Mike Fagan,
Editor
July 20, 2023
Kraken Energy Corp. (CSE: UUSA)(OTC: UUSAF) — currently trading around C$0.27 per share — has commenced drilling at the Harts Point uranium property in the Utah portion of the Colorado Plateau.
Kraken holds an option agreement to acquire up to a 75% interest in the project from Atomic Minerals Corporation (TSX-V: ATOM).
Located in San Juan County in southwestern Utah, the Harts Point project spans 2,622 hectares of BLM land within the favorable uranium-bearing Chinle Formation.
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View ReportsKraken Energy’s fully-funded Phase-1 drill program is kicking off with an initial three holes over a 5 km strike length targeting the Chinle Formation host rock where three historical oil and gas wells returned “off-scale” radioactivity.
Kraken Energy CEO Matthew Schwab commented via press release:
"We believe that the historical off-scale radioactivity encountered from historic oil and gas wells significantly increases the potential for exploration success at the Harts Point Property, and we are extremely excited to be able to commence our inaugural drill program on this exciting project."
The highly accretive acquisition marks Kraken’s fourth uranium exploration project in the western United States and its first foray into the Colorado Plateau — a geologic formation often referred to as the “US version of Canada’s Athabasca Basin.”
The Colorado Plateau boasts nearly 330 million pounds of historical uranium production since the 1950s.
Of that nearly 330M lbs, 80M lbs were produced from the Lisbon Valley Anticline, which lies just 30 km east of the company’s Harts Point property.
Historical production grades from the Lisbon formation ranged from 0.2% to 0.4% U3O8 and targeted the Chinle sandstone formation.
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View PublicationsSeveral historical mines located 11 km west of the Harts Point property produced approximately 280,000 lbs U3O8 at 0.3% U3O8 from the favorable Chinle Formation host rock.
The Harts Point project also sits just 64 km north of the only operating conventional uranium mill in the United States — the White Mesa Mill — yet another strategic advantage in terms of the company’s longer-term hub-and-spoke strategy.
The Harts Point project is fully-permitted for 20 drill pad locations; drilling is expected to continue with the aim of further evaluating the potential of the mineralized trend following the completion of the first three planned holes.
For more information on Vancouver-based Kraken Energy, be sure to contact the company’s IR department at 604-908-1695 or via email at info@krakenenergycorp.com.
Sign up to receive updates directly from the company at the Kraken Energy corporate website.
Mike Fagan
Editor, Resource Stock Digest