Canada’s IsoEnergy Ltd. (TSX: ISO) (OTCQX: ISENF) recently reopened the primary underground portal at its Tony M uranium mine in Utah. The company aims to restart production at the past-producing asset next year.
IsoEnergy has spent the past year making the underground mine safely accessible in certain areas. Now, the uranium miner has employed the private contractor Tomcat Mining to carry out additional rehabilitation work over the next few months. This will include installing ground support and ventilation systems.
International mining firms Call & Nicholas and SRK Consulting will assist Tomcat with the installations. Multiple new fans and high-tech radon monitoring equipment have been installed in the mine as well.
IsoEnergy says bull market conditions have inspired its accelerated activity in Utah. Many other operators have shared the same sentiment in recent months.
“Long-term uranium prices have nearly doubled, from US$41 per pound of U3O8 to US$79/lb U3O8 since we acquired the Tony M, Daneros and Rim Mines in Utah,” IsoEnergy chief executive Philip Williams said. “And with the exceedingly positive global outlook for nuclear power we expect that trend to continue.”
IsoEnergy acquired the assets mentioned by Williams last December through its merger with Consolidated Uranium.
Tony M has produced almost 1 million pounds of yellowcake during its lifespan. It churned out that quantity of uranium between 1979-1984 and for one year in the late 2000s before shutting down for the last 16 years. Plateau Resources was responsible for its initial development in the 70s.
Tony M is estimated to hold 6.6 million pounds of U308 equivalent with an average grade of 0.28 per cent. IsoEnergy is currently completing a a strategic review in preparation for restarting production at Rim and Daneros too.
Garfield County (Utah) and IsoEnergy representatives underground and at Tony M’s primary portal. Photo credit: IsoEnergy
Read more: ATHA Energy exploration program in Angilak Project produces promising results
Read more: ATHA Energy’s geodata director scoops prize for AI deposit targeting method
Only American uranium mill easily accessible
Through a partnership with top U.S. uranium producer Energy Fuels Inc. (NYSE American: UUUU), IsoEnergy will be able to access the White Mesa Mill to process uranium ore from Tony M. It is within a reasonable trucking distance.
IsoEnergy also announced Wednesday that it has expanded its exploration land package in Utah immensely. Through staking 370 new claims northwest of Tony M and winning bids on two state leases, the company has increased its land position by 440 per cent. The claims reside in the state’s Henry mountain range.
IsoEnergy just sold two uranium properties in Argentina so that it could hone its focus on getting its Utah uranium mines restarted. Additionally, the company will prioritize its flagship Laroque East operation in Saskatchewan’s section of the Athabasca Basin.
IsoEnergy has established beneficial partnerships in Canada’s north with companies like ATHA Energy Corp. (TSX-V: SASK) (OTCQB: SASKF) (FRA: X5U).
Canada’s Fraser Institute recently ranked Utah and Saskatchewan among the world’s top mining jurisdictions.
ATHA Energy is a sponsor of Mugglehead news coverage
rowan@mugglehead.com
