UNITED STATES
 
SECURITIES AND EXCHANGE COMMISSION
 
Washington, D.C.  20549
 
Form 6-K
 
REPORT OF FOREIGN PRIVATE ISSUER PURSUANT TO RULE 13a-16 OR 15d-16 UNDER THE SECURITIES EXCHANGE ACT OF 1934
 
For the month of June 2015.
Commission File Number 001-33439
JET METAL CORP.
 
(Translation of registrant’s name into English)
 
Suite 1240, 1140 West Pender St., Vancouver, B.C.  Canada  V6E 4G1
 
(Address of principal executive office)
 
Indicate by check mark whether the registrant files or will file annual reports under cover of Form 20-F or Form 40-F.
 
Form 20-F  þ
Form 40-F  ¨
 
 
Indicate by check mark if the registrant is submitting the Form 6-K in paper as permitted by Regulation S-T Rule 101(b)(1):          _____
 
Indicate by check mark if the registrant is submitting the Form 6-K in paper as permitted by Regulation S-T Rule 101(b)(7):          _____
 
Indicate by check mark whether the registrant by furnishing the information contained in this Form is also thereby furnishing the information to the Commission pursuant to Rule 12g3-2(b) under the Securities Exchange Act of 1934.  Yes  ¨          No  þ
 
If “Yes” is marked, indicate below the file number assigned to the registrant in connection with Rule 12g3-2(b):  82-______________
 
EXHIBIT INDEX
 


 
SIGNATURES
 
Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.
 
   
JET METAL CORP.
   
By:
 
     
/s/ Sheila Paine
     
Sheila Paine
Date:  June 24, 2015
   
Corporate Secretary

 
 
 
 
 






 
 
 
 

 
 
 

 
 

TECHNICAL REPORT ON
 
THE BOOTHEEL PROJECT FOR
 
JET METAL CORP. and
 
THE BOOTHEEL PROJECT, LLC
 

 
 
 
NI 43-101 TECHNICAL REPORT
 
Authors:       Hrayr Agnerian, M.Sc. (Applied), P.Geo.
 
       C. Stewart Wallis, P.Geo.

 
 
 
May 20, 2015
 

 
 

 

 
 
TABLE OF CONTENTS
 
 
PAGE
1
SUMMARY
1
 
1.1
Executive Summary
1
   
1.1.1
Conclusions
1
   
1.1.2
Recommendation
2
 
1.2
Technical Summary
2
   
1.2.1
Property Status and Infrastructure
2
   
1.2.2
History
3
   
1.2.3
Geology and Mineralization
4
   
1.2.4
Exploration
4
   
1.2.5
Mineral Resources
5
2
INTRODUCTION
6
3
RELIANCE ON OTHER EXPERTS
8
4
PROPERTY DESCRIPTION AND LOCATION
9
 
4.1
Location
9
 
4.2
Property Status
9
 
4.3
Land Tenure
9
   
4.3.1
JET-URE Energy Agreement
9
   
4.3.2
Cameco Agreement
10
5
ACCESSIBILITY, CLIMATE, LOCAL RESOURCES, PHYSIOGRAPHY,
 
 
AND INFRASTRUCTURE
14
 
5.1
Accessibility
14
 
5.2
Climate
14
 
5.3
Physiography and Land Use
14
 
5.4
Infrastructure and Local Resources
14
6
HISTORY
15
 
6.1
Early Exploration 1950s to 2000
15
 
6.2
Recent Exploration
15
7
GEOLOGICAL SETTING AND MINERALIZATION
17
 
7.1
Regional Geology
17
 
7.2
Property Geology
21
   
7.2.1
Chugwater Formation
21
   
7.2.2
Sundance Formation
21
   
7.2.3
Morrison Formation
23
   
7.2.4
Cloverly Formation
23
   
7.2.5
Thermopolis Formation
23

 
 
 
 
 

The Bootheel Project, LLC.- Bootheel Uranium Project, Wyoming
Technical Report, May 20, 2015
 
 
 
 
 
 
 

 
 
 

 
   
7.2.6
Mowry Formation
23
   
7.2.7
Frontier Formation
23
   
7.2.8
Wind River Formation
23
   
7.2.9
Quaternary Sediments
24
 
7.3
Structural Setting
24
 
7.4
Mineralization
27
   
7.4.1
Jurassic Sundance Formation
27
   
7.4.2
Cretaceous Cloverly Formation
28
   
7.4.3
Tertiary Wind River Formation
28
   
7.4.4
Chemical Analyses
29
8
DEPOSIT TYPES
31
9
EXPLORATION
34
 
9.1
Exploration Methodology
34
 
9.2
Compilation of Exploration Data
34
10
DRILLING
36
 
10.1
Lithologic Logging
40
 
10.2
Downhole Surveys
41
11
SAMPLE PREPARATION, ANALYSIS, AND SECURITY
43
 
11.1
Sampling
43
   
11.1.1
Past Work
43
   
11.1.2
Recent work
43
 
11.2
Sample Preparation
43
   
11.2.1
Past Work
43
   
11.2.2
2008 Drilling Program
43
   
11.2.3
2011 Drilling Program
44
12
DATA VERIFICATION
45
 
12.1
Past Work
45
 
12.2
Radioactive Equilibrium
45
 
12.3
Recent work
46
   
12.3.1
Sundance Formation
46
   
12.3.2
Wind River Formation
50
   
12.3.3
Verification of Historical Data
50
   
12.3.4
Independent Sampling
51
13
MINERAL PROCESSING AND METALLURGICAL TESTING
52
 
13.1
Past Work
52
 
13.2
JET Work
52
14
MINERAL RESOURCES
53
 
14.1
Database
53
 
14.2
Geological Interpretation
54
   
14.2.1
Compositing and Statistics
54
 
 
 
 
 
 
 

 The Bootheel Project, LLC.- Bootheel Uranium Project, Wyoming
Technical Report, May 20, 2015
 

 

 
   
14.2.2
Cutting of High Values
54
 
14.3
Cut-off Grade
62
 
14.4
Density Measurements
62
 
14.5
Methodology of Resource Estimation
62
   
14.5.1
Sundance Formation
62
   
14.5.2
Wind River Formation
67
 
14.6
Classification of Mineral Resources
67
   
14.6.1
Indicated Mineral Resources
67
   
14.6.2
Inferred Mineral Resources
67
15
ENVIRONMENTAL STUDIES, PERMITTING AND SOCIAL IMPACT
68
 
15.1
Health and Safety
68
 
15.2
Environmental Considerations
68
 
15.3
Hydrogeology
74
 
15.4
Permitting
76
16
ADJACENT PROPERTIES
77
17
INTERPRETATION AND CONCLUSIONS
78
 
17.1
Interpretation
78
 
17.2
Conclusions
78
18
RECOMMENDATION
79
19
REFERENCES
80
20
DATE AND SIGNATURE PAGE
81
21
CERTIFICATES OF QUALIFIED PERSONS
82
   
Hrayr Agnerian
82
   
C. Stewart Wallis
84
22
APPENDIX
85
   
Bootheel Property Status
85

 
 
 

  
The Bootheel Project, LLC.- Bootheel Uranium Project, Wyoming
Technical Report, May 20, 2015
 

 
 
 
LIST OF FIGURES
 
PAGE
 
Figure 4-1
Location Map
11
Figure 4-2
Property Map
12
Figure 4-3
Area of Interest
13
Figure 7-1
Generalized Structural Map of Wyoming Geology
18
Figure 7-2
Stratigraphic Section of the Bootheel Area
19
Figure 7-3
Regional Geology
20
Figure 7-4
Property Geology
22
Figure 7-5
Formation Contacts on e-Logs
26
Figure 8-1
Cross Section and Plan View of Roll Front-Type Uranium Deposit
32
Figure 8-2
Chemical Processes During the Formation of Roll Front-Type
 
 
Uranium Deposit
33
Figure 10-1
Diamond Drill Core From Jurassic Sundance Formation
37
Figure 10-2
Drill Holes & Mineralization
38
Figure 10-3
2011 Drill Hole Location Map
39
Figure 10-4
Sampling of rotary chips at Bootheel
41
Figure 10-5
Downhole Survey Results, Hole 36-BH4020
42
Figure 12-1
Crosshair 2008 Chemical Assays vs. Gamma Log Probe Values
48
Figure 12-2
Historical Chemical Assays vs. Gamma Log Probe Values
49
Figure 14-1
Jurassic Sundance Resource
55
Figure 14-2
Tertiary Wind River Resource
56
Figure 14-3
Bootheel Uranium Project, Cross Section A-A’
57
Figure 14-4
Bootheel Uranium Project, Cross Section B-B’
58
Figure 14-7
Bootheel Uranium Project Section E-E’
61
Figure 14-8
Bootheel Uranium Project Body 36, Zone D Thickness Contour Map
63
Figure 14-9
Bootheel Uranium Project, Body 36, Zone D, GT Contours
64
Figure 14-10
Body 6 Thickness Contours
65
Figure 14-11
Body 6 GT Contours
66
Figure 15-1
Water Sample Locations
70
Figure 15-2
Property Leks Locations
72
Figure 15-3
Monitor Wells
75




LIST OF TABLES
PAGE
 
Table 1-1
Mineral Resources of the Bootheel Project as of July 8, 2013
5
Table 2-1
List of Abbreviations
7
Table 7-1
Characteristics of Bootheel Mineralization
30
Table 10-1
Significant Intercepts 2011 Drilling
36
Table 12-1
Downhole Radiometric Probe vs. Chemical Assays, 2008 Program
47

 
 
 

  
The Bootheel Project, LLC.- Bootheel Uranium Project, Wyoming
Technical Report, May 20, 2015
 

 
 
 
Table 14-1
Mineral Resources of the Bootheel Project as of July 8, 2013
53
Table 15-1
Permeability Results, 2008 Core Samples
74
Table 22-1
List of Claims
85

 
 
 
 
 

 
The Bootheel Project, LLC.- Bootheel Uranium Project, Wyoming
Technical Report, May 20, 2015  
 

 


 
 
 
 
 
 
 
 
1 Summary
 
 
 1.1           Executive Summary
 
Agnerian Consulting Ltd. (Agnerian) and C. Stewart Wallis (Wallis, together the Authors) have been retained by Jet Metal Corp and The Bootheel Project, LLC (BP LLC) to prepare a supporting Technical Report on the Bootheel Uranium Project (Project).  The purpose of this report is to provide documentation of the updated Mineral Resources in terms of potential in-situ recovery (ISR) of uranium mineralization of the Jurassic Sundance Formation and the Tertiary Wind River Formation, of the Bootheel Property, which covers an area of approximately 2,013 acres (815 hectares) in the southeast part of the Shirley Basin, southeastern Wyoming.  In 2012, Agnerian audited and reported on a Resource Estimate for the Property.  No drilling has been carried out on the Project since the completion of the 2011 exploration program.  Since the Agnerian 2012 Technical Report, however, the lease with one of the landowners (MJ Ranches) was terminated and, as a result, the overall Mineral Resources of the property have been reduced by approximately 45%.  This report is an update of the Agnerian 2012 Technical Report and has been prepared in accordance with National Instrument (NI) 43-101 Standards of Disclosure for Mineral Projects.  Agnerian visited the project area from September 14 to 15, 2011.  Mr. Wallis visited the Project many times since its acquisition in 2008, and most recently on August 20-22, 2011.

BP LLC is an operating company owned by Jet Metal Corp. (JET) and Ur-Energy Inc. (URE).  Under agreements in 2007 and 2008, JET, through its wholly owned subsidiary, Target Exploration & Mining Corp. (Target), has earned an 80.9% interest in BP LLC.  The remaining 19.1% of BP LLC is owned by URE.
 
 1.1.1           Conclusions
 
Based on the review of technical reports on past exploration, publications on regional geology and the type of uranium mineralization, and recent drill results, the Authors conclude that:


·  
The uranium mineralization at the Bootheel Property is a sandstone-hosted, roll front-type deposit.
·  
At a GT cut-off of 0.15 ft. % or 0.02% equivalent uranium (eU3O8), depending on the host formation, the Mineral Resources of the Bootheel deposit total approximately 1.57 million tons of Indicated Mineral Resources at an average grade of 0.036% eU3O8, containing 1.12 million lbs. of U3O8, and approximately 1.315 million tons of Inferred Mineral Resources at an average grade of 0.040% eU3O8, containing 1.05 million lbs. of U3O8.
·  
Uranium mineralization occurs in at least four horizons in the Jurassic rocks, and one horizon in the Tertiary rocks.
·  
Areas of uranium mineralization intersected in rotary drill holes range from 0.015% eU3O8 to 0.15% eU3O8, over thickness ranging from 1.5 m to 18.6 m.  These mineralized areas are associated with subhorizontal sandstones of the Lower Jurassic Sundance Formation, Lower Cretaceous Cloverly Formation, and the Lower Tertiary Wind River Formation.
·  
The methodology of sampling and assaying during the recent drilling program is consistent with industry standards.
·  
The methodologies of lithological and radiometric logging procedures, and sampling and assaying during past drilling campaigns were in keeping with industry standards in place at that time.
·  
The Bootheel Project area is underlain by Early Jurassic to Lower Tertiary sedimentary rocks of the Shirley Basin of Wyoming.  The Early Jurassic rocks comprise sandstone, shale and conglomerate of the Sundance Formation, and the arkosic sandstone,



The Bootheel Project, LLC.- Bootheel Uranium Project, Wyoming
Technical Report, May 20, 2015
 
1

 
 

·  
A number of northeast trending normal faults cut the rocks and mineralized units in the area.
·  
The source of uranium in the mineralized layers is interpreted to be the Precambrian rocks (including granitic rocks) of the Laramie Range, situated east of the Shirley Basin.
·  
Of the 781 rotary drill holes completed on the property from the mid-1960s to 2011, 161 holes encountered significant uranium mineralization of more than 0.02% eU3O8 over intervals ranging from 1 m to approximately 10 m.
·  
The methodology of downhole logging and surveying by BP LLC is in keeping with, and even surpasses, industry standards.  The database is considered suitable for use in resource estimation.
 
 1.1.2           Recommendation
 
The Authors recommend that due to market conditions and the current price of uranium that the Project remain on a care and maintenance budget.  The annual cost of maintaining the current Project area is $14,000 in government payments plus insurance and accounting.
 
 1.2           Technical Summary
 
 
 1.2.1           Property Status and Infrastructure
 
The registered owner of the property is BP LLC.  The Project covers a total area of approximately 2,013 acres (815.0 ha) comprising surface and mineral rights, state, and federal mineral rights, as follows:

·  
81 unpatented Federal lode mining claims covering a total area of approximately 1,373 acres (555.9 ha).
·  
One Wyoming State Mineral Lease (No. 0-40774) covering 640 acres (259.1 ha).

As per an agreement dated June 2007, later amended in December 2007 and February 2008, between URE and Target (a wholly owned subsidiary of JET), JET has spent more than $3 million on exploration and issued 125,000 shares of its capital to URE, thereby earning a 75% interest in BP LLC.  URE declined to participate in one later program, and as a result, accepted dilution to its interest to the current level of 19.1% interest in the property.  The remaining 80.9% of BP LLC is owned by JET, through Target.

The Federal claims are valid until August 31, 2015, and the Wyoming lease is valid until February 1, 2021.  The claims are renewable on a yearly basis.

The Bootheel Uranium Property is located in Albany County, approximately 60 mi south-southeast of Casper and 60 mi north-northwest of Laramie, southeastern Wyoming.  Access to the Bootheel Project area is by US Highway 30 from Laramie, then by two-lane paved highway (State Highway 287) to the Town of Rock River, and then by gravel road (County road 61/Fetterman Road) north towards US Highway 25 and Casper.
 
The property lies within an area of prairie grassland, with relief ranging from 15 m to 30 m.  The elevation in the general area ranges from 2,300 m to 2,360 m above mean sea level.  The climate at Laramie in southeastern Wyoming is semi-arid with significant difference in seasonal temperature.  The average annual precipitation is 14.7 in (37 cm), mostly as snow from October to May.


The Bootheel Project, LLC.- Bootheel Uranium Project, Wyoming
Technical Report, May 20, 2015
 
2

 
 

The area is covered with extensive shallow overburden and outcrops are not common.  Vegetation consists predominantly of sagebrush.  Overburden cover ranges from 0.5 m to 2 m.  The land in the Shirley Basin area of southeastern Wyoming is high prairie terrain and is used for agriculture.  Wildlife in the area includes antelope, and various species of mammals (including chipmunk, deer, and elk), various species of birds (including, hawk and grouse), and various species of insects.
 
 1.2.2           History
 
There is no infrastructure at the site, and electric power is provided by diesel generators.  Infrastructure at Laramie includes all modern amenities, such as electrical power, internet service, cell phone network, and road building equipment.  There is regular commercial air service between Laramie and Denver, Colorado.

Exploration for uranium deposits in Wyoming dates back to the 1950s.  Exploration in the general area of the property started in 1955 with the discovery of uranium in the Shirley Basin by Teton Exploration Drilling Company (Teton) in 1955.  By the end of 1957, some 1,000,000 ft. of drilling had been completed testing for uranium mineralization in the Lower Tertiary Wind River Formation.

The Bootheel area was originally staked by Kerr McGee in 1958 upon discovery of uranium in shallow oxidized sandstones and in deeper sandstone horizons, but the company abandoned the property in 1962.

Cherokee Exploration Inc. (Cherokee) started exploring for uranium in the area, and in 1977 Cherokee, together with Kerr McGee Corp. (Kerr McGee), formed an exploration and drilling participation agreement with Uranium Resources and Development Company (Uradco), a subsidiary of Pennsylvania Power and Light Corp.  The partners carried out drilling, and various studies on open pit mining, ISR, metallurgy and economic recovery of uranium, but by 1981, Uradco discontinued its operations and returned the property to Cherokee.

