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| Project Highlights
Location and History The C Zone of the Central Mineral Belt Property currently represents the most advanced uranium prospect on the property. The independent NI 43-101 resource estimate was recently updated based on summer 2007 and 2008 drilling. The report estimates an indicated resource of 5.19 million pounds of uranium (6.92 million tonnes at 0.034%) and an additional inferred resource of 4.44 million pounds of uranium (6.77 million tonnes at 0.030%). The C Zone remains open for expansion along strike and to depth and is part of a 4.5 kilometre long uranium bearing shear zone, which also includes Area 1 and Armstrong. In addition to the uranium resource, the project also hosts a significant indicated vanadium (V2O5) resource of 11.75 million pounds (6.92 million tonnes at 0.077%) and an inferred vanadium resource of 15.81 million pounds (8.17 million tonnes at 0.088%), which demonstrates the polymetallic nature of the C Zone. This vanadium resource is contained within the uranium resource. It has been identified by Crosshair personnel as having the potential to host Iron Oxide Copper Gold (IOCG) type mineralization. IOCG type deposits are typically large, iron rich systems that carry variable amounts of copper, silver and gold and locally significant amounts of uranium. Olympic Dam in Australia is the world's largest uranium deposit and one of the world's largest copper deposits. Click here to read about similarities between C Zone and Olympic Dam. Geology Mafic volcanics of the Joe Pond Formation are unconformably overlain by sandstones and conglomerates of the Heggart Lake Formation. C Zone mineralization is hosted in brecciated, altered mafic volcanics and cherts of the Joe Pond Formation as well as chloritized sandstones of the Heggart Lake Formation. It is generally fracture controlled. Locally associated with the uranium mineralization are sulphides dominated by pyrite, chalcopyrite, and iron oxides. Exploration Work Drilling by Shell Canada in the late 1970's returned assay results as high as 1.18% U3O8 over 1.32 metres and 0.562% U3O8 over 3.99 metres. Following a drop in the price of uranium in the early 1980's, Shell abandoned its interest in the area. The 58 holes drilled during the 2006 exploration season expanded the uranium resource area to over 700 metres along strike and to over 200 metres deep (from Shell's original maximum depth of 75 metres). As well, the program identified two main zones of mineralization, the Upper C and Lower C, and intersected thick, high grades of uranium (and potentially significant vanadium as well as locally significant copper and silver) from the Upper C Zone. A total of 28,684 metres in 155 holes was completed during the 2007 drilling season, which extended the C Zone mineralization to 1500 m of strike length. This included two of our best holes two date (ML-87 and ML-122), which intersected excellent economic grades and widths. Examples of some of the better intersections from 2006/2007 drilling include:
Examples of copper and silver enrichment:
2008 winter drilling at C Zone consisted of 1,509 metres in 9 holes and resulted in an updated 43-101 estimate including an indicated resource of 5.19 million pounds of uranium (6.92 million tonnes at 0.034%) and an inferred resource of 4.44 million pounds of uranium (6.77 million tonnes at 0.030%). In addition to increasing the uranium resource, the vanadium resource was also significantly increased to 11.75 million pounds of vanadium (6.92 million tonnes at 0.077%) in the indicated category and an additional 15.81 million pounds of vanadium (8.17 million tonnes at 0.088%) in the inferred category. The 2008 summer drill program focused on expanding the known mineralization along the C-Zone - Armstrong Corridor. 4 of the holes, which all intersected mineralized intervals in hematized and brecciated mafic volcanic rocks, were drilled approximately half way between Area 1 and C Zone, adding further evidence of the existence of a 4.5 km long mineralized corridor, including C Zone, Area 1 and Armstrong which all remain open for expansion. Click here to see complete drill results The uranium zone at C Zone occurs along a 4.5 kilometre long mineralized corridor that also includes Area 1 and Armstrong. This expansion is supported in airborne magnetic and radiometric geophysical surveys.
Exposure is generally poor along the 4.5 kilometre long structure, but it does outcrop at the C Zone where it has been drilled for 1500 metres of strike length. The zone outcrops again at Area 1 and at Armstrong, which are located 1500 metres and 3000 metres, respectively, along strike to the southwest.
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