Basin Energy (ASX:BSN) has started work at the Virka Uranium Project in Sweden, with the first modern exploration underway to investigate three priority areas.
The junior explorer, which has a market capitalisation of $3.2 million, is starting with mapping and reconnaissance sampling over the three areas that were identified following a review of historic data.
Limited exploration work was documented, but recorded anomalous base metals, silver and uranium.
Exploration work at Virka focused on north-northeast orientated structural features, which were interpreted to be a structural conduit for potential mineralisation.
Managing Director Pete Moorhouse says the system is prospective for a variety of metals, with historical drilling indicating favourable thickness of uranium mineralisation.
Historic drill results included 9m @ 1,087 parts per million (ppm) from 24.5m from within a broader 17m @ 707ppm from 23m.
“The team has commenced work immediately at Virka, conscious of the upcoming winter season,” Moorhouse says.
“Initial work will focus on getting boots on the ground to assess rock outcrops and trace boulder trains. We will move to historic drill core review and additional literature compilation once the weather prohibits further ground activities.”
The last significant exploration over the area occurred in the 1980s, which Basin Energy says highlighted the “district-scale potential”.
Previous drilling across all licenses targeted uranium mineralisation, with diamond drillholes gamma probed and in rare occasions sampled for geochemical analysis.
Additionally, historical regional geological mapping and boulder tracing records uncovered several surface anomalisms in lead, zinc, silver and gold associated with fault structures.
Basin Energy says research indicates that these anomalies have not been adequately followed up with results not verified to JORC Code.
The Virka Project sits in the Arjeplog-Arvidsjaur shear-hosted uranium district in Sweden, about 37km southeast of Boliden’s (STO:BOL) past producing Laisvall lead-zinc-silver mine – which was once Europe’s largest lead mine.
Basin Energy last week revealed it had inked a deal to pick up a portfolio of projects in Sweden and Finland.
The Sweden-based projects comprise the Virka, Björkberget, Rävaberget, Prästrun, and Håkantorp assets, while the Puokio, Löttö, Temo, Eronlampi, and Palmottu projects are located in Finland.
Write to Angela East at Mining.com.au
Images: Basin Energy