In 1980, Dames & Moore Inc. (Dames & Moore) carried out an assessment for parts of the property.  In 1981, Groth Minerals Co. (Groth) carried out limited drilling (33 holes) on the property,

In 2007 Target acquired an option on the property through an agreement between Target, a wholly owned subsidiary, and URE by forming BP LLC to hold the property. In 2008 JET acquired all of the issued and outstanding common shares of Target pursuant to the terms of a plan of arrangement.

In 2008 and 2009, BP LLC acquired the exploration database from Power Resources Inc. (PRI) and commenced a systematic exploration program on the original Bootheel Property, including drilling 93 holes, for a total of 50,163 ft. (16,447 m).  Compilation of the historical database indicates that approximately 600,000 ft. (196,700 m) of drilling has been completed in 2,086 holes on the original Bootheel Property.  Of this total, 781 rotary holes have been completed on the current property.

In September 2009, Scott Wilson Roscoe Postle Associates Inc., a predecessor company to Roscoe Postle Associates Inc. (RPA), estimated the Mineral Resources of the original Bootheel Property, and reported that they contained 1.44 million tons of Indicated Mineral Resources at an average grade of 0.038% eU3O8, and 4.4 million tons of Inferred Mineral Resources at an average grade of of 0.037% eU3O8   This resource included property which is no longer owned by BH LLC.
 
 

The Bootheel Project, LLC.- Bootheel Uranium Project, Wyoming
Technical Report, May 20, 2015
 
3

 



In 2011, Agnerian Consulting Ltd. updated the RPA 2009 Mineral Resource estimate for the original Bootheel Project and reported 2.068 million tons of Indicated Mineral Resources at an average grade of 0.036% eU3O8, containing 1.482 million lbs. of U3O8, and approximately 3.394 million tons of Inferred Mineral Resources an average grade of 0.039% eU3O8, containing 3.126 million lbs. of U3O8.  This resource includes property which is no longer owned by BH LLC.
 
 1.2.3           Geology and Mineralization
 
The Bootheel Project is located within the Shirley Basin, along the western flank of the Laramie Range in southeastern Wyoming, and is underlain by Jurassic to Tertiary sedimentary rocks.  Uranium mineralization in and around the Bootheel Project occurs within sandstones of three sedimentary horizons; Lower Jurassic Sundance Formation; Lower Cretaceous Cloverly Formation; and Lower Tertiary Wind River Formation.  All three host formations are capped by impervious shale.

Individual deposits contain a few tons to several hundred thousand tons of mineralized material, with grades ranging from 0.1% eU3O8 to 0.7% eU3O8.  Areas of mineralization extend up to 2,500 ft. along the edges of the altered fronts.

The exploration methodology applied in the past and during recent exploration programs by BP LLC has been to evaluate the mineralized zones across the roll fronts by drilling rotary holes, and determine favourable areas for roll front-type uranium mineralization of the host sandstones.
 
 1.2.4           Exploration
 
Approximately 600,000 ft. (196,700 m) of drilling in 2,086 rotary drill holes have been completed by BP LLC and previous operators in the general area of the Bootheel Property during the past 53 years.  Of the 781 drill holes completed on the current property, 161 holes intersected significant mineralization of more than 0.02% eU3O8, with approximately 600 intervals ranging from less than 1 m to approximately 10 m.  Drilling by BP LLC on the current property since 2008 amounts to 88 rotary drill holes totalling 49,265 ft.

Based on its review of exploration data, the Authors are of the opinion that procedures of interpreting and calculation of equivalent uranium grades by BP LLC are in keeping with industry standards.

Data verification is done by BP LLC personnel.  These include comparing the lithologic logs with downhole radiometric probe data.  BP LLC, however, has not yet carried out a program of QA/QC on rotary drill chips, such as closed can testwork at a laboratory specializing in such work.  For future drilling programs, Agnerian recommends that BP LLC carry out closed can tests on selected intervals of the mineralized horizons.

Since the recent exploration program is done by rotary drilling, the Authors did not collect independent samples of drill chips for verification of uranium mineralization on the Bootheel Project.  Instead, Agnerian has relied on the independent check work done by Scott Wilson RPA, as part of its due diligence in July 2008, which collected samples of diamond drill core and stated that “the results confirmed the presence of uranium mineralization and detected no concentrations of constituents outside of the normal range for a Wyoming roll-type uranium deposit”.

The Authors are of the opinion that historic sampling and analysis of drill core as well as chips by earlier operators, such as Cherokee and Cameco, were done in accordance with industry practice at the time.  The Authors are also of the opinion that the methodology of downhole logging and surveying by BP LLC is in keeping with, and even surpasses, industry standards.  The Authors
 
 

The Bootheel Project, LLC.- Bootheel Uranium Project, Wyoming
Technical Report, May 20, 2015
 
4

 
 


are further of the opinion that the original gamma log data, and subsequent conversion to eU3O8%, are reliable for resource estimation.

In terms of radiometric disequilibrium, no correction is made to the assay data even though historical data indicate that, for values greater than 0.015% eU3O8, the uranium content (chemical U3O8) may be underestimated.  Nevertheless, the Authors note that the assay data are reliable, but with slightly conservative estimate of the eU3O8 grade, and hence the contained uranium in the deposit may be conservative.
 
 1.2.5           Mineral Resources
 
The Mineral Resources of the Bootheel Project were estimated by JET using the Contour Method and Polygonal Method.  The database contains 781 drill holes, of which 88 were drilled by JET.  Classification of the Mineral Resources is based on continuity of mineralization along strike and drill hole spacing.  In general, the majority of the drill holes are spaced 100 ft. apart, along lines spaced 200 ft. apart.  Table 1-2 summarizes the Mineral Resources of the Bootheel Project.

Table 1-1    Mineral Resources of the Bootheel Project as of July 8, 2013
Bootheel Project, LLC. – Bootheel Uranium Project, Wyoming
 
Resource Category
Formation
Short Tons
Grade (eU3O8%)
Contained Pounds U3O8
Indicated
Sundance
1,570,000
0.036
1,120,000
         
Inferred
Sundance
1,007,000
0.031
624,000
Inferred
Wind River
308,000
0.070
426,000
Inferred
Total Inferred
1,315,000
0.040
1,050,000
Notes:
1.  
CIM definitions were followed for Mineral Resources.
2.  
Mineral Resources of the Sundance Formation are estimated at a cut-off grade of 0.015% eU3O8 over a minimum thickness of 4 ft., and a minimum grade x thickness (GT) product of 0.15 ft.-%.
3.  
Mineral Resources of the Wind River Formation are estimated at cut-off grade of 0.02% eU3O8 over a minimum thickness of 4 ft., and a minimum grade x thickness (GT) product of 0.15 ft.-%.
4.  
Mineral Resources are estimated using an average long-term uranium price of US$70 per pound U3O8.
5.  
A tonnage factor of 16 ft3/ton was used for the Sundance Formation, and 15 ft3/ton was used for the Wind River Formation.
6.  
High grades have not been cut for the Mineral Resource estimate.
7.  
Tonnage, average grades and contained uranium numbers are rounded.

Wallis has reviewed the JET resource estimate and accepts it as the current estimate of the Mineral Resources of the Bootheel Project.  There are no Mineral Reserves on the Bootheel Project at the present time.

Results of drilling completed to date suggest that mineralized zones within the Jurassic Sundance Formation and the Tertiary Wind River Formation may be amenable to the ISR method of recovering uranium.
 

The Bootheel Project, LLC.- Bootheel Uranium Project, Wyoming
Technical Report, May 20, 2015
 
5

 


 
2 Introduction
 
Agnerian Consulting Ltd. (Agnerian) and Stewart Wallis (Wallis, together the Authors) have been retained by Jet Metal Corp. (JET) and The Bootheel Project, LLC (BP LLC) to prepare a Technical Report on the Bootheel Uranium Project.  The purpose of this report is to provide an documentation of the potential for the in-situ recovery (ISR) of uranium mineralization of the various horizons of the Jurassic Sundance Formation and the Tertiary Wind River Formation, of the Bootheel Project, which covers an area of approximately 2,013 acres (815.0 ha) in the southeast part of the Shirley Basin, southeastern Wyoming.  In 2012, Agnerian audited and reported on a Resource Estimate for the Property.  No drilling has been carried out on the Project since the completion of the 2011 exploration program.  Since the Agnerian 2012 Technical Report, however, the lease with one of the landowners (MJ Ranches) was terminated and, as a result, the overall Mineral Resources of the property have been reduced by approximately 45%.  This report is an update of the Agnerian 2012 Technical Report and has been prepared in accordance with NI 43-101 Standards of Disclosure for Mineral Projects.

BP LLC is an operating company owned by JET and Ur-Energy USA Inc. (URE).  Under agreements dated 2007 and 2008, JET, through Target Exploration & Mining Corp. (Target), a wholly owned subsidiary, earned an initial 75% interest in BP LLC.  URE declined to participate in one later program and as a result, accepted dilution to its interest to their current level of 19.1% interest in the property.  The remaining 80.9% of BP LLC is owned by JET.

JET is a public company listed on the TSX Venture exchange, with the symbol JET and its head office in Vancouver.  JET’s former corporate name was Crosshair Energy Corporation (Crosshair).

For this report, the Authors carried out the following tasks:
 
·  
A site visit by Agnerian to the Bootheel Project from September 14 to 15, 2011.
·  
Wallis visited the property several times since its acquisition in 2008.  Most recently on September 20-22, 2011.
·  
Review of exploration results by JET and earlier operators, which include reverse circulation (RC) drilling and downhole radiometric probe results.
·  
Review of a Technical Report and audit of Mineral Resources by Scott Wilson Roscoe Postle Associates Inc. in 2009.
·  
Review of field procedures for logging drill holes by JET.
·  
Review of the current Mineral Resources of the Bootheel Project estimated by JET.

Information for this Technical Report is supplied by JET.  Technical documents and other sources of information are listed at the end of this report.  The main documents used to prepare this Technical Report are:
 
·  
Internal technical reports by JET.
·  
A Technical Report prepared by Scott Wilson Roscoe Postle Associates Inc. (Scott Wilson RPA) dated September 8, 2009.
·  
A Technical Report prepared by Agnerian (Agnerian 2012) dated February 27, 2012.

Mr. Hrayr Agnerian, M.Sc. (Applied), P.Geo, President of Agnerian Consulting Ltd., and a Qualified Person, carried out a site visit, and is responsible for all of the sections excluding Item 14 in this Technical Report.  Mr. Stewart Wallis P. Geo., a Qualified Person is responsible for Item 14.  In preparation of the 2012 Technical Report, Mr. Agnerian also held discussions with professionals knowledgeable on the project including:
 
 

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·  
Mr. C. Stewart Wallis, former President and CEO of JET.
·  
Mr. Mark Ludwig, PE, former Chief Executive Officer of JET.
·  
Mr. Tom Bell, Ph.D., CPG, former Project Manager of JET.
·  
Mr. Larry Poznikoff, Manager, Geotechnical Services for King and Bay West.

Units of measurement used in this report conform to both the Imperial and the SI (metric) systems.  All currency in this report is in United States dollars (US$) unless otherwise noted.  The list of abbreviations used in this report is shown in Table 2-1.

Table 2-1    List of Abbreviations
Bootheel Project, LLC. – Bootheel Uranium Project, Wyoming
       
°C
degree Celsius
L
Liter
C$
Canadian dollars
lbs.
pound (weight)
Cal
Calorie
m
Micron
cm
centimeter
mg
Microgram
cm2
square centimetres
M
Metre
cm3
cubic centimetres
m2
square metres
°F
degrees Fahrenheit
m3
cubic metres
g
Gram
Masl
metres above sea level
ft.
Feet
Mi
Mile
ft2
square feet
Mm
Millimetre
ft3
cubic feet
M
mega (million)
G
giga (billion)
Millidarcy
unit of permeability (one-thousandth of a Darcy)
g/l
gram per litre
pCi/L
Picocuries per litre (unit of radioactivity)
gpm
Grams per metre
pH
measure of acidity of solutions
g/t
gram per tonne
Ppm
part per million
Ha
Hectare
S
second (time)
K
kilo (thousand)
Ton
short ton (2,000 lbs.)
kg
Kilogram
T
metric tonne
km
kilometre
US$
United States Dollar
km2
square kilometres
yr.
Year



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3 Reliance on Other Experts
 
This report has been prepared by the Authors for Jet Metal Corp. and Bootheel Project LLP, and their affiliates.  The information, conclusions, and opinions contained herein are based on:

·  
Information available to the Authors at the time of preparation of this report,
·  
Assumptions, conditions, and qualifications as set forth in this report, and
·  
Data, reports, and other information supplied by JET and its representatives.

For technical information on the Bootheel Project, the Authors reviewed the technical data provided by JET.

The Authors have not searched the title to the Bootheel Project, but have relied on reports on past exploration, and information on title documents supplied by JET.

The authors have reviewed requirements for land use regarding the Bootheel property, and have relied on information supplied by JET and by the U.S. Bureau of Land Management (BLM).
 
 

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4 Property Description and Location
 
 
 4.1           Location
 
The Bootheel Project is located in Albany County, approximately 60 mi south-southeast of Casper and 60 mi north-northwest of Laramie, southeastern Wyoming.  The north-south oriented property extends approximately 4.7 mi within the northwest trending Shirley Basin, which is bounded to the east by the mountains of Laramie Range (Figure 4-1).  The geographic coordinates of the central part of the property are approximately 42°05’N Latitude and 105°45’W Longitude in Township (T) 24North to 25North, Range (R) 74West to 75West.
 
 
 4.2           Property Status
 
The property covers a total area of approximately 2,013 acres (815.0 ha) comprising state and federal mineral rights, as shown in Figure 4-2.  They include:
·  
81 unpatented Federal lode mining claims covering a total area of approximately 1,373 acres (555.9ha)
·  
One Wyoming State Mineral Lease (No. 0-40774) covering 640 acres (259.1 ha).

The lode mining claims control the subsurface mineral rights, and are administered by the U.S. Bureau of Land Management (BLM).  The individual claims and the section under the lease are listed in Table 22-1 (Appendix) at the end of this report.  Some of the lode claims are less than full size (20.66 acres) and, as they have not yet been legally surveyed, the total area has been estimated from the claim maps by JET.
 
 
 4.3           Land Tenure
 
The registered owner of the claims and leases is BP LLC.  All of the Bootheel claims are reported by JET to be in good standing.  The annual holding cost for the Bootheel Project for the assessment year due September 1, 2015, is US$13,997.

The Bootheel Project consists of state, and federal mineral rights with certain surface rights.  The Stock Raising Homestead Act was amended in 1993, whereby mineral ownership is removed from surface ownership, and the surface ownership is patent.  Where the mineral rights are reserved to the Federal Government of the United States, claimants must record a Notice of Intent to Locate Mining Claims (NOITL) with the surface owner and the local BLM office before entering the land or locating claims.  Staking can commence 30 days after the NOITL has been received, but must be completed within 90 days of submittal.  There is a limit to the number of NOTILs that an owner can deliver at one time.  Compensation must be paid to the surface owner for any disturbance of the land used for access or drilling (Underhill and Roscoe, 2009).  All mineral claims are based on the Universal Transverse Mercator (UTM) system using the NAD27 datum.  The surface rights for Section 32, which contains 18 claims, are owned by MJ Ranches, a private corporation.
 
 
 4.3.1           JET-URE Agreement
 
Under an agreement dated June 7, 2007, and amended on December 21, 2007, and on February 28, 2008, between URE, several of its subsidiaries, and what is now a wholly owned JET subsidiary, Target and its subsidiary 448018 Exploration Inc. (448018), JET may earn a 75% interest in BP LLC subject to certain Royalties as discussed below, by completing expenditures totalling $3 million and issuing 125,000 common shares.

JET has spent approximately $4.5 million on exploration and issued 125,000 shares of its capital to URE, thereby earned a 75% interest in BP LLC.  URE declined to participate in one later
 
 
 

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 exploration program, and as a result, has accepted dilution to its interest to the current level of 19.9% interest in the property.  The remaining 80.9% of BP LLC is owned by JET.  The Authors understand that the agreement also defines an area of interest (Figure 4-3).
 
 4.3.2           Cameco Agreement
 
In 2008 and 2009, BP LLC acquired the exploration database on the property from Power Resources Inc. (PRI, a subsidiary of Cameco), which had earlier acquired from Cherokee Exploration Inc. (Cherokee).  Under this agreement PRI retains an overriding royalty on the production of uranium, vanadium, and certain other minerals from some parts the Bootheel Project, which include the federal claims and the State Mineral Lease (No. 0-40774).  In addition, Uranium One Inc. (formerly Energy Metals Corporation) holds a royalty on future production for uranium, vanadium, and other minerals from the 28 TD claims in Sections 6 and 12, Township 24N, Range 74W and 75W (Table 22-1, Appendix).

 

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Figure 4-1   Location Map

 
 
 


The Bootheel Project, LLC.- Bootheel Uranium Project, Wyoming
Technical Report, May 20, 2015
 
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Figure 4-2   Property Map
 

 
 
 

  The Bootheel Project, LLC.- Bootheel Uranium Project, Wyoming
Technical Report, May 20, 2015
 
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Figure 4-3   Area of Interest

 
 
 
 

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5    Accessibility, Climate, Local Resources, Physiography, and Infrastructure
 
 
 5.1           Accessibility
 
Access to the Bootheel Project area is by US Highway 30 from Laramie, then by two-lane paved highway (State Highway 287) to the Town of Rock River, and then by gravel road (County road 61/Fetterman Road) north towards US Highway 25 and Casper.  Supplies and heavy equipment are brought to the camp by trucks.
 
 
 5.2           Climate
 
The climate at Laramie in southeastern Wyoming is semi-arid with significant difference in seasonal temperature.  The average temperature during the winter months is approximately 14F (-5°C) and ranges from -25°C to 5°C.  The average temperature during the summer months is 68F (20°C) and ranges from 10°C to 30°C.  The average annual precipitation is 14.7 in (37 cm), mostly as snow from October to May.  During the winter months, snow cover is usually less than 3 in.
 
