Western Uranium & Vanadium’s Sunday Mine Complex is heading in the right direction to re-open soon
The USA is the world’s largest producer of nuclear power, accounting for more than 30% of worldwide nuclear generation of electricity. In 2018 the country’s nuclear reactors produced 807 billion kWh, about 20% of total electrical output. All this was produced by 98 operating nuclear power reactors in 30 states, operated by 30 different power companies. All of this requires uranium.
As the world’s development and population grow so does the demand for energy and energy storage. The vanadium redox flow battery (VRFB) could be the answer as the batteries are fully containerized, non-flammable, reusable, use 100% of the energy stored and can last up to 20 or 30 years. Combined with the vanadium used in steel hardening, then the world is sure to need more vanadium each year.
Western Uranium & Vanadium Corp. (CSE: WUC | OTCQX: WSTRF) is a near term producer that has acquired uranium and vanadium mineral assets in western Colorado and eastern Utah, USA. The Company has one of the largest U.S. uranium and vanadium in-situ resources. The total uranium resource is 70,000,000 lbs. +/- and the total vanadium resource is 35,000,000 lbs. +/- grading between 1.4-2.2%. The resource is spread over several properties as shown below.
Projects summary with resource and locations
The Sunday Mine Complex update
Western Uranium & Vanadium’s key focus is currently the Sunday Mine Complex vanadium project located in western San Miguel County, Colorado. The Complex covers approximately 3,800 acres and 221 unpatented claims. The Complex consists of five individuals connected underground mines with historic production, and they are already fully permitted.
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The Company made an announcement late last year that they are going to open the Sunday Mine Complex. The Company has now provided an update to shareholders regarding their previously announced plan. Over the past several months the evaluation of equipment and personnel requirements and availability have been undertaken, as well as preliminary mine planning and budgeting, pursuing project funding options, and expanding vanadium marketing opportunities. The Project will be commenced within weeks of satisfactory project funding.
Catalysts and work ahead will include :
- The identification of high-grade zones.
- Long hole drilling and bulk sampling from the underground mine workings from the Sunday Mine Complex.
- The expansion of resource estimates with a new defined high-grade vanadium resource.
- Delivery of samples to various processors and end users for analysis.
- Negotiation of vanadium Term Contracts to catalyze mine production.
These goals are expected to be completed during the following six to nine months.
High-grade uranium and vanadium seams at the Sunday Mine Complex
George Glasier, President, CEO, and Director said: “All of our assets are in North America, in the Western United States. We have got the highest grade vanadium probably in the world. That is why we have got a competitive advantage.”
Western Uranium and Vanadium’s focus will be to bring the Sunday Mine Complex into production in the near term, and recent funding of CAD$3,836,340 is a big step in the right direction.
No matter what commodity you are in, the grade is what matters. It means a project will be lower cost and find it easier to attract funding. When it comes to vanadium the Company certainly has that. With uranium, they have got the technology that is also making them a low-cost producer. With both the right tech and grades you have the advantage to keep your costs lower than your competitors. As a final bonus, a re-start mine is a low capital expenditure. This means Western Uranium and Vanadium have the trifecta of high grade/low cost, technology and skills to extract, and a low CapEx.
Matthew Bohlsen is a Senior Editor for InvestorIntel.com. With a Graduate Diploma in Applied Finance and Investment, and a Graduate Diploma in Financial Planning. He ... <Read more about Matthew Bohlsen>