Resource World Magazine

O C T O B E R / N O V E M B E R 2 0 1 8 www.resourceworld.com 41 New company – new uranium project look promising by Ellsworth Dickson F or the past few months Standard Uranium Ltd. has been taking the steps to complete a reverse takeover (RTO) of Vela Minerals Ltd. [VLA-TSXV], now halted. While the RTO is under - way, Standard has been busy with initial exploratory work on its Davidson uranium project located in the southwest region of the prolific Athabasca Basin of northern Saskatchewan. In addition to hosting the world's rich - est uranium mines, the Athabasca Basin also hosts several significant uranium deposits along trend from the Davidson River Project. These include Fission Uranium's Triple R deposit (Indicated: 87.76 Mlbs 1.82% U 3 O 8 ), NexGen Energy's Arrow deposit (179.5 Mlbs 6.88% U 3 O 8 ), as well as Purepoint Uranium's Spitfire Zone discovery (2.8 metres of 2.23% U 3 O 8 ). What is known as the Clearwater Domain is the source of the uranium found in the southwest Athabasca Basin. The explora- tion "corridors" to the east of the Clearwater domain have seen major uranium discover- ies such as those noted above. With similar geology, the exploration corridors west of the Clearwater Domain are also considered by geologists to have excellent potential to host similar deposits. For example, Neil McCallum, V.P. of Exploration for Standard Uranium, pro - posed the Clearwater Domain "Mirror Theory" when the project was acquired by Dahrouge Geologic in 2013, shortly after the discovery of the Patterson Lake South boulder-field and subsequently the Triple R Zone in 2012. He proposed the inter - pretation that the Patterson Lake Corridor found to the east of the Clearwater Domain, host to the Triple R and Arrow deposit, may be mirrored on the west side of the Clearwater Domain, where the Davidson River property is located. Recent work by the Geological Survey of Canada has sup - ported this theory. To kick things off and test the Mirror Theory, Standard Uranium engaged Geotech to carry out a VTEM geophysi- cal survey at Davidson River. The VTEM survey identified and confirmed the con- ductors within the western exploration corridors. This is considered very encour- aging as the Patterson Lake Corridor, which hosts the Triple R, Arrow and Spitfire zone is interpreted to continue through the Clearwater Domain on to the Davidson River property. In addition to the geophysics noted above, the company is planning to carry out prospecting, radon gas sampling and radiometric surveys this fall. All this is in preparation for a drilling program sched - uled for February 2019. Four general target areas have been identified. On the corporate side, Jon Bey, President and CEO of Standard Uranium, pointed out that a unit financing has been underway at 25 cents per unit with a 40-cent warrant for proceeds of up to $5 million. The company has assembled a tal - ented team that includes director Garrett Ainsworth who previously led the NexGen Energy technical team from June 2014 to April 2018 and was co-recipient of the 2018 PDAC Bill Dennis Award for the Arrow uranium deposit. Blair Jordan, formerly of Echelon Wealth Partners where he was the Managing Director of Investment Banking, has also agreed to join Standard's board. Jordan has many years of Canadian and international banking experience and his particular expertise is in financing, M&A and go-public transactions. Bey told Resource World that he is of the view that the timing of the launch of Standard Uranium is good as the demand for uranium has recently outpaced the dwindling oversupply and worldwide reserves are shrinking. He noted that the large never before drilled Davidson River land package is strategically located in the best uranium exploration region in the world. Post-financing, it is expected that the company will have 52 million shares out - standing and 82 million fully diluted. n A site visit to the Davidson River Project to complete Dr. Roger Morton's work on the company's NI 43-101 report. Left to right: Jon Bey, CEO Standard Uranium, Dr. Roger Morton, External Geologist, author of the Davidson River NI 43-101 report, and Anna Mullan, Consulting Geologist from Dahrouge Geologic. Photo courtesy Standard Uranium Ltd. URANIUM

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