 5.3           Physiography and Land Use
 
The property lies within an area of prairie grassland, with relief ranging from 15 m to 30 m.  The elevation in the general area ranges from 2,300 m to 2,360 m above mean sea level.  The area is covered with extensive overburden and outcrops are not common.  Along trails and road cuts, however, outcrops are observed.  Vegetation consists predominantly of sagebrush.  Overburden cover ranges from 0.5 m to 2 m.  Locally, however, overburden may be up to 5 m thick.

The land in the Shirley Basin area of southeastern Wyoming is high prairie terrain and is used for agriculture and ranching.  Wildlife in the area includes antelope, and various species of mammals (including chipmunk, deer, and elk), various species of birds (including, hawk and grouse), and various species of insects.
 
 
 5.4           Infrastructure and Local Resources
 
There is no infrastructure at the site, and electric power for the camp is provided by diesel generators.  There are power lines nearby that service the local ranches.  Infrastructure at Laramie includes all modern amenities, such as electrical power, internet service, cell phone network and road building equipment.  Potable water at the site is provided in bottles, and industrial water is drawn from wells.  Drilling equipment is available in Casper, and is also brought from other cities in Wyoming, such as Laramie.  There is regular commercial air service between Laramie and Denver, Colorado.  In addition, chartered helicopter service is available at Laramie.

 

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6           History
 
 
 6.1           Early Exploration 1950s to 2000
 
Exploration for uranium deposits in Wyoming dates back to the 1950s.  Exploration in the general area of the property started in 1955 with the discovery of uranium in the Shirley Basin by Teton Exploration Drilling Company (Teton) in 1955.  By the end of 1957 some 1,000,000 ft. of drilling had been completed testing for uranium mineralization in the Lower Tertiary Wind River Formation.

The Bootheel area was originally staked by Kerr McGee Corp. (Kerr McGee) in 1958 upon discovery of uranium in shallow oxidized sandstones, and in deeper sandstone horizons, but that company abandoned the property in 1962.  The Kerr McGee acquired the property again in 1968, but subsequently abandoned it again.

In 1959, Utah Mining Corp., which later became Utah Construction and Mining Co. (Utah), started underground mining and producing uranium in the Gas Hills area west of Casper.  Late in 1964, Utah stopped underground mining and started producing uranium by ISR techniques, using sulphuric acid and ion exchange for recovery.  In 1970, Utah changed its mining method to conventional open pit operation.

By the year 1960, other companies such as Kerr McGee and Petrotomics Co. (Petrotomics) had open pit operations in the area, and by late 1969 there were three operating mines in the Shirley Basin, with total annual production in the order of 34 million pounds of U3O8.  Due to the declining price of uranium, however, the mines shut down –the last one in 1992- and most of the open pits were reclaimed.  Presently, Cogema Mining Inc. (Cogema, a subsidiary of the French integrated uranium company Areva) retains one tailings impoundment, which is used for the disposal of low-level radioactive waste from its ISR operations in the Powder River Basin.

In the 1970s, other companies such as Rocky Mountain Energy Corporation, a subsidiary of Union Pacific Railroad (Union Pacific) and Cherokee started exploring for uranium in the area, and in 1977 Cherokee, together with Kerr McGee, formed an exploration and drilling participation agreement with Uranium Resources and Development Company (Uradco), a subsidiary of Pennsylvania Power and Light Corp.  The partners carried out drilling, and various studies on open pit mining, ISR, metallurgy and economic recovery of uranium, but by 1981, Uradco discontinued its operations and returned the property to Cherokee.

In 1980, Dames & Moore Inc. (Dames & Moore) carried out an assessment for parts of the property.  In 1981, Groth Minerals Co. (Groth) carried out limited drilling (33 holes) on the property, and during the same year Nuclear Assurance Corporation (NAC) carried out a resource estimate.  In 1995, Power Resources Inc. (PRI) acquired the exploration database from Cherokee, but later abandoned the property due to low uranium prices.  The database included reports, gamma logs, drill logs and other data from some 660 drill holes totalling approximately 290,000 ft. (96,000 m).
 
 6.2           Recent Exploration
 
In 2008 and 2009, BP LLC acquired the exploration database from PRI and commenced a systematic exploration program on the Bootheel Project, which at the time was much larger than the current holdings.

In September 2009, Scott Wilson Roscoe Postle Associates Inc., a predecessor company to Roscoe Postle Associates Inc. (RPA), audited the Mineral Resources of the original larger
 
 

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Bootheel Project, and reported that they contained 1.44 million tons of Indicated Mineral Resources at an average grade of 0.038% eU3O8, and 4.4 million tons of Inferred Mineral Resources at an average grade of of 0.037% eU3O8.

In a 2012 Technical Report, Agnerian (2012) updated the RPA 2009 resource for the original Bootheel Project which at that time was much larger.  At a GT cut-off of 0.15 ft.-% or 0.02% equivalent uranium (eU3O8), depending on the host Formation, Agnerian reported the Mineral Resources of the Bootheel deposit to total approximately 2.07 million tons of Indicated Mineral Resources at an average grade of 0.036% eU3O8, containing 1.48 million lbs. of U3O8, and approximately 4.0 million tons of Inferred Mineral Resources an average grade of 0.039% eU3O8, containing 3.13 million lbs. of U3O8.

Since the 2012 Technical Report by Agnerian, no further exploration work has been done on the Bootheel property and the property has been reduced to its present size of approximately 815 ha.
 
 
 

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7           Geological Setting and Mineralization
 
 
 7.1           Regional Geology
 
The Bootheel Project is located within the Shirley Basin, along the western flank of the Laramie Range in southeastern Wyoming, and is underlain by Jurassic to Tertiary sedimentary rocks (Figure 7-1).  The basin is an erosional feature controlled in part by a broad northwest trending syncline in pre-Tertiary rocks.  The property is situated adjacent to the Precambrian Wyoming Lineament, which separates the Laramie structural basin in the east from the Wind River structural basin in the west.  Both the Shirley Basin and the Laramie Range were formed during the Laramide Orogeny, at the close of the Cretaceous period.

The rocks in the general area range from Precambrian to Quaternary in age.  The regional stratigraphy is presented in Figure 7-2, and is interpreted by J.D. Love and A.C. Christiansen (1985) as follows:

·  
Precambrian basement rocks: These rocks are extensively exposed in the Laramide Range, and consist of metasedimentary rocks, diabase, and granitic rocks.  Past exploration indicates that these rocks extend to more than 5,000 ft. below the surface (Figure 7-3).
·  
Paleozoic rocks: They comprise:
o  
The limestones and dolomites of the Mississippian Madison Formation, which overlie the basement rocks, although not present in the area of the Bootheel Project.  A major northeast trending thrust fault (Pinto Creek Fault) is situated approximately one mile southeast of the Bootheel claims and separates these rocks from the younger rocks in the area.
o  
Red shales, limestone, and gypsum of the Permian Goose Egg Formation
·  
Mesozoic rocks: These rocks include:
o  
Triassic sandstones, siltstones, and conglomerates.
o  
Sandstones and siltstones of the Lower Jurassic Sundance Formation and Upper Jurassic shales.
o  
Sandstones and shales of the Lower Cretaceous Cloverly Formation as well as similar rocks of Upper Cretaceous age.
·  
Cenozoic rocks: These rocks include:
o  
Arkosic sandstones, conglomerates, and siltstones of the Lower Tertiary Wind River Formation, sandstones and conglomerates of Middle Tertiary Wagon Band Formation, and fine-grained sandstones of the Upper Tertiary White River Formation.
o  
Quaternary surficial deposits, including unconsolidated gravel and alluvium.

The Precambrian rocks generally occur east of a northwest trending lineament in the northern part of Albany County (Figure 7-3).  The Bootheel Fault, as well as all other faults in the area, trend northeast.
 
 
 

The Bootheel Project, LLC.- Bootheel Uranium Project, Wyoming
Technical Report, May 20, 2015
 
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Figure 7-1   Generalized Structural Map of Wyoming Geology
 
 
 

The Bootheel Project, LLC.- Bootheel Uranium Project, Wyoming
Technical Report, May 20, 2015
 
 
18

 
 
Figure 7-2   Stratigraphic Section of the Bootheel Area
 
 

  The Bootheel Project, LLC.- Bootheel Uranium Project, Wyoming
Technical Report, May 20, 2015
 
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Figure 7-3   Regional Geology
 
 
 
 
 

  The Bootheel Project, LLC.- Bootheel Uranium Project, Wyoming
Technical Report, May 20, 2015
 
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 7.2           Property Geology
 
The Bootheel Project is underlain by the arkosic sandstones and siltstones of the Lower Tertiary Wind River Formation.  These rocks have a very gentle (1.5) northeasterly dip, and lie unconformably over gently (3 to 5) southwest dipping sandstones of the Lower Jurassic Sundance Formation.  Both the Lower Tertiary and Lower Jurassic rocks are situated within a graben formed by the Pinto Creek Fault and another postulated northeast trending fault near the northwestern margin of the property (Figures 7-3 and 7-4).  In a younging direction, the following is a general description of the rock types encountered in drill holes, as interpreted in e-Logs (Figure 7-5).
 
 7.2.1           Chugwater Formation
 
The lowest formation intersected in drill holes is the Upper Permian to Lower Triassic Chugwater Formation comprising a 600 ft. to 800 ft. thick sequence of red shale, siltstone, sandstone, limestone, and conglomerate.
 
 7.2.2           Sundance Formation
 
Rocks of the Lower Jurassic Sundance Formation unconformably overlie the rocks of the Chugwater Formation.  They comprise white to yellow, very fine-grained cross-bedded sandstone, and pebble conglomerates (Canyon Springs members A, B, C, and D).  Unit C, however, has not been encountered in drill holes on the Bootheel Project (Figure 7-5).  The following is a description of Units A, B and D by Underhill and Roscoe (2009).

“Units B and D are a remarkably homogeneous sequence of fine- to very fine-grained, well-sorted sandstone, deposited in a marine beach environment.  Sand grains are sub- to well-rounded, typically frosted, and can become medium-grained in some intervals.  Dune to bar scale cross-bedding is common.  Silty shale partings, less than one millimetre thick, were seen in core…the bottom five feet of the unit becomes progressively siltier and contains minor shale laminae near the base.  The unit becomes siltier in the upper few feet and visually gradational with the overlying Canyon Springs A bed.  The unit ranges from 75 to 105 ft. thick and can be mineralized at any stratigraphic position.

The majority of the B and D beds are weakly cemented and friable.  Typically 70% of the rock is easily broken by hand.  This often presents difficulties in core recovery, especially in the softest areas where the core diameter erodes and core falls out of the inner tube.  Poor recovery can also occur in rotary cuttings.  The sandstone disaggregates into very fine sand grains, which become suspended in the drill mud and cannot be collected at the surface.  This results in erroneous lithological and oxidation descriptions in some of the old geologic logs.  The e-log response of the Canyon Springs B and D is surprisingly flat and matches the visually homogeneous nature of the unit.  Permeability is typically high both along and across bedding, ranging from 500 to 3,000 millidarcys.  Water dropped onto the surface of saturated core will usually seep into the core in one to three seconds.

The overlying Canyon Springs A bed consists of very fine-grained silty sandstone, from 25 to 35 ft. thick.  It appears identical to the Canyon Springs B and D beds in both core and drill cuttings.  However, the Canyon Springs A has a very distinctive e-log signature, which is recognizable across the entire project area.  The unit is considered to be a weak to moderate confining layer hydrogeologically.  Lower permeability is indicated by sharply higher SP/lower resistivity response in the e-logs and a consistent absence of uranium mineralization within the unit.
 
 
 

The Bootheel Project, LLC.- Bootheel Uranium Project, Wyoming
Technical Report, May 20, 2015
 
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Figure 7-4   Property Geology
 
 

  The Bootheel Project, LLC.- Bootheel Uranium Project, Wyoming
Technical Report, May 20, 2015
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 7.2.3           Morrison Formation
 
The Upper Jurassic Morrison Formation is approximately 200 ft. thick and overlies the Sundance Formation.  It comprises monotonous carbonaceous shale with minor siltstone interbeds.  Many intervals contain 50% streaky hematitic staining, which is a diagnostic recognition characteristic in drill cuttings.
 
 7.2.4           Cloverly Formation
 
The Cretaceous Cloverly Formation consists of three members, described as follows.
·  
Lakota sandstone: consists of poorly cemented, very fine-grained, well-rounded quartz sandstone, with local chert pebble conglomerate, totalling from 45 ft. to 80 ft. thick.  The unit is highly permeable, lacks carbonaceous trash and hosts thin weak mineralization.
·  
The Fusion shale: consists of an upper black shale, lower sandstone and basal lignite.  The total thickness ranges from 2 ft. (in the northwest and southeast portions of the property) to 40 ft. in the central area.  Scattered weak mineralization occurs within the sandstone beds.
·  
The Dakota sandstone: is fine- to coarse-grained sucrosic quartz sandstone, ranging from 12 ft. to 40 ft. in thickness, and contains abundant pyrite and carbonaceous material.  Limonite and hematite concretions are abundant in outcrop.  “This member hosts strong uranium mineralization in section 12 and widely scattered mineralization in sections 2 and 11” (Crosshair, 2011).
 
 7.2.5           Thermopolis Formation
 
The Thermopolis Formation overlies the Dakota sandstone.  It consists of black marine shale and contains the Rusty Beds sandstone member 10 ft. to 30 ft. above its base.  Total thickness of the formation is approximately 165 ft.  The Rusty Beds consist of very fine- to medium-grained sandstone grading upwards into thinly interbedded siltstone and shale, ranging from 25 ft. to 85 ft. total thick.  Both carbonaceous material and pyrite are abundant.  “The member hosts strong uranium mineralization in sections 11 and 12 and scattered weak mineralization in section 2” (Crosshair, 2011).
 
 7.2.6           Mowry Formation
 
The Mowry Formation comprises the basal Muddy Sandstone member and overlying siliceous shale, totalling approximately 110 ft. in thickness.  The Muddy Sandstone consists of very permeable, fine- to medium-grained salt and pepper sandstone, ranging from 18 ft. to 45 ft. in thickness.  “A small area of potentially economic uranium mineralization is hosted in the Muddy in the northwest portion of section 12, with some weak scattered mineralization in section 11” (Crosshair, 2011).
 
 7.2.7           Frontier Formation
 
The overlying Frontier Formation consists of an 860 ft. thick sequence of thin-bedded carbonaceous shale and sandstone.  The 150 ft. thick Wall Creek Sandstone member consists of interbedded sandstone and siltstone and contains widespread weak mineralization.
 
 7.2.8           Wind River Formation
 
The Lower Eocene Wind River Formation and other Lower Tertiary rocks were deposited on the Late Cretaceous to Early Tertiary angular erosional unconformity formed during the Laramide Orogeny.  “Uranium-rich sediment was derived from Precambrian basement rocks in the Laramie Range to the east.  Deposition was controlled by a large paleochannel (Figures 7-3 and 7-4), which trends northeast in the northern portion of the project (graben controlled) and trends northwest in the southern portion of the project (controlled by the strike of easily eroded pre-Tertiary sediments).  The southern margin of the paleochannel terminates against the Pinto
 
 

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Creek fault complex one mile to the southeast of the project.  Topographic relief along the paleochannel (as well as changes in formation thickness) ranges from 100 ft. to 250 ft.  As the Eocene landscape matured the confining paleochannels had less influence and deposition occurred across a broad flood plain” (Crosshair, 2009).

The Middle Eocene Wagon Bed Formation conformably overlies the Wind River Formation.  These two formations comprise similar lithologic units.  Due to the lack of marker beds, however, the two formations cannot be distinguished from each other at the surface and cannot be subdivided in drill holes using either electric logs or drill samples.  In the western portion of the Shirley Basin, the base of the Wagon Bed is defined by a lacustrine limestone, which is absent at Bootheel.  The formation contact at Bootheel is assumed to be located where siltstones and shales are more common.  For practical purposes, both formations are lumped into the Wind River Formation (Crosshair, 2009).

The Tertiary sedimentary rocks range from 100 ft. to 250 ft. in thickness, and are unlithified.  “The lower half of the sequence typically consists of coarse-grained sand and conglomerate channel deposits, with lesser amount of silt and clay overbank deposits.  Lateral facies changes are common and often abrupt.  The historic reports suggest that the primary host for uranium within the Wind River Formation is the carbonaceous, fine-grained sediments at channel margins and overbank deposits.  However the lithological drill logs indicate that in many holes the host for the uranium mineralization is the basal conglomerate or coarse-grained sandstone.  Some of the logs indicate the sandstones may contain interbedded finer-grained siltstones” (Crosshair, 2009).

Overlying the basal conglomerate the upper half of the Tertiary stratigraphy is typically finer grained sedimentary rocks, dominated by silts and clays with less abundant channel deposits.  No significant uranium mineralization occurs in these upper sediments.  Conglomerates containing large boulders are uncommon, but do occur, mainly in the eastern half of the project area, within the basal sediments and in the middle of the fine-grained strata.  The Tertiary sedimentary rocks at Bootheel are very permeable and strongly oxidized.  Coarse-grained sedimentary rocks are 100% oxidized, while silts and clays are approximately 70% oxidized.
 
 7.2.9           Quaternary Sediments
 
The Quaternary sediments cover much of the Bootheel Project.  They consist of alluvial sediments, such as sand and gravel, with thickness ranging from 2 ft. to 30 ft.
 
 
 7.3           Structural Setting
 
The Bootheel Project is situated adjacent to the Precambrian Wyoming Lineament, which separates the Laramie structural basin in the east from the Wind River structural basin in the west.  Both the Shirley Basin and the Laramie Range were formed during the Laramide Orogeny, at the close of the Cretaceous period.

