The Upper Spring Creek Project consists of a combination of two properties located in the historic uranium mining district in Live Oak and Bee counties in Texas. The project area consists of 2,106 acres of fee properties, a portion of which the company currently either owns in fee or leases. The properties in this project have been recently licensed and permitted in the State of Texas, but due to market conditions were never in production and were abandoned in 2018 by a previous privately owned company. The company has already advanced its effort to restore the previous licenses and permits for these properties as a near term feed source for the central processing plant at the Rosita project.
The Upper Spring Creek Project is situated entirely within the surface outcrop area of the Oakville Sandstone. The Oakville is a major aquifer and uranium-producing unit in the region and contains the mineralized production zone for the Upper Spring Creek Project. The Oakville is primarily composed of terrigenous clastic sediments forming interbedded sand and clays. The Oakville represents a major fluvial bed-load system with high percentages of fine to coarse grained sand. It dips to the southeast and ranges in thickness from approximately 200 to 500 feet in Live Oak County, unconformably overlying the Catahoula Formation, which consists predominantly of tuffaceous clay and tuff. The major sand interval of the lower Oakville sandstone occurs at 250 to 280 feet below ground surface and hosts the uranium-bearing horizon that is known as the production zone. The spacing Lower Oakville sand encountered at the Project site is generally a fine- to medium-grained, moderately to well-sorted sand.
Uranium mineralization is interpreted to be dominantly roll-front type mineralization and primarily of epigenetic origin. Roll fronts are formed along an interface between oxidizing ground water solutions which encounter reducing conditions within the host sandstone unit.
The company acquired a substantial amount of historical exploration drilling information and other geological data for the properties in the Upper Spring Creek Project area in December 2020. Detailed technical studies of this information have been carried out by the previous operator recently. This technical information is so significantly detailed and complete that company has begun to plan wellfields and advanced activities to reactivate the former permits.