Power Metal Resources PLC (AIM:POW) is moving up its plans for the Badger Lake uranium project in the Athabasca Basin, Saskatchewan after hyperspectral analysis identified distinct similarities with the Arrow deposit 30km away.
Arrow has a total measured and indicated resource of 256.7Mlb U3O8, with the site owned and operated by Nexgen Energy.
Satellite data indicated a direct comparison with Arrow with 30 spectral targets generated for investigation at Badger Lake.
A distinct 300-metre wide DC anomaly was also highlighted in the east of Badger Lake.
Significantly, the Badger Lake DC anomaly is also coincident with the distinct airborne electromagnetic geophysics anomaly (named EMO8) and associated northeast-southwest trending EM conductor identified in a historical survey commissioned by COGEMA Resources in 2002.
Power Metal added it now aims to expedite its own planned high-resolution electromagnetic UAV survey over Badger Lake.
Sean Wade, chief executive, commented: “Commissioning of hyperspectral analysis at Badger Lake has led to the discovery of yet another extremely attractive exploration target within our Saskatchewan uranium portfolio - further highlighting the quality of our 100% owned uranium assets.
"This is a significant milestone for Power Metal and follows closely on from the recently announced discovery of a significant helium anomaly at Perch River.
"Shareholders are aware that we have work underway on ten of our seventeen properties within and surrounding the Athabasca Basin in Saskatchewan, Canada.“
The company's plans come as the price of uranium soars. The spot price recently moved back above US$65 per pound, its highest price since the Fukushima nuclear accident in Japan in 2011.