The Bootheel Project is situated within a graben, which is bounded by two northeast trending faults; the Pinto Creek Fault, approximately one mile southeast of the Bootheel claims and a fault (North Fault) with similar orientation near the northwestern border of the property.  Rocks within the graben are younger than those in the surrounding areas (Figures 7-3 and 7-4).  The vertical displacement along the Pinto Creek Fault ranges from 1,300 ft. to 2,200 ft., and it can be traced for at least 20 miles.  The vertical displacement along the North Fault is reported to be in the order of 500 ft.  “Drag folding along each of these faults suggests an oblique slip component to movement” (Underhill and Roscoe, 2009).
 
There are other northeast trending faults with smaller displacements in the order of 10 ft. to 20 ft. within the graben, which cut the mineralized areas.  These are interpreted from breaks in oxidation zones and anomalous radioactivity detected in drill holes.  These faults, however, are
 
 
 

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not common in the mineralized areas, as there are sections of 40 ft. to 50 ft. of drill core without any fractures (Crosshair, 2009).
 
Three large solution collapse features, ranging from one-half mile to one mile, exist just beyond the northern boundary of the property.  They are defined by closed topographic contours and visible on aerial photographs.  The collapse features are believed to have formed from dissolution of evaporates within the underlying Triassic and Permian sedimentary rocks.  “They have created a geologic paradox along the northern fault margin of the graben, where Tertiary Wind River sediments on the downthrown side of the fault are up to 100 ft. topographically higher than pre-Tertiary sediments on the up-thrown side of the fault.  Synclinal folding related to the collapse has been mapped at the margins of the feature in section 35” (Crosshair, 2009).
 
 

 

The Bootheel Project, LLC.- Bootheel Uranium Project, Wyoming
Technical Report, May 20, 2015
 
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Figure 7-5   Formation Contacts on e-Logs
 

The Bootheel Project, LLC.- Bootheel Uranium Project, Wyoming
Technical Report, May 20, 2015
 

 
26

 


 
 7.4           Mineralization
 
Uranium mining in the Shirley Basin in the past, including ISR operations by Utah, has occurred mostly in the northwestern part of the basin, approximately 25 mi northwest of the Bootheel Project.  Exploration data indicate that the style of uranium mineralization is that of roll front-type, with large crescent-shaped hinge zones of yellowish green sandstone (with high iron montmorillonite) occurring on the oxidized side of the roll fronts.  The oxidized upper and lower flanks from the hinge zone may extend several hundred to more than a thousand feet away from the roll front.  Unaltered sandstone is grey.  Individual deposits contain a few tons to several hundred thousand tons of mineralized material, with grades ranging from 0.1% eU3O8 to 0.7% eU3O8.  Areas of mineralization extend up to 2,500 ft. along the edges of the altered fronts.

Uranium mineralization in and around the Bootheel Project occurs within seven sandstone beds of three sedimentary horizons.  From bottom to top, these are Lower Jurassic Sundance Formation, Lower Cretaceous Cloverly Formation, and Lower Tertiary Wind River Formation (Table 7-1).  All three host formations are capped by impervious shales.
 
 7.4.1           Jurassic Sundance Formation
 
Approximately 76% of the Bootheel deposit is comprised of uranium mineralization hosted by the Jurassic Sundance Formation.  The unoxidized Canyon Springs B and D units of the Sundance Formation are medium grey and contain less than 1% iron sulphides.  Pyrite occurs as fine disseminations, large clots up to one inch, and as streaks parallel to bedding.  Carbonaceous material is rare and is usually coated by iron sulphide.  Mineralized portions of the units are visually identical to unmineralized portions of the unit, except for a possible increase of pyrite content.  Finely disseminated dark uranium minerals seem to be present, but none have been definitively identified.  The oxidized sandstones are limonitic orange in colour.  Occasionally, nodular and disseminated calcite cement occurs, usually at the margins of mineralized zones.

Uranium mineralization occurs at depths ranging from 158 ft. to 585 ft. below the surface.  The thickness of the mineralized units ranges from 3 ft. to 61 ft., and average grades range from 0.015% eU3O8 to 0.09% eU3O8.  The individual zones exhibit good lateral continuity, ranging from approximately 300 ft. to 1,000 ft. wide and 400 ft. to more than 1,000 ft. long (parallel to the general redox boundary).  Individual bedded mineralized zones can extend laterally (in the same stratigraphic position) for up to 600 ft., or may “migrate” at 5 to 10 across the stratigraphy.  “This gentle cross-cutting of bedding is probably due to a combination of permeability differences in the host rock and broad variations in the redox geometries” (Underhill and Roscoe, 2009).  Lateral distance between individual mineralized zones and the Tertiary angular unconformity-Canyon Springs contact varies greatly, ranging from 10 ft. to 4,000 ft.

Two basic styles of uranium mineralization are present in the Canyon Springs segments of the Sundance Formation: thin to moderately thick, laterally continuous zones of bedded mineralization, and; thick, linear zones of cross cutting mineralization, which are laterally much narrower than bedded zones.  In some areas, these two styles of mineralization represent the nose and tails of typical roll fronts.  Usually the upper tail is poorly developed while the lower tail develops into thick, laterally persistent bedded mineralization.  A series of two or three redox fronts can occur over a distance of 1,000 ft.  In other areas, linear zones of cross-cutting mineralization occur as gradual thickening of adjacent bedded mineralization and appear structurally controlled.  A combination of roll front processes and re-reduction by migration of H2S along faults is interpreted by JET to be responsible for the complex mineralization and oxidation areas present on the Bootheel Project.

Undivided Upper Sundance Formation consists of light to dark grey interbedded sandstone, siltstone and shale, ranging from 120 ft. to 140 ft. thick.  The lower third of the unit is dominated by very fine-grained silty sandstones, which are locally oxidized.  “The basal very fine-grained
 
 

The Bootheel Project, LLC.- Bootheel Uranium Project, Wyoming
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silty sandstone (subdivided as the Hulett sandstone by previous workers) is present across the entire project area, averages ten ft. in thickness, and displays a very distinctive rounded SP low/ resistivity high and is very useful in correlating from drill hole to drill hole.  The upper two thirds of the unit are dominated by dark gray, thin-bedded siltstone and shale.  An important recognition characteristic of the Upper Sundance in drill cuttings is that the entire siltstone-shale sequence is unoxidized and impermeable.  The top 10 ft. of the Sundance is also distinctive, containing a series of two to sometimes three thin siltstone-sandstone beds, which create a diagnostic resistivity double peak on the logs.  The majority of the unit consists of impermeable lithologic units and represents the overlying aquitard (a bed of low permeability adjacent to an aquifer) for ISR mining of the Canyon Springs B and D hosted mineralization” (Crosshair, 2009).
 
 7.4.2           Cretaceous Cloverly Formation
 
Three Cretaceous sandstone units host uranium mineralization on the Bootheel Project.  There are no mineral resources estimated for this Formation.  In decreasing order of importance, these are: Dakota Sandstone of the Cloverly Formation; Rusty Beds Sandstone of the Thermopolis Formation, and; Muddy Sandstone of the Mowry Formation.  The Lakota and Fusion members of the Cloverly Formation also host scattered mineralization in thin beds.  “All significant Cretaceous hosted mineralization found to date is located in the northwest portion of section 12.  Widespread weak mineralization is present in widely spaced drilling in section 2; however, tonnage potential to date appears limited in this area” (Crosshair, 2009).  Mineralized units are described by JET as follows:

·  
Dakota Sandstone: fine- to coarse-grained sandstone, 4 ft. to 47 ft. thick, containing abundant pyrite and carbonaceous material.  Uranium mineralization occurs at depths ranging from 163 ft. to 325 ft. below the surface.  The thickness of the mineralized units ranges from 2 ft. to 14 ft., and average grades range from 0.026% eU3O8 to 0.23% eU3O8.  The main zone is approximately 300 ft. wide and 1,000 ft. long.  A smaller 200 ft. by 300 ft. zone occurs up-dip to the east (Figure 7-4).  Very little oxidation is present in the mineralized zones.
·  
Rusty Beds Sandstone: consists of fine to medium sandstone, with siltstone in the upper portions, ranging from 5 ft. to 87 ft. in thickness.  It contains abundant pyrite and carbonaceous debris.  Uranium mineralization occurs at depths ranging from 232 ft. to 297 ft. below the surface.  The thickness of the mineralized units ranges from 2 ft. to 23 ft., and average grades range from 0.02% eU3O8 to 0.11% eU3O8.  Mineralization occurs in three small zones, 300 ft. to 400 ft. in size, which may be laterally continuous.  Nearly all the mineralized intercepts are partially oxidized.
·  
Muddy Sandstone: is fine to medium grained, 18 ft. to 45 ft. thick and is very permeable.  It is the least well mineralized of the Cretaceous units, with only one zone, which is approximately 200 ft. by 400 ft. in dimension.  Uranium mineralization occurs at depths ranging from 138 ft. to 149 ft. below the surface.  The thickness of the mineralized units ranges from 2 ft. to 6 ft., and average grades range from 0.02% eU3O8 to 0.16% eU3O8.  Uranium mineralization in this zone may extend to the south.

Uranium mineralization in all three host horizons is interpreted to be similar to a typical roll front-type deposit, whereby uranium bearing groundwater migrate down-dip from the Tertiary angular unconformity and forms the roll fronts.  Most mineralized zones are oriented roughly parallel to the host unit contact with the unconformity.  The main mineralized zone in the Dakota Sandstone, however, has a northeasterly trend, which is perpendicular to the unconformity, and may have been influenced by reduction along a fault.
 
 7.4.3           Tertiary Wind River Formation
 
Approximately 24% of the Bootheel deposit is comprised of uranium mineralization hosted by the Lower Tertiary Wind River Formation.  Uranium mineralization occurs at depths ranging from 50
 
 
 

The Bootheel Project, LLC.- Bootheel Uranium Project, Wyoming
Technical Report, May 20, 2015
 
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ft. to 215 ft. below the surface.  The thickness of the mineralized units ranges from 2 ft. to 23 ft., and average grades range from 0.015% eU3O8 to 0.325% eU3O8.

Uranium mineralization hosted by the Wind River Formation represents cumulative zones, which may contain mineralization in multiple stratigraphic horizons.  Mineralized zones commonly have a north-south orientation, which is interpreted by JET to correlate with overbank deposits along the eastern margin of the north-south depositional paleochannel of the formation.  In parts of the Bootheel Project, however, the orientation of the mineralization is parallel to the underlying mineralization in the Sundance Formation.
 
 7.4.4           Chemical Analyses
 
In 2009, Underhill and Roscoe collected 36 samples of drill core and had them analyzed.  Results of Inductively Coupled Plasma (ICP) determinations indicate that the elemental constituents of those samples are similar to those at other roll front-type uranium deposits.  The samples contained the following elements:

·  
Arsenic: 1 ppm to 12 ppm, averaging 3.7 ppm.
·  
Cadmium: 0.01 ppm to 0.09 ppm, averaging 0.03 ppm.
·  
Molybdenum: 0.2 ppm to 1.0 ppm, averaging 0.43 ppm.
·  
Selenium: 2 ppm to 18 ppm, with three samples containing 28 ppm Se to 68 ppm Se
·  
Vanadium: 11 ppm to 261 ppm, averaging 85 ppm.

Based on the above results, Underhill and Roscoe (2009) concluded that the potential for significant vanadium by-product is nil.  The authors also noted that there are low levels of potentially deleterious trace elements and heavy metals within the Sundance Sandstone, such as arsenic and cadmium.
 
 
 
 

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TABLE 7-1    CHARACTERISTICS OF BOOTHEEL MINERALIZATION
Bootheel Project, LLC. – Bootheel Uranium Project, Wyoming
 
Age: Formation: Unit
Depth (ft.), Dip direction ()
Maximum Point Grade (%eU3O8)
Composite Grade (%eU3O8)
Composite Thickness (ft.) at 0.015% eU3O8 cut-off
Width x Length (ft.)
Host Rocks
Type(s) of Mineralization
Degree of Oxidation
Tertiary-Eocene Wind River Fm
54-215 Avg 130, dip 1.5 NE
0.726
0.015–0.325, Avg.0.049
2 – 23, Avg. 4
Up to 300 x 500
Fluvial slst, sst, basal congl, overbank deposits, channel margins
Roll-type remnants in multiple horizons, thin HG, meandering & may be discontinuous
Strong; 100% in sst, 70% in slst
Cretaceous Muddy Fm sst
138-149 Avg 142
0.467
0.016-0.157 Avg.0.035
2 - 6, Avg.3
1 pod: 200x400
f.g.- m.g. marine sst
Roll-type
Average of 25%
Cretaceous Thermopolis Fm, Rusty Beds sst
232-290 Avg.267
0.180
0.015-0.090 Avg.0.038
2 – 13, Avg.6
3 pods: each 300 x 400
f.g.- m.g. hem sst; py, carb
Roll-type
Partially oxidized, Average of 30%
Cretaceous Cloverly Fm, Dakota sst
163-325 Avg.250
0.417
0.026-0.230 Avg.0.060
2 – 14, Avg.5
300x1,000 & 200x300
f.g.- m.g. marine sst; py, carb
Roll-type
Very weak to no oxidation
Cretaceous Cloverly Fm, Lakota sst
310-490 Avg.383
0.093
0.022-0.054 Avg.0.032
2 – 7, Avg.4
 
f.g.- m.g. sst, congl at base
Roll-type?
30% to 50%
Jurassic Sundance Fm Canyon Springs B & D sst
158-585 Avg.378, dip 3-5 SW
0.423
0.017-0.091 Avg.0.034
2 – 61, Avg.14
Extensive; up to 200-800 wide x 400x1,200 long
Marginal marine: uniform, f.g. beach sands; x-bdd, poorly cem, very permeable; <1% py, rare carb
Roll-type; both nose & tails; Re-reduced structure controlled zones?
Complex: varies from redox fronts to re-reduced zones

Source: Underhill and Roscoe, 2009.

Notes:
1.  
Fm (Formation; Avg (average); slst (siltstone); sst (sandstone; congl (conglomerate); f.g. (fine-grained); m.g. (medium-grained);py (pyritic); carb (carbonaceous); bdd (bedded); cem (cemented) .
2.  
Point grade is obtained from radiometric downhole probe results.
 
 
 

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8           Deposit Types
 
The Bootheel Project is located within the Shirley Basin of Wyoming, and uranium mineralization, hosted by the Jurassic, Cretaceous, and Tertiary sandstones, is interpreted to represent a roll front-type mineralization by BP LLC.  Sandstone-type uranium deposits are characteristically sedimentary formations of clastic-detrital origin associated with reducing environments.  These deposits are usually tabular in shape and may occur in continental sandstones, deltaic or shallow marine environments.  Typically, roll front-type uranium deposits have, in the direction of the flow of ore bearing solutions, a barren (oxidized) interior zone surrounded by a (reduced) mineralized zone.  Between the barren zone and the mineralized zone is an altered zone.  The over-all shape of the roll front is like a crescent with extended tails at each end, which also outline the barren interior zone, and uranium is deposited at the interface between the oxidized zone and the reduced zone (Figures 8-1 and 8-2, and Guilbert and Park, 1986).  Ground water flow direction is usually a good guide in detecting roll front-type deposits in sandstones.  The principal ore minerals are pitchblende and coffinite, often accompanied by selenium, molybdenum, arsenic and phosphorous.

The most favourable host rocks are friable fine- to coarse-grained arkosic sandstones containing pyrite and carbonaceous material.  Interbedded mudstone, claystones, and siltstone interbeds are often present and sand and silt channels with cross-bedding, are common.  Below the water table, unaltered sandstones are light grey to greenish grey with abundant pyrite and carbonaceous material while the altered sandstones are reddish or greenish yellow coloured with no pyrite and little carbonaceous material.  The alteration that marks the roll front penetrates the sandstone down-dip.  The fronts range in size and shape and commonly have lateral extensions of several miles and thicknesses of several tens of feet.  Within any one formation there may be many individual beds that contain roll fronts.

The clay minerals within the sandstone sequence of the host rocks in an ideal roll front also show zoning, with montmorillonite at the top, clinoptilolite in the middle and analcite at the bottom of the sequence as evidence of progressive diagenetic zeolitization of the sandstones (de Voto, 1978).  Furthermore, there may be several generations of roll-front type uranium mineralization in a sandstone sequence, provided that the geochemical regime prevails for each unit (de Voto, 1978).

The characteristic feature of the style of uranium mineralization in the sedimentary rocks of the Bootheel area is that mineralization is stratabound.  The two possible sources of the uranium at Bootheel are the uraniferous Precambrian granites situated east of the Shirley Basin and the uraniferous Oligocene tuffs, which once covered the basins.
 
 


The Bootheel Project, LLC.- Bootheel Uranium Project, Wyoming
Technical Report, May 20, 2015
 
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Figure 8-1   Cross Section and Plan View of Roll Front-Type Uranium Deposit
 
 

The Bootheel Project, LLC.- Bootheel Uranium Project, Wyoming
Technical Report, May 20, 2015
 
 
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Figure 8-2   Chemical Processes During the Formation of Roll Front-Type Uranium Deposit
 

  The Bootheel Project, LLC.- Bootheel Uranium Project, Wyoming
Technical Report, May 20, 2015
 
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9           Exploration
 
 
 9.1           Exploration Methodology
 
The exploration methodology applied in the past and during recent exploration programs on the Bootheel Project has been to evaluate the interpreted targets for uranium mineralization by drilling.  Mud rotary drilling together with radiometric gamma downhole logging has been the primary method to discover and delineate roll front-type uranium deposits in the Shirley Basin.  This is supplemented with a small amount of selective core drilling, mostly to supply material for mineralogical studies and metallurgical test work.

The exploration targets are selected based on regional geological mapping and airborne radiometric surveys carried out by the United States Geological Survey (USGS).  There is no record of ground radiometric or other geophysical surveys having been carried out on the Bootheel Project, or other areas hosting roll front-type uranium deposits.

