Forum’s 100% owned Highrock property is one of eight high quality, near surface uranium projects that were drilled by Forum and partners from 2005 to 2017. Cameco’s former producing Key Lake mine, which extracted over 200 million pounds of uranium by open-pit methods at an average grade of 2.3% U3O8 from 1983 to 1997, is located immediately to the north of the Highrock claim boundary.
Rick Mazur, President & CEO of Forum, commented, “With the renewed interest in uranium as a carbon-free source of energy, Forum plans to advance its uranium portfolio by drilling some of its 100% owned projects, such as Wollaston and seeking partners for its other projects, as demonstrated by the option/joint venture with Orano on our Fir Island project and this agreement with Sassy.”
Ken Wheatley, Forum’s Vice President, Exploration stated, “The proximity to the Key Lake mine, the strength of the conductive trend which we interpret to be the same basal graphitic unit that hosted the 200 million pound Key Lake uranium deposit and the quality of the gravity lows make this a high priority, near surface target for exploration.”
Highrock is situated just outside the Athabasca Basin along the same interpreted conductive lithological unit that hosts the Key Lake deposits. The property consists of two claims covering 20 km2. The exploration target at Highrock is a basement-hosted deposit similar in style to NexGen Energy’s Arrow deposit and Fission Uranium’s Triple R deposit.
Gravity surveys at Highrock have identified numerous gravity lows, some associated with zones of alteration, along a strong multi-km-long EM defined graphite conductor. Initial drilling by Forum in 2016 defined zones of chloritization, bleaching, elevated boron and other pathfinder elements (some associated with the gravity lows), which are in need of follow-up drilling.
Cameco Corp. [CCO-TSX; CCJ-NYSE] adjoins Highrock to the east, the upper northwest and along strike to the south. Fission 3.0 Corp. [FUU-TSXV; FISOF-OTCQB] has property immediately southeast of Highrock. A 10 to 12-hole drill program totaling approximately 3,000 metres is proposed to test the Highrock target areas in Q1/2022. Permitting, community engagement and procurement processes are underway.
Sassy paid Forum $50,000 cash upon signing of the binding LOI. In total, to acquire 100% of Highrock, Sassy will pay $350,000 in cash, issue 3,750,000 shares and provide up to $3,500,000 in exploration funding over four years between January 3, 2022, and December 31, 2025.
Should the project advance to this stage, Sassy will pay Forum $1,000,000 on delivery of a Feasibility Study and a further $3,000,000 on commencement of commercial production. Forum maintains a 1% NSR on Highrock, half of which (0.5%) can be purchased by Sassy before commercial production for $1,000,000. A 1% NSR on the north claim (S-113362) is shared by third parties, half of which (0.5%) may be purchased by Sassy for the sum of $1,000,000. A 2% NSR on the south claim (MC00013262) is held by a third party and at present is not subject to a repurchase clause.
Forum Energy will act as project operator for 2022 and 2023 and may do so at Sassy’s option in 2024. Permitting and procurement processes are well underway to facilitate 2022 drilling starting as early as February.