Skyharbour Resources’ (TSX-V:SYH) partner company Terra Clean Energy (CSE:TCEC) is preparing to begin a targeted drilling program on the Fraser Lakes B deposit within the South Falcon East Uranium Project in Canada.
The upcoming program will be a helicopter-supported drill program encompassing seven to 10 diamond holes for 2,500m of drilling.
Drilling will focus on testing an area highlighted in the winter 2025 drill program, where it is interpreted that a north-northwest trending brittle structure, a north dipping structure with strong clay alteration, and a mineralised pegmatites with hydrothermal hematite alteration hosted in graphitic pelitic gneiss all intersect.
A summer field program is expected to begin in mid to late August. The program will be executed by TerraLogic Exploration and will be based out of a local contracting camp with helicopter support for the daily drilling operations.
The budget is expected to be C$1.75 million ($1.79 million).
Option deal
Skyharbour entered into an option agreement with Terra Clean Energy to assume a 75% interest. Terra will fund exploration expenditures totalling C$10.5 million, as well as pay Skyharbour C$11.1 million in cash, of which C$6.5 million can be settled in shares.
Under a revised option agreement, Terra will issue 2.65 million shares and pay C$100,000 in cash to Skyharbour upon executing the earn-in.
On or before 31 July 2027, Terra will incur an additional C$1.4 million in work expenditure on South Falcon East, as well as an additional C$1 million and issue C$1.77 million worth of shares, along with paying C$1.7 million cash on or before 31 July 2028.
Upon having earned a 51% interest, Terra will have the option to earn an additional 24% interest by incurring C$2.5 million in expenditure. The company will also incur a further C$3.5 million in expenditure, issue C$4.5 million in shares, and pay C$2 million cash.
The South Falcon East Project is considered prospective for uranium and is located in the southeast Athabasca Basin. The 12,464-hectare project represents a portion of Skyharbour’s Falcon Point Project.
South Falcon East hosts the Fraser Lakes B deposit which contains a historical inferred resource of 6.9 million pounds @ 0.03% triuranium octoxide and 5.3 million pounds @ 0.023% of thorium oxide.
Terra Clean Energy is a Canada-based uranium explorer and developer.
Skyharbour Resources holds an extensive portfolio of projects in the Athabasca Basin.
Write to Aaliyah Rogan at Mining.com.au
Images: Skyharbour Resources
