{kanada_flagge}Noted U.S. stock market letter writer John Kaiser once compared Stephen Wallace, CEO of Searchlight Resources Inc. (TSXV: SCLT; FRA: 2CC2), to a chess player who prepares his attacks long before he strikes. Now, apparently, such a strategic moment has arrived for Searchlight: Suddenly, the company, hitherto known only in connection with gold and copper projects around the Flin Flon mining camp, is playing a central role in Saskatchwan’s latest uranium hotspot on the edge of the famous Athabasca Basin.
Airborne measurements show high uranium and REE values at Searchlight Resources’ 105 km² Kulyk Lake project. While good REE values were to be expected, the strike length is very a positive indication of a big system, and the uranium discoveries came in a completely new area, virtually just as an incidental aspect of the measurements. Kulyk Lake is located approximately 165 kilometers north of La Ronge, Saskatchewan, and 65 km south of the important Key Lake uranium mine. It is particularly encouraging that the measurements were made by the same crew, and with the same technique led to Fission’s Patterson Lake South discovery years ago.
Meanwhile, a veritable staking rush is underway around Kulyk Lake. Searchlight’s new neighbors include well-known uranium explorers such as Fission Energy, Pure Point, and – on a private mission – Fission’s chief geologist, Ross McElroy. The reason for this is that Kulyk Lake meets all the criteria for a type of deposit that is now doing the rounds under the keyword “Athabasca Basin 2.0”. This type of deposit is not located inside, but outside the Athabasca Sandstone (see Figure 1). The term Athabasca 2.0 refers to uranium deposits in bedrock outside the Athabasca Basin. This deposit type exists in the Wollaston and Clearwater areas and includes discoveries at Patterson Lake South (The Triple R Deposit Fission) and Arrow Lakes (Arrow Deposit NexGen Uranium) as well as former operating mines (EaglePoint Mine near Rabbit Lake, Cameco Corp.) (see Figures 1 and2).
Searchlight has just announced the first results of high-resolution aeromagnetic and radiometric surveys on the company’s Kulyk Lake rare earth project. Strictly speaking, one must distinguish two separate sets of results: First, radiometric thorium data indicate high-grade rare earths at Kulyk Lake. The data outline a three-kilometer long REE exploration target to the north-east of Kulyk Lake. Second, and completely surprising to everyone, the data in the southern part of the property indicates a previously completely unknown, significant uranium target. (Figure 3).
Figure 1: The overview shows very well the different deposit types for uranium occurrences in and around the so-called Athabasca Basin in Saskatchewan. In recent times
Figure 2: Searchlight’s extensive claims in the so-called Wollaston area (orange stripe from north-east to south-west) are marked in red. The measurements now presented are for Kulyk Lake.
Searchlight uses thorium as a pathfinder for rare earth elements in the mineral monazite, the main mineral of the REE deposit at Kulyk Lake. As expected, the radiometric survey interpreted the known Kulyk Lake REE trenches as the highest thorium target in the survey area. The results are consistent with the measured 56.18% TREO (“Total Rare Earth Oxides”) results at this location. In addition, the survey shows that the Kulyk Lake area is part of a thorium anomalous zone at least 3 km long.
Searchlight CEO Stephen Wallace said, “These are excellent results from the radiometric survey that link the Kulyk Lake trench area to a significant thorium anomaly several kilometers long. This suggests a potentially large target area for rare earth exploration.”
Commenting on the uranium results, Wallace said, “The uranium results are strongest in an area where there have been no previous uranium deposits. They represent a priority target.” They staked Kulyk claims because of the potential for rare earths, and now they will include uranium as an exploration target, Wallace said.
Figure 3: Searchlight actually staked Kulyk Lake because of its promising REE deposits. All the more pleasant now is the surprise that the property also contains a world-class uranium exploration target.
Figure 4: Uranium measurements in the south of Kulyk Lake reach values at the top scale over a length of 2 kilometers. Stephen Wallace therefore considers the area a prime exploration target for uranium.
Searchlight owns a 427.6 square kilometer land position within the gold and base metal rich Flin Flon – Snow Lake Greenstone Belt. The company is currently advancing its Bootleg Lake gold project, which hosts four past-producing high-grade gold mines and is located in Saskatchewan, less than 10 km from Flin Flon, Manitoba.
Summary: The technically brilliant Stephen Wallace cultivates understatement as CEO. With the spectacular results the company has just released, he may find it difficult to avoid the spotlight in the long run. Recent measurements have revealed a 2 kilometer extended, high grade uranium discovery on surface! The signature strongly resembles that of other successful uranium explorers on the rim of the Athabasca Basin and comes from an experienced crew. In addition, the discovery is only 65 kilometers from Key Lake, the largest uranium processing plant in the world. Concentrates are transported there, sometimes over 80 kilometers. So if Searchlight were to make a significant uranium discovery, the project would be within striking distance. But for now, Stephen Wallace will prepare a proper drilling program. We are looking forward to it.
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