale Opportunity with Aero Energy Ltd. and Fortune Bay Corp.
2023-12-22 09:00 ET - News Release
VANCOUVER, British Columbia, Dec. 22, 2023 (GLOBE NEWSWIRE) -- Standard Uranium Ltd. (“Standard Uranium” or the “Company”) (TSX-V: STND) (OTCQB: STTDF) (Frankfurt: FWB:9SU) is pleased to announce that the recently signed definitive option agreement (the “Option Agreement”), dated October 20, 2023, with 1443904 B.C. Ltd. (the “Optionee”), is being incorporated into a district-scale exploration opportunity in Saskatchewan’s first uranium mining camp with the acquisition of the Optionee by Aero Energy Limited (“Aero”; previously Angold Resources Ltd. or “Angold”).
The Optionee holds options to acquire between 70% and 100% of three uranium exploration properties; the Company’s Sun Dog project, and two Fortune Bay Corp. (“Fortune Bay”) projects, Murmac and Strike (collectively the “Properties”). The Properties are located proximal to Angold’s existing uranium exploration properties near Uranium City, Saskatchewan (Figure 1). The combined optionable properties cover a total area of 39,381 ha and host high grade uranium mineralization at surface and are highly prospective for basement-hosted high-grade uranium mineralization associated with the Athabasca Basin unconformity.
The Properties contain multiple, permitted, drill ready targets where reconnaissance drilling by the Company and Fortune Bay has intersected narrow zones of uranium mineralization and significant zones of hydrothermal alteration. Shallow, elevated uranium in drill core on each property is associated with electromagnetic conductors sourced from brittle-deformed graphitic rocks and pathfinder elements typical of high-grade Athabasca deposits.
Figure 1. Overview of the Northwestern Athabasca Uranium District highlighting the Sun Dog Project and leading land position to be acquired by Angold Resources Ltd.
Pursuant to the Option Agreement, the Optionee will be granted the option to acquire 100% of the Company’s 19,604-hectare Sun Dog Project located along the northwestern edge of the Athabasca Basin, by completing three years of exploration programs and a series of cash and equity payments.
Jon Bey, CEO and Chairman, commented, “The vision for the Uranium City region has been shared by the management of Standard Uranium and Fortune Bay for some time. By combining our properties and infrastructure under one company, Aero Energy, we can now explore this region year-round, decreasing exploration expenses and creating work for the local communities and exploration vendors. The Standard Uranium technical team will be heavily involved in planning and operating the exploration programs.”
The Option Agreement comprises the right to acquire up to a 100% interest in Sun Dog from the Company for $650,000 in cash and $650,000 in share payments payable in annual installments over a 2-year period, and a $6,500,000 work commitment over a 3-year period, subject to an operator fee of 10% of expenditures. Sun Dog is also subject to a 2% net smelter royalty which may be reduced to 1% for a $1,000,000 cash payment to the Company.
The following is a summary of the Option Agreement, which will transfer Sun Dog to Aero through the purchase of the Optionee.
| Execution Date | Cash | Consideration Shares | Operator Fees (10%) | Exploration Expenditures | Interest Earned |
| On Signing | $200,000 | $200,000 | - | - | - |
| 12-Month Anniversary | $200,000 | $200,000 | $150,000 | $1,500,000 | - |
| 24-Month Anniversary | $250,000 | $250,000 | $200,000 | $2,000,000 | - |
| 36-Month Anniversary | Nil | Nil | $300,000 | $3,000,000 | 100% |
| Total | $650,000 | $650,000 | $650,000 | $6,500,000 | 100% |
Sun Dog Project
The Sun Dog project comprises 9 mineral claims located near Uranium City and contains the historic Gunnar uranium mine in the prolific Beaverlodge district where uranium was mined between 1953 and 1982 (Figure 1). The Company has completed two reconnaissance drill programs on the project totalling 2,469 metres of diamond drilling in the winter of 2022 and 2023. The winter 2023 program significantly expanded the footprint of a robust dravite-clay-iron oxide alteration system on Johnston Island which corresponds with instances of strong radioactivity. The magnitude of the alteration halos and structural disturbance in the targets areas highlights the potential for Sun Dog to host significant high-grade mineralization.
The scientific and technical information contained in this news release has been reviewed, verified, and approved by Sean Hillacre, P.Geo., President and VP Exploration of the Company and a “qualified person” as defined in NI 43-101.
About Standard Uranium (TSX-V: STND)
We find the fuel to power a clean energy future
Standard Uranium is a uranium exploration company and emerging project generator poised for discovery in the world’s richest uranium district. The Company holds interest in over 199,095 acres (80,571 hectares) in the world-class Athabasca Basin in Saskatchewan, Canada. Since its establishment, Standard Uranium has focused on the identification, acquisition, and exploration of Athabasca-style uranium targets with a view to discovery and future development.
Standard Uranium’s Atlantic, Canary, Ascent, Corvo, and Rocas Projects, in the eastern Athabasca Basin, comprise twenty-three mineral claims over 29,520 hectares. The eastern basin projects are highly prospective for unconformity related and/or basement hosted uranium deposits based on historical uranium occurrences, recently identified geophysical anomalies, and location along trend from several high-grade uranium discoveries.
Standard Uranium's Sun Dog project, in the northwest part of the Athabasca Basin, Saskatchewan, is comprised of nine mineral claims over 19,603 hectares. The Sun Dog project is highly prospective for basement and unconformity hosted uranium deposits yet remains largely untested by sufficient drilling despite its location proximal to uranium discoveries in the area.
Standard Uranium’s Davidson River Project, in the southwest part of the Athabasca Basin, Saskatchewan, comprises ten mineral claims over 30,737 hectares. Davidson River is highly prospective for basement-hosted uranium deposits due to its location along trend from recent high-grade uranium discoveries. However, owing to the large project size with multiple targets, it remains broadly under-tested by drilling. Recent intersections of wide, structurally deformed and strongly altered shear zones provide significant confidence in the exploration model and future success is expected.