Since acquiring the Bootheel Project, JET has recorded the locations of all past and recent drill holes using a hand-held Global Positioning System (GPS) and using the UTM NAD 27 Zone 13 map grid.  A legal survey of the claim boundaries and drill hole locations, however, has not yet been carried out.  The horizontal accuracy of the GPS-determined hole locations is estimated by JET to be within 5 ft. to 20 ft.

The procedures of marking the locations old and new drill holes are as follows:
·  
Old (or legacy) drill holes: mark the locations using GPS and record the radioactivity using a scintillometer.  If a monument does not exist, then the location is marked with a wooden picket sticking approximately 6 in. above the ground.
·  
New drill holes: the location is marked with a wooden picket using GPS.

The purpose in using a short wooden picket is to minimize the effect on the environment and on wildlife
 
 9.2           Compilation of Exploration Data
 
Prior to commencing its exploration of the Bootheel Project, JET embarked on a program of compiling all historical data by previous operators.  These included a data package of:

·  
Excel spreadsheets containing drill hole coordinates, collar elevations, grade-depth intervals and formation intervals.
·  
ASCII files containing drill hole grade-depth intervals.
·  
Scanned gamma, SP and resistivity e-logs and calculated grade analysis summary sheets.
·  
Scanned geologic logs, most with oxidation details.
·  
Scanned drill hole summary tables and individual drill hole reports.
·  
Scanned drill hole survey tables and reports.
·  
Scanned maps and cross sections.
·  
Scanned reports and correspondence.

Data collected from JET’s 2008 and 2011 drill program was in the form of:
·  
Gamma, SP and Resistivity e-logs.
·  
LAS files containing e-log data.
·  
Geological logs, with detailed data on extent of oxidation.
 
 
 
 

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Data obtained from Cameco Resources in January 2009 consisted of:
·  
Paper gamma logs.
·  
Hard copy print outs of the counts per second
·  
Lithological logs.

The focus of the data compilation work was to cross-check all available, relevant historical data and bringing it together into the Access Database.  Data received in computer file format (ASCII files and Excel spreadsheets) was imported into Access.  The remaining data were manually entered from scanned historic data sources: geologic logs, gamma logs, ore grade analysis sheets, drill hole summaries, individual drill hole reports, drill hole survey reports, maps and reports.  Additional grade and formation data was entered by JET as taken from the historic gamma logs.
 
 

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10           Drilling
 
In 2008 BP LLC acquired the Bootheel Project and commenced a systematic program of drilling the postulated extensions of the uranium mineralized zones delineated by Kerr McGee, Cherokee, PRI and other past operators.  BP LLC used similar truck-mounted mud rotary equipment drilling 4 ¾ in. to 5 ¾ in.-diameter holes using local Wyoming drilling contractors.  Since 2008, BP LLC has completed 49,265 ft. of drilling in 88 RC holes (Figure 10-1).  The mineralized portions of some of the holes were also cored, as shown in Figure 10-1.

For all the historic drilling campaigns, the drilling contractors were from the State of Wyoming.  For the 2008 and 2011 drilling programs by BP LLC, the contractors were companies based in western USA, as follows:
·  
2008 Drilling:
o  
Eagle Drilling, Glendo, WY.
o  
Sharpe Drilling, Cheyenne, WY.
o  
Douglas Exploration, Douglas, WY.
o  
Layne-Christiansen, Aurora, CO.
o  
Diversified Drilling, Missoula, MT.

·  
2011 Drilling:
o  
Eagle Drilling, Glendo, WY.
o  
Fay Drilling, Casper, WY.
o  
Douglas Exploration, Douglas, WY.
o  
Single Water Services, Glenrock, WY.

Table 10-1 shows the significant mineralized intersections in the 2011 drill holes.


TABLE 10-1  SIGNIFICANT INTERCEPTS 2011 DRILLING
Bootheel Project, LLC. – Bootheel Uranium Project, Wyoming
 
Hole ID
UTM Coordinates
Elevation (m)
Length (ft.)
Intersection (ft.)
Interval (ft.)
Grade (%eU3O8)
Host Formation
From
To
36-BH4003
491736 N
579292 E
2,318.8
515
484.0
487.5
5.5
0.025
Sundance
36-BH4010
489939 N
579957 E
2,316.6
625
509.0
511.5
2.5
0.052
Sundance
36-BH4008
489886 N
579608 E
2,325.9
660
539.0
542.0
3.0
0.039
Sundance
36-BH4027
491697 N
582390 E
2,326.9
560
518.5
525.5
7.0
0.027
Sundance
36-BH4020
490992 N
580993 E
2,314.4
570
492.0
505.0
13.0
0.039
Sundance
36-BH4020
490992 N
580993 E
2,314.4
570
508.5
520.5
12.0
0.035
Sundance
36-BH4014A
490387 N
580209 E
2,317.7
600
498.5
503.0
4.5
0.031
Sundance
36-BH4014A
490387 N
580209 E
2,317.7
600
517.5
535.5
18.0
0.028
Sundance


Source: BP LLC, 2011.
All holes are vertical.  Thickness of the intersection approximates true thickness.
 
 
 

The Bootheel Project, LLC.- Bootheel Uranium Project, Wyoming
Technical Report, May 20, 2015
 
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Figure 10-1 Diamond Drill Core From Jurassic Sundance Formation


The Bootheel Project, LLC.- Bootheel Uranium Project, Wyoming
Technical Report, May 20, 2015
 
 
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Figure 10-2 Drill Holes & Mineralization
 
 

The Bootheel Project, LLC.- Bootheel Uranium Project, Wyoming
Technical Report, May 20, 2015
 
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Figure 10-3 2011 Drill Hole Location Map
 
 

The Bootheel Project, LLC.- Bootheel Uranium Project, Wyoming
Technical Report, May 20, 2015
 
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 10.1           Lithologic Logging
 
BP LLC employed four contract geologists to conduct sampling and logging the holes.  A continuous stream of drill chips was sampled at five-foot intervals, as the drill advanced (Figure 10-4).  The procedures of drill hole logging and sampling are developed by Dr. Tom Bell, who was a consultant of JET at the time, and are as follows:

·  
Capturing the stream of chips and drilling fluids from a metal trough between the borehole and mud pit.
·  
Arranging each sample in the order that it was recovered, in a series of lines that enabled the driller and geologist to easily identify the depth location of the sample in the hole.
·  
Taking a sub-sample and washing away the drill mud in preparation for geological analysis.
·  
Washing the sub-sample and examining the chips with a hand lens, and recording the observations on a Trimble Recon directly to a database system, including:
o  
Radiometric response in total gamma (in cps) using a hand-held scintillometer.
o  
Estimating the redox content (100% oxidized to 100% reduced).
o  
Degree of induration (presence and strength of interstitial cement).
o  
Grain size.
o  
Lithology (sedimentary rock type).
o  
Stratigraphic unit.
o  
Pyrite content (estimated volumetric percentage).
o  
Carbonaceous material (estimated volumetric percentage).
o  
Clay content (estimated volumetric percentage).
o  
Carbonate test with hydrochloric acid (HCl; a semi quantitative method recording “no reaction”, “weak reaction”, or “strong reaction”).
o  
Degree of feldspar alteration, such as “feldspar absent”, “fresh feldspar”, or “altered feldspar”
o  
Degree of sorting of sampled material.
o  
Colour of sample, using Munsell rock colour chart and recorded as RGB code.
o  
Additional notes by the geologist.
·  
Collecting approximately 50 g of drill chips and placing it in a plastic bag labeled with the drill hole number and the sampled interval.
·  
Arranging the sample bags in depth order and transferring them in a secure storage area in Laramie, Wyoming.
·  
Marking preliminary borehole locations in the field with standard GPS measurements.
·  
Recording final coordinates of borehole collars by surveying with a Trimble ProXH GPS receiver and post processing the data using Trimble Pathfinder Office software.  This proved an accuracy of less than a foot for the X and Y coordinates, and an accuracy of slightly over a foot in the elevation (Z coordinate) of the collars.  For post processing, BP LLC used the CORS Wheatland, CORS Casper, and UVACO Laramie base stations, each of which lies within 100 miles of the Bootheel site.

BP           LLC has generated a database of boreholes including information on collar coordinates, all borehole activities and tests marked by a timestamp.  Each borehole has a dedicated database spreadsheet containing all observations by the drill site geologist for each interval, also marked by a timestamp (Bell, 2011).

The Authors are of the opinion that procedures for drill chip logging and recording other data by BP LLC are in keeping with industry standards.
 
 
 

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Figure 10-4 Sampling of rotary chips at Bootheel


 

 
 
 10.2           Downhole Surveys
 
BP LLC contracted Mr. Richard Heck, Geophysical Technician, with Century Wireline Services (Century) of Tulsa, Oklahoma, to carry out downhole surveys of all the holes completed during the 2011 drilling program.  This work was done by using an S-300 probe containing gamma scintillometer, and tools for single point resistance, spontaneous potential, and borehole deviation.  Logging speed was approximately 30 ft./sec from the bottom of the hole to the collar.  Century calibrated the gamma scintillometer at the U.S. Department of Energy calibration pits in Casper, Wyoming, in the month of September, immediately prior to arriving at the Bootheel site as well as in late October, immediately after the completion of the program.  The purpose of the calibrations is to establish the tool K-factor and dead time in order to convert the gamma counts to equivalent uranium grade (% eU3O8).  Century reported that:
·  
Instrument drift during the drilling program was negligible.
·  
Corrections for mud weight, borehole diameter, and water factor were made to the raw gamma counts prior to prior to the calculation of % eU3O8, based on the K-factor and dead time of the instrument.

Century submitted the final results of the downhole probe surveys to BP LLC in the form of LAS ver. 2.0 text files and graphic logs showing the downhole record of radiometric response (cps), %eU3O8, single point resistance (ohms), and spontaneous potential (millivolts).  In addition, the borehole deviation is shown as a radial graph (Bell, 2011).

THE AUTHORS UNDERSTAND THAT THE INSTRUMENTATION FOR DOWNHOLE LOGGING IS IN KEEPING WITH INDUSTRY STANDARDS.

An example of downhole survey results by Century for hole 36-BH4020 is shown in Figure 10-5.

 
 
 
 
 
 
 


The Bootheel Project, LLC.- Bootheel Uranium Project, Wyoming
Technical Report, May 20, 2015
 
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Figure 10-5 Downhole Survey Results, Hole 36-BH4020
 
 

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Technical Report, May 20, 2015
 
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11           Sample Preparation, Analysis, and Security
 
 
 11.1           Sampling
 
 
 11.1.1                      Past Work
 
During the past exploration programs drill holes were logged by Kerr McGee, Cherokee, and PRI geologists.  Lithologic and other logs, however, are not available at the present time.  The Authors are of the opinion that sampling methods used by past operators were reliable and in accordance with industry standards of the time since the work was done by major companies involved with uranium exploration.
 
 11.1.2                      Recent work
 
Since acquiring the Bootheel Project in 2008, BP LLC has been carrying out a systematic program of drilling and utilizes a rigorous program of logging and sampling, as described below.

Downhole gamma logging provides equivalent uranium values, usually referred to as equivalent U3O8 (eU3O8).  Geophysical logging is considered standard industry practice and the geophysical probes are calibrated using test pits established by the U.S. Department of Energy (DOE) in Casper, Wyoming, as discussed in Item 10, Drilling.
 
 11.2           Sample Preparation
 
 
 11.2.1                      Past Work
 
Information on sample preparation, analysis and security of assay data on exploration by Kerr McGee, Cherokee, and PRI is no longer available.  The Authors are of the opinion, however, that the procedures of sample collection, analysis and security of exploration data from drilling on the Bootheel Project by past operators were reliable, and in accordance with industry standards of the time, since the work was done by major companies involved with uranium exploration.

During the 1978-1979 exploration program Groth sent a suite of samples on behalf of Uradco to Hazen Research Inc. (Hazen) for uranium analyses by the fluorimetric method as well as to the Chemical & Geological Laboratory of Casper, Wyoming.  Methodology used at the latter laboratory, however, is unknown.

Security of samples during the historical programs is assumed to be consistent with standard industry practice at the time (Crosshair, 2009).
 
 11.2.2                      2008 Drilling Program
 
Procedures for sample collection, analysis and security of samples during the 2008 drilling program were as follows:

·  
Lithologic logging of diamond drill core in the field.
·  
Transporting the logged drill core during the same day to a locked storage area in Laramie where it was sampled with each individual sample stored in a sealed plastic bag.
·  
Transporting the samples by truck to Hazen in Denver, CO for crushing and metallurgical test work.  The laboratory is certified by various State agencies and the United States Environmental Protection Agency (USEPA) and has been carrying out analyses and metallurgical research for over 40 years.
·  
At Hazen, the core was crushed to one inch and composited with ¼ of the sample crushed to -10 mesh. Samples were pulverized and analyzed using X-Ray Fluorescence
 
 

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(XRF) methods.  Pulps were also sent to ALS Chemex Laboratories (Chemex) in Elko, NV, for Inductively Coupled Plasma (ICP) analysis to compare with the other results as part of a QA/QC program.  One half of the core was retained at Hazen.
·  
Downhole logging of the holes: The geophysical probing was carried out by Century Wireline Services (Century), an independent contractor, of Tulsa, Oklahoma.  The probes included gamma log, resistivity, self-potential, and hole deviation.  Geophysical logging is considered standard industry practice and the geophysical probes are calibrated before and after the program using test pits established by the US Department of Energy (DOE) in Casper, Wyoming.  JET was provided with the calibration data and confirmed that no significant change had occurred during the program.

 11.2.3                      2011 Drilling Program
 
Discussion on sample preparation during the 2011 drilling program is provided as part of lithologic logging in Item 10, Drilling.
 
 
 

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12           Data Verification
 
 
 12.1           Past Work
 
Information on data verification of exploration data by Kerr McGee, Cherokee, and PRI is no longer available. The Authors are of the opinion that exploration data from drilling on the Bootheel Project by past operators were reliable, and in accordance with industry standards of the time, since the work was done by major companies involved with uranium exploration.
 
 12.2           Radioactive Equilibrium
 
Heavy, long-lived radioactive elements, such as U238 decay naturally, producing a series of daughter products, and end up as a stable element, such as lead (Pb206).  Since the members of the decay series are different chemical elements, they may be selectively separated from the original element (parent isotope) by geochemical processes.  Radioactive equilibrium is attained when all the daughter products disintegrate at the same rate as they are produced by the parent isotopes and all nuclides remain together.  In nature, however, this almost never occurs, as explained below.

Since long-lived nuclides disintegrate at a slower rate than short-lived ones, it is necessary to have more of the slower disintegrating daughters in order to have equilibrium.  An ideal state of equilibrium, however, is never attained because the parent isotopes are subject to decay without replacement.  But if the decay constant of the parent is small (the half-life is large) a state of relative or “secular” equilibrium may be attained.  Since most detection methods do not measure the parent material, the amount (or quantity) of the parent material is inferred by measuring the radiation from the daughter products.  It is important to determine the state of “secular” equilibrium when one estimates the amount of uranium from gamma ray logs.  The main sources of the gamma energy from the U238 decay series are the daughter products Pb214 and Bi214.

Radioactive disequilibrium happens if one or more of the daughter products, or the parent isotope, is completely or partially absent.  The various disequilibrium states may be caused by the following:

·  
Radon; the gaseous member of the uranium series, is easily separated from the rest of the elements in the decay series.  Since some of the elements which emit radioactivity are produced after the occurrence of radon, a disequilibrium results which will negatively bias the inferred quantity of the parent U238.
·  
Recent deposition of parent material either by initial deposition or by remobilization, i.e. little or no daughter products.  This will also cause an underestimation of the quantity of the parent material.
·  
Estimation of parent material based on measurements on remobilized daughter products, with little or no parent material present.  This will result in an overestimation of the parent material.

It is important to note that sometimes disequilibrium may be masked by higher emissions of gamma rays from the daughter products of the Thorium series, especially Th208 (Plouffe et al., 1983)

When there is disequilibrium in the uranium series, and when the absent nuclides are short-lived, approximately 350,000 years are required for the uranium series to regain equilibrium.  Normally, if the series is disturbed at the beginning of the chain, then it can take up to 2.5 million years to regain equilibrium.  To calculate the time required to regain equilibrium, one considers the longest half-life of the daughters which have been mobilized and multiply it by 10.  For example, if radon
 
 
 

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is lost, the time to regain equilibrium is 3.8 days x 10 or approximately one month.  For the long lived U234, with a half-life of 2.5 x 105, the time to regain equilibrium is 2.5 x 105 x 10, or 2.5 million years Schmelling 2007).
 
 12.3           Recent work
 
The Authors note that data used in the verification process discussed below includes information from adjoining ground which is no longer part of the Project (sections 1, 7 of the original property).  However, since the drilling on the current property amounts to only 88 holes, the Authors are of the opinion that it is statistically more accurate to use the entire data package for comparison and for the verification process.
 
 12.3.1                      Sundance Formation
 
As part of its verification of recent exploration data on the Bootheel Project in 2008, JET, on behalf of BP LLC, designed a program of verifying historical data.  This included drilling 12 RC holes in sections 1, 6, 7, and 36, with the objective of testing areas of mineralization within the Sundance Formation.  The 12 holes were surveyed with downhole probe recording geophysical (gamma log as well as electrical data) by an independent contractor.  In addition, JET cored the mineralized intervals of these holes to obtain reliable samples for the determination of uranium at two laboratories; chemical assays at ALS Chemex Laboratories (Chemex) by the ICP method, and by X-Ray Diffraction (XRF) method at the Hazen Research laboratories.  Results of this program indicate that:

·  
The eU3O8 values calculated from the downhole probe responses compare well with chemical assays as well as values determined by the two methods, with some variations in the eU3O8 grade values, as shown in Table 12-1 and Figure 12-1.
·  
The 24 XRF analyses by Hazen are on average 15% higher than both the Chemex assays and the eU3O8 grades determined from gamma logs.  The reason for this discrepancy may be that the XRF method is a semi-quantitative method of analysis and not as accurate as ICP at low concentrations of uranium (Crosshair, 2009).

