Mineral resources have only been defined on a small portion of the Matoush project, between sections 37+35S and 24+00S, representing a distance of approximately 1.35 km. Since 2006, Strateco Resources has devoted a large proportion of its exploration efforts and financial resources to this section of the Matoush project.
Since September 2009 and for the next two years, 2010 and 2011, Strateco Resources plans to concentrate the bulk of its exploration efforts to the Matoush structure, and more precisely to the ACF-4, which starts at a vertical depth of about 400 metres and extends to a vertical depth of about 850 metres. It was in the ACF-4 that Strateco Resources discovered the MT-22 and MT-34 zones in 2008. The ACF-3, which hosts the AM-15 zone and lies between a vertical depth of 200 and 250 metres, is not expected to be tested by the upcoming drilling program. Even though, the ACF-3 still holds potential to find lenses similar to the AM-15, which holds
indicated resources of 4.03 million pounds U3O8.
Exploration Drilling Program
The 125,000-metre drilling program, including the 5,000 metres drilled since September 2009, is aimed at establishing whether the Matoush structure has the potential to contain over 60 million pounds of U3O8. The program budget is in the order of $16 million.
The drill results obtained to date clearly show that the entire length of the Matoush structure (13.8 km) could be mineralized.
Holes are initially drilled on a systematic 200-metre spacing. 17 holes have been completed since systematic exploration began, and about 40 more holes are required to cover the entire structure at a vertical depth of about 420 metres. All the holes drilled during the 2009 drilling campaign on this spacing have intersected the typical alteration envelope seen in the AM-15, MT-22 and MT-34 mineralized zones. Uranium mineralization with various grades and lengths was intersected by the 17 drill holes with the exception of three which gave anomalous readings.
Beginning in late January 2010, three drills will be working full time to systematically explore the best targets identified during this first phase. While only a small part of the first phase has been completed this far, new targets have already been defined. The main targets are on the Eclat property (Drill holes EC- 09-05, 06 and 08) and the Matoush property (Drill holes MT-09-35, 36 and 38).
These results are similar and in some cases better, like drill hole MT-09-36 which has intersected 0.26% eU3O8 on 4.7 metres, to those located near the high grade drill results of the MT-22 and MT-34 zones.
The next two years will be exciting and revealing from the point of view of surface exploration.
In terms of underground exploration work, Strateco Resources filed its environmental impact study and licence application on November 6, 2009.