JET also carried out a limited statistical analysis on the 36 samples from the Sundance Formation comparing chemical assays by Chemex with the geophysical downhole probe results, and notes that the average values are similar; 0.044% U3O8 for chemical assays and 0.048% eU3O8 for geophysical probe results.  The relative difference of -8.6% is not considered significant (Crosshair, 2009).

In addition to the 36 samples from the 2008 drilling program, there are comparable data on 520 samples from the historical drilling, comparing chemical analysis with the eU3O8 grades determined from gamma logs for mineralized intervals in both the Sundance Formation and the Wind River Formation (Crosshair, 2009, BH file 195, 255).  These data include 348 samples from five holes that penetrated the Sundance Formation, and show an average value of 0.043% U3O8 for chemical assays versus an average value of 0.034% eU3O8 determined from the downhole probe results, a relative difference of +22% (Figure 12-2).
 
 
 

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Table 12-1  Downhole Radiometric Probe vs. Chemical Assays, 2008 Program
Bootheel Project, LLC. – Bootheel Uranium Project, Wyoming
 
JET 2008 DDH
Intersection (ft.)
Interval (ft.)
% U3O8 (Chemex ICP)
% eU3O8 (probe)
% U3O8 (Hazen XRF)
From
To
36-BH3000
538.0
544.0
6.0
0.025
0.021
0.027
 
544.0
550.0
6.0
0.051
0.023
0.059
36-BH3001
416.5
421.5
5.0
0.044
0.042
0.052
 
421.5
426.5
5.0
0.018
0.029
0.019
36-BH3007
240.5
245.5
5.0
0.007
0.027
0.007
 
245.5
250.5
5.0
0.039
0.046
0.047
 
250.5
255.5
5.0
0.045
0.031
0.050
 
255.5
260.5
5.0
0.045
0.056
0.054
 
260.5
265.5
5.0
0.021
0.036
0.024
06-BH3008
246.5
251.5
5.0
0.025
0.028
0.030
 
251.5
256.5
5.0
0.052
0.034
0.061
 
256.5
261.5
5.0
0.048
0.049
0.059
 
261.5
266.5
5.0
0.118
0.087
0.130
 
266.5
271.5
5.0
0.091
0.080
0.114
 
271.5
276.5
5.0
0.099
0.123
0.119
 
276.5
281.5
5.0
0.033
0.041
0.040
 
281.5
286.5
5.0
0.039
0.032
0.046
 
286.5
291.5
5.0
0.073
0.045
0.081
 
291.5
294.5
3.0
0.024
0.047
0.025
06-BH3009
290.0
295.0
5.0
0.033
0.044
0.040
 
318.5
323.5
5.0
0.075
0.062
0.090
 
323.5
328.5
5.0
0.058
0.070
0.071
 
328.5
333.5
5.0
0.050
0.060
0.063
 
333.5
338.5
5.0
0.010
0.037
0.012
Subtotal Average
     
0.047
0.048
0.055
07-BH3010
249.0
254.0
5.0
0.054
0.072
 
 
254.0
259.0
5.0
0.071
0.056
 
 
259.0
264.0
5.0
0.046
0.070
 
07-BH3011
340.0
344.0
4.0
0.015
0.034
 
 
344.0
.48.5
4.5
0.002
0.027
 
 
352.0
356.0
4.0
0.046
0.039
 
 
356.0
360.0
4.0
0.074
0.065
 
 
360.0
364.0
4.0
0.065
0.072
 
 
364.0
368.5
4.5
0.023
0.052
 
01-BH3003
422.5
426.5
4.0
0.026
0.029
0.026
 
426.5
430.5
4.0
0.012
0.017
0.021
01-BH3005
466.0
471.0
5.0
0.017
0.031
 
Total Average
     
0.044
0.048
 

Source: Crosshair, 2009.
Intervals approximate true thickness.
 

 
 
 

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Figure 12-1 Crosshair 2008 Chemical Assays vs. Gamma Log Probe Values
 
 


 
Source: Crosshair, 2009.
 
 


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Figure 12-2 Historical Chemical Assays vs. Gamma Log Probe Values
 


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 12.3.2                      Wind River Formation
 
JET also collected samples of drill core from holes along sections 1, 6, 31, 32, and 12.  Sections 1 and 31 are no longer part of the Bootheel property.  In total, 172 samples collected from five holes penetrating the Wind River Formation indicate an average of 0.026% U3O8 in chemical assays versus an average value of 0.021% eU3O8 from downhole probe results, a difference of +21.9% (Figure 12-3).

JET notes that there is a minor difference between the 2008 data and the historical data.  In general, the uranium grades calculated from downhole probe results are higher than the chemical assays at lower concentrations of uranium (less than 0.02% U3O8 to 0.03% U3O8), with greater difference in low grade material.  The difference is approximately the same for grades in the range from 0.03% U3O8 and 0.05% U3O8, whereas the difference is smaller for grades in the order of 0.05% U3O8 or at higher concentrations of uranium.  In general, the lower grades occur in the tails of the roll front deposit, whereas the high grades occur within the nose of the roll front.  Additional samples are required to further examine the variance in the chemical/probe results between the historical and recent data (Crosshair, 2009).

JET also notes that “this disequilibrium effect is not unexpected since sandstone uranium deposits are contained within actively flowing groundwater systems.  The gamma probe indirectly measures the uranium content by measuring the gamma radiation of its daughter product, i.e., Bi214.  This element may be displaced from the original uranium or not yet completely formed in equilibrium.  This causes disequilibrium between uranium content as measured by the probe and as measured by chemical assay.  Negative disequilibrium results if the uranium has been preferentially leached from the sandstone and positive disequilibrium results if the uranium is less than a million years old and the chemical grade is greater than the gamma equivalent grade.  Based on the historical comparisons which indicate positive equilibrium, the grade as measured by the eU3O8 on the Bootheel project may be considered conservative.  Scott Wilson RPA is of the opinion that the eU3O8 values are appropriate for use in the resource estimate” (Crosshair, 2009).
 
 12.3.3                      Verification of Historical Data
 
Prior to commencing the exploration programs, JET carried out compilation of historical data from several sources.  This included data on historical holes from computer printouts, which were used by NAC in its 1982 resource estimate.  JET had the old hard copy data converted into the digital format by a data entry contractor in Denver, CO.  Data also received from Cameco, both in digital and analog form, were added to the database.  Original gamma logs are available for most of the holes and they were compared to the data entry sheets.  Data verification by JET included the following:

·  
Computer files of historic data were checked for record duplication and data discrepancies prior to importing into Access format.  A significant number of duplicates in data entry were removed, while the negligible number of data discrepancies (typographical errors) had obvious resolutions.
·  
All potentially resource-grade intercepts reported in all available grade data sources were compared against each other.  The only significant issue was the omission from secondary grade sources of many e-log gamma spikes.  For all such occurrences, JET measured grades and intervals from the detailed e-logs, adding them to the database.
·  
Spikes in gamma-ray responses from 20 historic e-logs were recalculated by JET for comparison against historic reported grades.  No significant differences were noted.
·  
The majority of the depths of the historical formation contacts were compared against the available e-logs.  Due to interpretative inconsistencies by different historical operators, all formational contacts were verified using new interpretations on the e-logs to conform to a
 
 
 
 

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consistent formation profile definitions. JET also compiled additional e-log formation contact data.
·  
Historic data on lithologic units and intensity of oxidation could not be checked due to the non-preservation of original drill cuttings, and were accepted as presented.
·  
Approximately 25% of JET’s manual data entry records were randomly cross-checked, showing very high levels of data entry accuracy (well above 99% accuracy).
·  
Preparing a set of cross sections covering the entire resource area allowed for easy identification of any remaining data entry errors (elevation, formation picks).
·  
Removing approximately 100 drill holes (the 800 series) from the database as no drill hole data (other than collar coordinates) or surface evidence was found.
·  
Checking all drill hole collar elevations on a topographic contour map (1:24,000, with 10 ft. contour interval) and correcting them where required.
 
 12.3.4                      Independent Sampling
 
During a site visit in July 2008, Scott Wilson RPA collected three samples of split core from a diamond drill hole for analyses at Energy Laboratories Inc. (Energy Labs) in Casper, WY, and The Mineral Lab Inc. (Mineral Lab) in Denver, CO, and compared them against values obtained from ALS Chemex Laboratories (Chemex) and uranium grades calculated from downhole gamma log probe results.  The Mineral Lab carried out the analyses for 31 elements and oxides using XRF method, whereas Energy Labs and Chemex used the ICP method for determining the uranium content.  In general, the gamma log eU3O8 assays calculated from downhole probe data are higher for results with values less than 0.070 %U3O8 and lower for results greater than 0.070 %U3O8.  The drill hole sampled in 2008 is no longer on the Bootheel Project.

The Authors of this Technical Report did not take independent samples as previous work has well documented the presence of uranium mineralization on the Bootheel property. The Authors also note that BP LLC has generated a database of boreholes including information on collar coordinates, all borehole activities and tests marked by a timestamp.  Each borehole has a dedicated database spreadsheet containing all observations by the drill site geologist for each interval, also marked by a timestamp.

The Authors are of the opinion that the Bootheel check assay results are reliable and confirm the regular eU3O8 results calculated from the downhole probe surveys.  The authors believe that the sample preparation, security procedures and sample analysis are consistent with current industry standards and the data are suitable for use in a resource estimate.
 
 
 

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13           Mineral Processing and Metallurgical Testing
 
 
13.1           Past Work
 
In 1979, Hazen carried out metallurgical testwork on two composite samples on behalf of Uradco.  Two composites of the Sundance Formation assayed 0.069 %U3O8 and 0.049 %U3O8.  Eight agitated leach tests were completed; four using sulphuric acid as lixiviant (98% recovery after five days), two using sodium bicarbonate, and two using ammonium bicarbonate (96.4% recovery after five days).

The early work included two column tests using the same lixiviants.  The acid leach indicated 97.5% recovery after 25 pore volumes while the sodium bicarbonate leach indicated 87.6% recovery.  In the industry, some companies use this term (pore volume) as the product of the percentage of porosity and the volume of the column of rock.

In 1994, Cameco carried out an agitated leach test using a bicarbonate lixiviant which indicated 107.8% recovery from a sample grading of 0.052 %U3O8.  A column test using the same lixiviant indicated 85.6% extraction in 10 pore volumes and a total recovery of 98.4% after 49.1 pore volumes (Crosshair, 2009).  A pore volume is defined as % porosity multiplied by the column volume.
 
 13.2           JET Work
 
In 2008, JET carried out three bottle roll leach tests at Hazen using sodium bicarbonate as a lixiviant.  The results are reported as follows:

·  
The first two tests showed initial recoveries of uranium in the order of 70% to 80% within a day, but then the recoveries regressed to 30% to 40% after seven days.  A mineralogical study indicated that uranium may have precipitated as calcium uranium oxide or silicate as a result of exchange of calcium with sodium in uranium bearing solutions and clay.
·  
Leach tests on a third sample under similar conditions as the initial two samples, and for a period of seven days, indicated a similar extraction of 30% to 40% of the contained uranium.  JET interpreted this level of extraction to be due to a greater wash volume applied to the tails.
·  
Follow up leach tests on the tails for an additional 24 hours with fresh lixiviant resulted in a total extraction of 80% of the contained uranium.
·  
The initial two samples were then tested with new material but half of the lixiviant was filtered and replenished every 24 hours for five days.  Both samples indicated uranium extractions of greater than 90% after five days based on the calculated head grade.

JET noted that under typical ISR conditions, the pregnant fluid would be stripped of uranium prior to being re-injected.  JET also noted that the “oxygen levels within the bottles during the tests was measured as 20 ppm to 30 ppm with residual dissolved oxygen measurements barely above ambient conditions of 7 ppm to 8 ppm, whereas targeting a level of 300 ppm is considered more realistic in a leach simulation.  There appears to be room for improvement in the testing procedures and the results may be improved upon” (Crosshair, 2009).
 
 


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14           Mineral Resources
 
The Mineral Resources of the Bootheel Project are summarized in Table 14-1.  JET has estimated these resources using the contour method or the polygonal method.  Wallis has accepted these resources by reviewing the drill hole density, geological information, and the parameters and methodology of the JET estimate, and considers them to be in accordance with CIM Standards.

TABLE 14-1  MINERAL RESOURCES OF THE BOOTHEEL PROJECT AS OF JULY 8, 2013
Bootheel Project, LLC. – Bootheel Uranium Project, Wyoming
 
Resource Category
Formation
Short Tons
Grade (%eU3O8)
Contained Pounds U3O8
Indicated
Sundance
1,570,000
0.036
1,120,000
Inferred
Sundance
1,007,00
0.031
624,000
Inferred
Wind River
308,000
0.070
426,000
Inferred
Total Inferred
1,315,000
0.040
1,050,000

Notes:
1.  
CIM definitions were followed for Mineral Resources.
2.  
Mineral Resources of the Sundance Formation are estimated at a cut-off grade of 0.015% eU3O8 over a minimum thickness of 4 ft., and a minimum grade x thickness (GT) product of 0.15 ft.-%.
3.  
Mineral Resources of the Wind River Formation are estimated at cut-off grade of 0.02% eU3O8 over a minimum thickness of 4 ft., and a minimum grade x thickness (GT) product of 0.15 ft.-%.
4.  
Mineral Resources are estimated using an average long-term uranium price of US$70 per pound U3O8.
5.  
A tonnage factor of 16 ft3/ton was used for the Sundance Formation, and 15 ft3/ton was used for the Wind River Formation.
6.  
High grades have not been cut for the Mineral Resource estimate.
7.  
Tonnage, average grades and contained uranium numbers are rounded.
 
 14.1           Database
 
The database used for the Mineral Resource estimate of the Bootheel Project comprises results from 781 rotary holes, of which 291 holes penetrated mineralized layers of the Tertiary Wind River Formation and 195 holes penetrated mineralized layers of the Jurassic Sundance Formation.  The mineral resource estimate is based on a model using exclusively drill hole assay data, i.e., eU3O8 values calculated from downhole radiometric probe data.  The method is standard and certified for uranium fields of the region.  The estimate was carried out by JET.

The Bootheel deposit has been modelled by taking into consideration similar structural and tectonic characteristics, lithological and facies types and hydrogeological and geotechnical features.  The resource has been estimated considering the following criteria:

·  
Uniform structural and morphological features.
·  
Delineation of areas of mineralization into horizons and parts of the roll front.
·  
Proximity of lithological filtration properties of mineralized rocks included in the block.

Modelling of the deposit is influenced by the drill hole density.  In general, one quarter of the drill hole distance is used to extrapolate at the flanks of the mineralized bodies and one half of the drill hole distance is used to differentiate between mineralized and unmineralized drill holes in the interpretative process.  Drill hole intervals identified for the resource estimate are, as follows:

 

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·  
Sundance Formation: 212 intervals in 172 holes with intervals greater than 0.015% eU3O8 values.
·  
Wind River Formation: 76 intervals in 61 holes with greater than 0.020% eU3O8 values.
 
 14.2           Geological Interpretation
 
Uranium mineralization at Bootheel occurs as distinct mineralized layers within Jurassic and Tertiary sandstones, ranging from less than a metre to more than 6 m in thickness, which in places, in aggregate, such as close to or within the nose of a roll front, form thicker zones of mineralization.  These northwest trending sinuous subhorizontal layers exhibit varied intensity of oxidation.  Moderate hematitic alteration imparts a distinctive light grey colouration to the reduced side of the host sandstones, and orange to yellow colouration to the host rocks on the oxidized side of the roll front.  In general, the orientation of the mineralized layers is subhorizontal and conformable to the host lithology.  The general outlines of the mineralized zones within the Jurassic Sundance Formation and the Tertiary Wind River Formation are shown in Figures 14-1 and 14-2.

JET outlined the mineralized layers based on lithology, and assay levels, with a threshold of approximately 0.015% eU3O8 for the Sundance Formation and approximately 0.020% eU3O8 for the Wind River Formation over and a minimum mineralized thickness of 4 ft.  Drill hole geological data were plotted on cross sections at intervals of 100 ft. and 200 ft. and oriented orthogonal to the average strike of the uranium layers.  Lithologic units and mineralized intersections were correlated along a continuous mineralized zone.
 
 14.2.1                      Compositing and Statistics
 
JET compiled the 0.5 ft. radiometric assays (eU3O8 values) into composites for each drill hole and plotted on cross sections along with stratigraphic unit designations, percent oxidation, and the 0.5 ft. assays.  A representative set of cross sections and plans are shown in Figures 14-3 to 14-11.
 
 
 14.2.2                      Cutting of High Values
 
Since there are very few high values in the assay database, JET did not consider it necessary to cut any values.
 
 

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Figure 14-1 Jurassic Sundance Resource
 
 

 
 
 


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Figure 14-2 Tertiary Wind River Resource
 
 
 

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Figure 14-3 Bootheel Uranium Project, Cross Section A-A’
 
 
 
 
 
 
 

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Figure 14-4 Bootheel Uranium Project, Cross Section B-B'
 
 
 
 
 

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Figure 14-5 Bootheel Uranium Project, Cross Section C-C'
 
 
 
 
 

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Figure 14-6 Bootheel Uranium Project, Cross Section D-D’
 
 
 
 
 
 

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Figure 14-7 Bootheel Uranium Project Section E-E’
 
 
 
 

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 14.3           Cut-off Grade
 
JET has considered separate cut-off grades for the Sundance Formation and Wind River Formation.  For both cases, however, the cut-off grade is based on an estimated production cost of US$20 per pound of U3O8 and a long term uranium price of US$70 per pound of U3O8.  Although the current spot price of uranium is in the order of US$39 and the current long term price of uranium is US$49, analysts have been forecasting a US$70 long term price by 2018.

For the Sundance Formation, a cut-off grade of 0.015% eU3O8 over a minimum thickness of 4 ft. and a minimum grade x thickness (GT) value of 0.15 ft.-% was used to estimate the tonnes and average grade of the deposit.

For the Wind River Formation, a cut-off grade of 0.020% eU3O8 over a minimum thickness of 4 ft. and a minimum grade x thickness (GT) value of 0.15 ft.-% were used to estimate the tonnes and average grade of the deposit.  This higher cut-off grade was used to allow for the possibility of lower recoveries and additional cost of increased drill hole density required for potential development of ISR well fields.
 
 14.4           Density Measurements
 
JET has not carried out density measurements on material recovered during the 2008 or 2011 drilling.  Based on historical data, an average tonnage factor of 16 ft3/ton for the Sundance Formation, and a tonnage factor of 15 ft3/ton for the Wind River Formation were used.
 
 14.5           Methodology of Resource Estimation
 
JET used two methods to estimate the Mineral Resources of the Bootheel deposit; the contour method for the Sundance Formation and the polygonal method for the Wind River Formation.
 
 14.5.1                      Sundance Formation
 
JET estimated the Mineral Resources within the Sundance Formation deposit using the Contour Method, which is well suited for estimating tonnage and average grade of mineralized bodies with planar geometry, where two dimensions of the mineralized body are much greater than the third dimension (Agnerian and Roscoe, 2001).  For each of the mineralized zones and subzones, drill hole intercept composite values of grade, thickness, and GT were plotted on plans and contoured.  For GT values geometric (logarithmic) contour intervals were used, because of the positively skewed statistical distribution of these values.  The thickness values were contoured in a linear progression.  Contouring was done with computer software, but subsequently modified by hand to correspond better with the geological interpretation, trends, and the geometry of the roll front noses and limbs.  To obtain the volume of the mineralized zone, areas between each contour were multiplied by the average T value for each contour interval and summed.  Tonnage was estimated by applying the tonnage factor of 16 ft3/ton to the total volume.  Average grade was estimated by dividing the total tonnage x grade (ΣG x tons) by the tonnage.

JET notes that in most drill holes, there was only one composite for each of the mineralized zones.  In rare cases where there was more than one composite, they were added together for contouring purposes.

JET established the 0.015% eU3O8 grade contour as an outer boundary for mineralization to be considered as resource.  JET then contoured the GT and T values within this boundary, and prepared separate contour plans for roll front noses and limbs. Only the GT and T areas within the 0.015% eU3O8 grade boundary were used to estimate tonnage and average grade.  Isolated areas over 0.015% eU3O8 defined by a single hole were removed (Figures 14-8 to 14-11)
 
 
 

The Bootheel Project, LLC.- Bootheel Uranium Project, Wyoming
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Figure 14-8 Bootheel Uranium Project Body 36, Zone D Thickness Contour Map
 
 


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Figure 14-9 Bootheel Uranium Project, Body 36, Zone D, GT Contours
 
 

The Bootheel Project, LLC.- Bootheel Uranium Project, Wyoming
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Figure 14-10 Body 6 Thickness Contours
 
 

The Bootheel Project, LLC.- Bootheel Uranium Project, Wyoming
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Figure 14-11 Body 6 GT Contours
 
 
 

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 14.5.2                      Wind River Formation
 
JET estimated the Mineral Resources within the Wind River Formation using the polygonal block method.  Drill holes with composites higher than the cut-off grade of 0.02% eU3O8 over a minimum thickness of 4 ft. and minimum GT value of 0.15 ft.-% eU3O8 were designated on horizontal plans.  Polygons were drawn around these drill holes with a maximum extent of 200 ft. from a drill hole.  The distribution of the drill holes shows that, in general, these polygons are clustered and outline several mineralized areas (Figure 14-2).

Areas of the polygons were measured using MapInfo GIS software and multiplied by the composite thickness to obtain the volume for each polygon.  Tonnage was estimated by applying the tonnage factor of 15 ft3/ton to the total volume.  Average grade was estimated by dividing the total tonnage x grade (ΣG x tons) by the tonnage.

Wallis inspected some of the drill hole files and found them to be in keeping with industry standards.  With few exceptions, the data are free of any entry errors.  Wallis interprets that the mineralized intersections of the selected area for this audit define a continuous zones of mineralization.
 
 14.6           Classification of Mineral Resources
 
JET has classified the Mineral Resources of the Bootheel uranium deposit as described below and shown in Table 14-1.  The bulk of the resources are contained within the Sundance Formation.
 
 14.6.1                      Indicated Mineral Resources
 
Indicated Mineral Resources include all mineralized areas within the Sundance Formation that are defined by drill holes 50 m. apart or less, along drill sections spaced 50 m to 100 m.  Indicated Mineral Resources total approximately 1.57 million tons at an average grade of 0.036% U3O8, containing approximately 1.12 million lbs U3O8.
 
 14.6.2                      Inferred Mineral Resources
 
Inferred Mineral Resources include all mineralized areas that are defined by drill holes spaced 100 m or farther apart or isolated areas.  JET estimates the Inferred Mineral Resources of approximately 1.32 million tons at an average grade of 0.040% U3O8.  These include Inferred Mineral Resources of the Sundance Formation to be in the order of 1.0 million tons at an average grade of 0.031% U3O8, containing approximately 624,000 lbs U3O8, and Inferred Mineral Resources of the Wind River Formation of approximately 308,000 tons at an average grade of 0.070% U3O8, containing approximately 1.05 million lbs U3O8.



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15           Environmental Studies, Permitting and Social Impact
 
Discussion in this Item is mainly taken from Crosshair, 2009.
 
 15.1           Health and Safety
 
The Authors understand that all staff and contractors wore dosimeters at all times while on the project.  There was no significant exposure to radioactivity detected by the dosimeters.
 
 15.2           Environmental Considerations
 
In 2008, BP LLC contracted AATA International Inc., which initiated a surface and groundwater sampling program.  Two small reservoirs and two wells were sampled in June, 2008 and July 2011 (Figure 20-1).  Water quality at each site has remained relatively stable over the duration of the program with minor seasonal variation due to changes in evaporation rate, precipitation, and temperature.  Surface water samples show the highest degree of variation (Crosshair, 2011).  The following is information obtained from JET.

“Storm water samplers were installed during the winter of 2011 in ephemeral stream courses receiving surge run-off water entering and leaving the BP LLC Project.  Samples taken in May of 2011 were of insufficient quantity to analyze for radionuclides.  A sample taken in July of 2011 was found to have radionuclide concentrations below the maximum contaminant level ((MCL) 15.0 µCi/L)).

Both sampled wells are 120 ft. deep, drawing from the Wind River Formation, host to the upper most unconfined aquifer in the area.  Well SSW is used as a stock well.  Well CW1 is normally used as a stock well except when the drilling camp is occupied.  The reservoirs are used for watering livestock.  The reservoirs are fed by snow melt, surface runoff, and seasonal groundwater discharge.

The 2008 and 2011 ground water results were very similar and exhibited similar trends (e.g., CW1, generally, had lower ionic concentrations than SSW in both 2008 and 2011).  Furthermore, observed exceedance of water quality standards were consistent for both samples between the two sampling events with the exception of the Gross Alpha Standard (15 pCi/L), which was exceeded in the 2011 sample (17.4 pCi/L) but not in the 2008 sample (14.9 pCi/L).

Surface water results were less consistent than ground water results between the two sampling events; however, in general the same trends were exhibited between the two samples (e.g. SP32, generally, had higher ionic concentrations than SP1 in both 2008 and 2011). All water quality standard exceedances were consistent in 2008 and 2011 in the SP1 samples. Differences in water quality standard exceedances between the two sampling events were observed in pH, turbidity, aluminum, iron, and gross alpha in samples from SP32. The pH measured during the 2011 sampling in SP32 (10.62-10.7) was substantially higher than that measured in 2008 (8.25-8.29), and outside of the 6.5-8.5 range prescribed for livestock use. Turbidity was approximately 30 times lower in the 2011 sampling (2-2.8 mg/L) than in the 2008 sample (68.1-76.5 mg/L). Dissolved aluminum and iron concentrations were both approximately 10 times lower in the 2011 sampling (both below the detection limits) than in the 2008 sample (0.9 and 0.94 mg/L, respectively); the 2008 sample exceeded WDEQ water quality standards. The concentration of gross alpha in SP32 observed in 2011 (12.8 pCi/L) was close to, but did not exceed the water quality standard of 15 pCi/L and was less than half of that observed in 2008 (30.8 pCi/L).
 
 
 

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Monitoring wells were installed in Section 36 and Section 7 in November of 2011.  Water quality samples were taken from the basal Canyon Springs aquifer and analysed as required for surface discharge of two aquifer tests.  Both wells exceeded the EPA MCL for drinking water.  Gross alpha (TW-36-01 – 193 pCi/L and TW-07-01 – 92.5 pCi/L), gross beta (TW-36-01 – 57.2 pCi/L and TW-07-01 – 29.9 pCi/L), total radium (TW-36-01 – 35.5 pCi/L), and uranium (TW-36-01 – 75.9 µg/L and TW-07-01 – 43.4 µg/L), exceed the MCL for radionuclides (Crosshair, 2011).

There were no excessive delays in obtaining the drilling permits from the WDEQ and the BLM.  No archaeological surveys were required although a Level III will be required for the mine permitting process.  There is no direct evidence of any Threatened or Endangered Species on the property. The BP LLC raptor and sage grouse surveys have not identified the potential for project interruptions from nesting raptors.  The regulatory environment surrounding sage grouse remain a project concern though the no work interruptions have been experienced to date.

All the drill holes were reclaimed according to DEC regulations in the same year they were drilled.  Reseeding took place in the fall of 2011 and again in 2013.  The monitor wells were reclaimed in 2013.
 
 
 
 

The Bootheel Project, LLC.- Bootheel Uranium Project, Wyoming
Technical Report, May 20, 2015
 
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Figure 15-1  Water Sample Locations
 


The Bootheel Project, LLC.- Bootheel Uranium Project, Wyoming
Technical Report, May 20, 2015
 
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By executive order of the Governor of Wyoming, an analysis of the impact of all development activities on sage grouse habitat must be performed in core habitat areas.  The latest boundaries for sage grouse core areas released by the State in 2011 include the BH LLC.  All project activities must be reviewed by the Wyoming Game and Fish Department (WG&FD) for compliance with the Governor’s Executive Order (EO 2011-5).  In 2011 a Density and Disturbance Calculation Tool (DDCT) prepared by the BH LLC was reviewed by WG&FD and the project activities planned for the 2011 field season were found to be in compliance.  The DDCT must be updated annually and submitted for review prior to any new field activities.  Drilling, aquifer testing, and other mechanized activities are currently prohibited from March 15 until July 1 by the State.  The BLM has extended the dates to July 15.

The DDCT identifies existing and historic human disturbance in an area of project impact that greatly exceeds the actual project boundaries.  The impact area of the BH LLC is approximately 100 sq. mi.  New development that causes historic plus proposed disturbance to exceed 5% of this area is prohibited.  The DDCT identified approximately 2.6% of the project area of impact was disturbed.  The remaining unused disturbance permitted is at least 2.4 sq. mi., more than enough to accommodate projected mine infrastructure.

Sage grouse breeding grounds (leks) consist of areas of open prairie approximately an acre in size.  The most restrictive regulations of human disturbance currently apply to a zone 0.6 miles in diameter around leks.  Three leks have been identified in proximity to known mineralization and potentially impact approximately 50% of the estimated resource area (Figure 20-2).  The BP LLC has been monitoring breeding activity on these sites each spring since 2009.  Breeding sage grouse have only been observed on one of the leks.  One of the unoccupied leks was identified in 2000 by WG&F and monitored by the state for two years.  No sage grouse were found on the lek between 2000 and 2001.  The BP LLC has not observed sage grouse on this lek in annual surveys from 2009 to 2011.  A lek may be considered abandoned if no breeding birds are observed on it for ten years.  The BP LLC will petition the state to declare this lek abandoned.  A second lek approximately 500 yards from the active lek was identified by the State.  The BP LLC believes this lek is mislocated in the State’s database and the occupied lek is the actual site of the lek.  The BP LLC will petition the state to merge this lek with the occupied lek.  If these two petitions are successful, the area of mineralization within 0.6 mi. of a lek will be reduced to 12%

Regulations promulgated by the state Sage-Grouse Implementation Team (SGIT) are a work in progress.  In that approximately 40% of the surface area of the State of Wyoming lies within a sage grouse core area, exemptions from the full impact of the current regulations are possible on a case by case basis (http://www.bwenergylaw.com/News/documents/AttachmentB_000.pdf).  The BP LLC is working closely with the State to explore the potential for habitat enhancement and restoration projects to offset any long term disturbance to the local sage grouse population and a local relaxation of the prohibition of disturbance during the breeding season.
 
 
 
 

The Bootheel Project, LLC.- Bootheel Uranium Project, Wyoming
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Figure 15-2  Property Leks Locations
 


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 15.3           Hydrogeology
 
Both the Canyon Springs and Tertiary aquifers are reported to have relative high permeability.  A water supply well completed in the Tertiary aquifer is reported to yield in excess of 20 gpm to 30 gpm.

Uranium mineralization in the Jurassic and Cretaceous horizons is hosted within permeable sandstones which are hydrologically confined between thick impermeable shale units.  Mineralization in Wind River Formation is hosted by conglomerates, sandstones and siltstones.  Although mineralization is generally confined below shale or siltstone layers all interpretations are based on the lithological chip logs as only one partial core log is available from the historic work.  Additional core drilling is required to confirm the amenability of the Wind River mineralization to ISR method of recovering uranium (Crosshair, 2009).

The static water level occurs in the highly transmissive sands and gravels of the Tertiary Wind River Formation.  Static water levels as measured by AATA are: 1) SW ¼, section 36, water level at 80 ft. below surface and 2) SW ¼, section 31, water level at 20 ft. below surface.  Based on the resistivity logs for 52 holes, the depth to the water table varies between 17 and 59 ft. averaging 35 ft.  Except for a very few cases the mineralization is greater than 50 ft. below the water table (Crosshair, 2009).

Historic hydrogeological test work performed on the project consisted of permeability measurements on core samples.  Seven tests performed in 1979 by Hazen show an average permeability of 2,200 millidarcys for the Canyon Springs B and D.  During 2008, permeability tests were conducted on 21 core samples from a wide range of lithologies, including some confining shale units.  .

Fourteen plug analyses on the Canyon Springs sandstone host rock carried out at Core Labs Inc. and Advanced Testing in Denver, Colorado, returned an average porosity of 30.4% and permeability of 913 millidarcys (md) (Table 15-1).  This compares with an average of 2,293 millidarcys from seven historical samples taken from one drill hole.

The Canyon Springs B and D sandstone hosts the vast majority of potentially economic mineralization on the project and is hydrologically confined above and below by impermeable strata.  Drilling has penetrated at least 75 ft. of shale-type rocks in the Chugwater Formation directly underlying the uranium resource.  Lab tests on core samples show very low permeability for Chugwater samples (0.01 md).  The aquitard above the Canyon Springs B and D resources has a more gradational contact, with 50 to 70 ft. of silty sandstone (Canyon Springs A bed and undivided Sundance Formation) directly overlying the resource.  These silty sandstones are overlain by several hundred ft. of shale, which show very low permeability in lab results (0.086 md).  The B and D sandstone samples show mostly high permeability, ranging from 338 millidarcys to 2,320 millidarcys.  One strongly cross-bedded sandstone sample (01-BH3003, 424) showed very low permeability across bedding, however, since uranium mineralization followed permeability along bedding, this is not considered a negative indication for ISR production (Crosshair, 2009).

Although the Canyon Springs B and D is a relatively homogenous unit, both visually and in the e-logs, subtle variations in lithology, permeability and cementation have been observed.  Future aquifer testing within the B and D should be designed to test horizontal permeability in both the north-easterly and north-westerly directions.
 
 
 
 

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BP LLC conducted aquifer tests in section 36 in November of 2011 (Figure 15-3).  Aquifer characteristics in Section 36 were tested by one pumping well and four observation wells.

Table 15-1  Permeability Results, 2008 Core Samples
Bootheel Project, LLC. – Bootheel Uranium Property, Wyoming
 
Hole
Depth (ft.)
Fm.
Stress (psig)
Porosity %
Permeability (md)
Grain Density (g/cm³
 36-BH3001
418.50
Jcsbd  ss
500
36.14
338
2.621
 36-BH3001
422.50
Jcsbd  ss
500
35.37
446
2.631
01-BH3003
424.00
Jcsbd  ss
100
27.50
0.00098
NA
 06-BH3007
250.50
Jcsbd  ss
500
33.07
1470
2.618
 06-BH3007
260.50
Jcsbd  ss
500
32.93
1520
2.641
06-BH3008
259.70
Jcsbd  ss
500
32.30
2320
2.626
06-BH3008
282.30
Jcsbd  ss/sltst
500
29.24
1250
2.638
06-BH3009
196.00
Jsu  sh
Ambient
2.21
0.088
2.476
06-BH3009
211.70
Jsu  sltst/ss
Ambient
2.05
0.008
2.424
06-BH3009
215.60
Jsu  ss
500
14.33
1.08
2.631
06-BH3009
220.00
Jsu  sltst/ss
Ambient
3.75
0.023
2.444
06-BH3009
234.50
Jcsa  ss
500
16.13
3.10
2.639
06-BH3009
265.50
Jcsbd  ss
500
27.78
1020
2.623
06-BH3009
290.00
Jcsbd ss
100
25.63
890
NA
06-BH3009
323.00
Jcsbd  ss
500
31.16
1540
2.640
06-BH3009
334.00
Jcsbd  ss
500
29.11
1210
2.635
06-BH3009
359.00
Jcsbd  ss
500
14.44
.817
2.663
06-BH3009
363.00
Trcw  sltst/sh
Ambient
1.24
0.013
2.506
06-BH3009
364.70
Trcw  sltst/sh
500
1.37
0.013
2.594
 36-BH3001
418.50
Jcsbd  ss
500
36.14
338
2.621
 36-BH3001
422.50
Jcsbd  ss
500
35.37
446
2.631

Notes:
1.  
Jcsu: Upper Canyon Springs (undivided.
2.  
Jcsa: Canyon Springs A bed sandstone.
3.  
Trcw: Triassic Chugwater siltstone.
4.  
Jcsbd             Jurassic Canyon Springs sandstone, B& D beds (Sundance Fm).

 


The Bootheel Project, LLC.- Bootheel Uranium Project, Wyoming
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Figure 15-3 Monitor Wells
 
 

The Bootheel Project, LLC.- Bootheel Uranium Project, Wyoming
Technical Report, May 20, 2015
 
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The 5 ½” pumping well was screened at the base of the Canyon springs from 509 ft. to 549 ft.  One of the observation wells was located adjacent to the pumping well and screened in the base of the Wind River Formation.  The other three observation wells were screened in the Canyon Springs.  The test ran for five days and at equilibrium, the pumping well discharged at approximately 10 gpm.  No drawdown was observed in the Wind River observation well confirming that the unconfined Wind River Aquifer is not hydraulically connected to the underlying Sundance aquifer at this point.

The Theis aquifer test and recovery analysis resulted in a T of ~1.3 x 10-1 cm2/sec in section 36.  MODFLOW analysis of the test parameters is consistent with the Theis analysis.  Drawdown patterns indicate isotropic transmissivity.  Leakage across the Jurassic-Tertiary boundary is negligible to none indicating the Canyon Springs appears to be hydrologically isolated from the unconfined upper aquifer in proximity to known mineralization.
 
 15.4           Permitting
 
Mine permitting will require submissions to both the Wyoming Department of Environmental Quality (WDEQ) and the Nuclear Regulatory Commission (NRC).  A 12 month base line study will be required for such items as meteorology and air quality, surface and ground water sampling.  Time sensitive items include sage grouse mating season and raptor nests.  Total permitting costs are estimated at one million dollars and it would take three to four years to obtain mining permits.

In 2011, a meteorological station was established and water sampling commenced on a quarterly basis.  Bird surveys have been conducted on a yearly basis since 2009.  A Class 1 archeological literature review of the property was completed in 2011.  The only historic site eligible for listing on the National Register is the Fetterman Road.  The two segments identified to date are considered noncontributing to the sites overall eligibility.
 


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16           Adjacent Properties
 
Historic Mining was carried out in the northwest part of the Shirley Basin, (Figure 7-3), 20 miles from Bootheel.  In a press release dated July 22, 2014, URE released a Measured Mineral Resource on the former Pathfinder Property of 1.367 million tons at an average grade of 0.275 eU3O8 and an Indicated Mineral Resource of 0.549 million tons at an average grade of 0.118 eU3O8.

The information set out above is provided by third party sources and the Authors have been unable to verify the information.  The information is not necessarily indicative of the mineralization on the Bootheel Project.

 

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17           Interpretation and Conclusions
 
 
 17.1           Interpretation
 
The Bootheel Uranium Project is at an intermediate stage of exploration.  A number of areas of anomalous concentrations of uranium occur in Jurassic, Cretaceous, and Tertiary sandstones within the property.

Results of drilling completed to date suggest that mineralized zones within the Jurassic Sundance Formation and the Tertiary Wind River Formation may be amenable to ISR method of recovering uranium.
 
 17.2           Conclusions
 
Based on the review of technical reports on past exploration, publications on regional geology and the type of uranium mineralization, and recent drill results, The Authors conclude that:

·  
The uranium mineralization at the Bootheel Project is a sandstone-hosted, roll front-type deposit.
·  
At a GT cut-off of 0.15 ft.-% or 0.20% equivalent uranium (eU3O8), depending on the host formation, the Mineral Resources of the Bootheel deposit total approximately 1.570 million tons of Indicated Mineral Resources at an average grade of 0.036% eU3O8, containing 1.12 million lbs. of U3O8, and approximately 1.315 million tons of Inferred Mineral Resources at an average grade of 0.040% eU3O8, containing 1.05 million lbs. of U3O8.
·  
Uranium mineralization occurs in at least four horizons in the Jurassic rocks, and one horizon in the Tertiary rocks.
·  
Areas of uranium mineralization intersected in rotary drill holes range from 0.015% eU3O8 to 0.15% eU3O8, over thickness ranging from 1.5 m to 15 m.  These mineralized areas are associated with subhorizontal sandstones of the Lower Jurassic Sundance Formation Lower Cretaceous Cloverly Formation and the Lower Tertiary Wind River Formation.
·  
The methodology of sampling and assaying during the recent drilling program is consistent with industry standards.
·  
The methodologies of lithologic and radiometric logging procedures, and sampling and assaying during past drilling campaigns were in keeping with industry standards.
·  
The Bootheel Project area is underlain by Early Jurassic to Lower Tertiary sedimentary rocks of the Shirley River Basin of Wyoming.  The Early Jurassic rocks comprise sandstone, shale and conglomerate of the Sundance Formation, and the arkosic sandstone, conglomerate and siltstones of the Lower Tertiary Wind River Formation commonly are unconformably overlain over the Sundance Formation.  Occasional units of the Lower Cretaceous Dakota Sandstone are also present between the Jurassic Sundance and Tertiary Wind River Formations.
·  
A number of northeast trending normal faults cut the rocks and mineralized units in the area.
·  
The source of uranium in the mineralized layers is interpreted to be the Precambrian rocks (including granitic rocks) of the Laramie Range, situated east of the Shirley Basin.
·  
Of the 781 rotary drill holes completed on the property from the mid-1960s to 2011, 161 holes encountered significant uranium mineralization of more than 0.02% eU3O8 over intervals ranging from 1 m to approximately 10 m.
·  
Past and recent exploration has established some favourable criteria suggesting the possibility of sizeable accumulations of uranium within the sandstones, at depths ranging from 100 ft. to more than 600 ft. below the surface.
 
 
 

 
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·  
The style of uranium mineralization on the Bootheel Project is similar to other roll front-type uranium deposits in the Shirley Basin, Wind River basin, and other sedimentary basins in Wyoming.  The uranium constituent within the mineralized units is assumed to be uraninite (UO2).  Detailed mineralogical studies, however, have not yet been carried out.
·  
The methodology of downhole logging and surveying by BP LLC is in keeping with, and even surpasses, industry standards.
 
18           Recommendation
 
The Authors recommend that BP LLC maintain the Project on a care and maintenance budget until market conditions improve.  The annual cost of maintaining the Project is US$14,000 in fees to the State of Wyoming and Federal Governments.


 
 

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19           References
 
 
Agnerian, H. 2012, Technical Report on the Bootheel Project for Crosshair Energy Corp. and The Bootheel Project, LLC.  NI 43-101 Technical Report. February 2012.  Filed on SEDAR.

 
Agnerian, H. and Roscoe, W.E.R., 2002, The Contour Method of Estimating Mineral Resources: Can. Inst. Min. & Metallurgy Bulletin, v. 95 pp. 100-107, July 2002.

 
Bell, T, 2011, Personal Communication.

 
Crosshair Exploration & Mining Corp., 2011, Miscellaneous Technical Data,

 
Crosshair Exploration & Mining Corp., 2009, Technical Report on the Bootheel Project, Albany County, Wyoming, USA: Unpublished Report, May 2009.

 
Jet Metals Corp., 2015, Miscellaneous Technical Data and Information on Land Status.

 
De Voto, R.H., 1978, Uranium in Phanerozoic Sandstone and Volcanic Rocks, in Uranium Deposits, Their Mineralogy and Origin, M.M. Kimberly (ed): Short Course Handbook Volume 3 by Mineralogical Association of Canada, University of Toronto Press, October, 1978.

 
Guilbert, J.M. and Park Jr., C.F., 1986, Western States Uranium Deposits, in The Geology of Ore Deposits: W.H. Freeman and Company, New York, 1986.

 
Plouffe, R., Schmeling, B. and Reinders, P., 1983, Radiometric Downhole Logging and Evaluation of eU3O8: Uranerz Exploration and Mining Limited, Exploration Development Services Group, Project 71-51 Key Lake Special Report (Revised), Saskatoon, December 30, 1983.

 
Schmeling, B., 2007, Down Hole Logging and Radiometric Data Interpretation, A Technical Manual, March 2007.

 
Underhill, D. and Roscoe, W.E.R., 2009, Technical Report on the Bootheel Project, Wyoming: NI 43-101 Technical Report by Scott Wilson Roscoe Postle Associates Inc., September 8, 2009.

 
Ur-Energy Inc. July 22, 2014, Ur-Energy Announces Mineral Resource at Shirley Basin Project.  Press Release.

 
 

The Bootheel Project, LLC.- Bootheel Uranium Project, Wyoming
Technical Report, May 20, 2015
 
80

 


 
20           Date and Signature Page
 
This report titled “Technical Report on Bootheel Uranium Project, Wyoming” and dated May 20, 2015, was prepared by and signed by the authors:



                          “Signed and Sealed”
                          “Hrayr Agnerian”
Dated at Toronto, Ontario                                                                           Hrayr Agnerian, M.Sc.(Applied), P.Geo.
May 20, 2015                                                                                 Consulting Geologist, President
        Agnerian Consulting Ltd.


                          “Signed and Sealed”
                          “C. Stewart Wallis
Dated at Vancouver                                                                               C. Stewart Wallis, P.Geo
May 20, 2015



 
 

  The Bootheel Project, LLC.- Bootheel Uranium Project, Wyoming
Technical Report, May 20, 2015
 
81

 


 
21           Certificates of Qualified Persons
 
 
 Hrayr Agnerian
 
I, Hrayr Agnerian, M. Sci. (Applied), P. Geo., as the author of this report entitled “Technical Report on the Bootheel Uranium Project, Wyoming”, prepared for Crosshair Energy Corp. and The Bootheel Project LLP., and dated May xx, 2015, do hereby certify that:

1.  
I am a Consulting Geologist and President of Agnerian Consulting Ltd. of 82 Mentor Boulevard, Toronto, ON, M2H 2N1.

2.  
I am a graduate of the American University of Beirut, Lebanon, in 1966 with a Bachelor of Science degree in Geology, of the International Centre for Aerial Surveys and Earth Sciences, Delft, the Netherlands, in 1967 with a diploma in Mineral Exploration, and of McGill University, Montréal, Québec, Canada, in 1972 with a Master of Science (Applied) degree in Geological Sciences.

3.  
I am registered as a Professional Geoscientist in the Provinces of Ontario (Reg.# 0757), Saskatchewan (Reg.# 4305), Newfoundland and Labrador (Member # 06152), and British Columbia (Lic. # 36864), and as a Professional Geologist in the Province of Québec (Reg.# 302).  I have worked as a geologist for a total of 42 years since my graduation.  My relevant experience for the purpose of the Technical Report is:
·  
Review and report as a consultant on more than ninety mining and exploration projects around the world for due diligence and regulatory requirements.  A number of these projects include estimation of Mineral Resources of uranium projects in Canada, Guyana, Kazakhstan, Mongolia, Niger, Paraguay, Peru, and the United States.
·  
Project/Exploration Geologist for several Canadian exploration companies.

4.  
I have read the definition of "qualified person" set out in National Instrument 43-101 ("NI43-101") and certify that by reason of my education, affiliation with a professional association (as defined in NI43-101) and past relevant work experience, I fulfill the requirements to be a "qualified person" for the purposes of NI43-101.

5.  
I visited the Project site from September 14 to 15, 2011.

6.  
I am responsible for the overall preparation of the Technical Report excluding Item 14.

7.  
I am independent of the Issuer applying the test set out in Section 1.5 of National Instrument 43-101.

8.  
I previously wrote a Technical Report dated February 27, 2012 on the property that is the subject of the Technical Report.

9.  
I have read National Instrument 43-101F1, and the Technical Report has been prepared in compliance with National Instrument 43-101 and Form 43-101F1.

10.  
To the best of my knowledge, information, and belief, the Technical Report contains all scientific and technical information that is required to be disclosed to make the technical report not misleading.
 

 

  The Bootheel Project, LLC.- Bootheel Uranium Project, Wyoming
Technical Report, May 20, 2015
 
82

 
 


Dated 20th day of May, 2015



“Signed and Sealed”
“Hrayr Agnerian”
Hrayr Agnerian, M.Sc.(Applied), P.Geo.
Consulting Geologist and President
Agnerian Consulting Ltd.

 
 
 

  The Bootheel Project, LLC.- Bootheel Uranium Project, Wyoming
Technical Report, May 20, 2015
 
83

 


 
 
 C. Stewart Wallis
 
I, C. Stewart Wallis, P. Geo., President of Sundance Geological Ltd. with offices at 1419-133A Street Surrey BC V4A 6A2, certify that:

1.  
I am a graduate of McMaster University, Hamilton, Canada, in 1967 with a Bachelor of Science degree in Geology.

2.  
I am registered as a Professional Geologist in the Province of British Columbia (Reg. #27372).  I have worked as a geologist for over 40 years since my graduation.  My relevant experience for the purpose of this Technical Report includes the authorship of numerous Technical Reports on uranium properties throughout the world since 2005.  I have audited uranium resources for many projects since 2005.

3.  
I have read the definition of "Qualified Person" set out in National Instrument 43-101 ("NI43-101") and certify that by reason of my education, affiliation with a professional association (as defined in NI43-101) and past relevant work experience, I fulfill the requirements to be a "Qualified Person" for the purposes of NI43-101.

4.  
I have visited the property several times since 2009, most recently September 20-22, 2011.

5.  
I am responsible for Item 14 of the Technical Report.

6.  
I am not independent of the Issuer as I am currently a director of the Company and hold stock in the Company.

7.  
I have been involved with exploration on the Project that is the subject of the Technical Report since its acquisition in 2008.

8.  
I have read National Instrument 43-101F1, and the Technical Report has been prepared in compliance with National Instrument 43-101 and Form 43-101F1.

9.  
To the best of my knowledge, information, and belief, as of the date of this certificate, the Technical Report contains all scientific and technical information that is required to be disclosed to make the technical report not misleading.

Dated this 20th  day of May, 2015



“Signed and Sealed”

“C. Stewart Wallis
C. Stewart Wallis, P.Geo.


 
 

  The Bootheel Project, LLC.- Bootheel Uranium Project, Wyoming
Technical Report, May 20, 2015
 
84

 


 
22           Appendix
 
 
 Bootheel Property Status
 

State of Wyoming Uranium Lease No. 0-40774 covering all of Section 36, Township 25 North, Range 75 West, 6th P.M., Albany County, Wyoming, containing 640 acres, more or less.

 
TABLE 22-1  LIST OF CLAIMS
Bootheel Project, LLC. – Bootheel Uranium Project, Wyoming
 
Claim Name
SEC
TWP
RGE
County
Original Recordation Book/Page
State
BLM Serial #
BH 145
11,12
24N
75W
Albany
#2005-4294
Wyoming
WMC267277
BH 146
11,12
24N
75W
Albany
#2005-4295
Wyoming
WMC267278
BH 147
12
24N
75W
Albany
#2005-4296
Wyoming
WMC267279
BH 148
12
24N
75W
Albany
#2005-4297
Wyoming
WMC267280
BH 149
12
24N
75W
Albany
#2005-4298
Wyoming
WMC267281
BH 150
12
24N
75W
Albany
#2005-4299
Wyoming
WMC267282
BH 151
12
24N
75W
Albany
#2005-4300
Wyoming
WMC267283
BH 152
12
24N
75W
Albany
#2005-4301
Wyoming
WMC267284
BH 163
11,12
24N
75W
Albany
#2005-4312
Wyoming
WMC267295
BH 164
11,12, 13,14
24N
75W
Albany
#2005-4313
Wyoming
WMC267296
BH 165
12
24N
75W
Albany
#2005-4314
Wyoming
WMC267297
BH 166
12,13
24N
75W
Albany
#2005-4315
Wyoming
WMC267298
BH 167
12
24N
75W
Albany
#2005-4316
Wyoming
WMC267299
BH 168
12,13
24N
75W
Albany
#2005-4317
Wyoming
WMC267300
BH 169
12
24N
75W
Albany
#2005-4318
Wyoming
WMC267301
BH 170
12,13
24N
75W
Albany
#2005-4319
Wyoming
WMC267302
BH 171
12
24N
75W
Albany
#2005-4320
Wyoming
WMC267303
BH 172
12,13
24N
75W
Albany
#2005-4321
Wyoming
WMC267304
BH 173
12
24N
75W
Albany
#2005-4322
Wyoming
WMC267305
BH 174
12,13
24N
75W
Albany
#2005-4323
Wyoming
WMC267306
BH 175
12
24N
75W
Albany
#2005-4324
Wyoming
WMC267307
BH 176
12,13
24N
75W
Albany
#2005-4325
Wyoming
WMC267308
BH 177
12
24N
75W
Albany
#2005-4326
Wyoming
WMC267309
BH 178
12,13
24N
75W
Albany
#2005-4327
Wyoming
WMC267310
BH 179
12
24N
75W
Albany
#2005-4328
Wyoming
WMC267311
BH 180
12,13
24N
75W
Albany
#2005-4329
Wyoming
WMC267312
BH GAP 1
12,7
24N
74W
Albany
#2007-3664
Wyoming
WMC287333
BH GAP 2
12
24N
75W
Albany
#2007-3665
Wyoming
 WMC287334
BH GAP 3
12
24N
75W
Albany
#2007-3666
Wyoming
WMC287335
BH GAP 4
12
24N
75W
Albany
#2007-3667
Wyoming
WMC287336
Rob 19
6,24,32
24N
74W
Albany
#2006-6294
Wyoming
WMC278687
Rob 20
6,32**
24N
74W
Albany
#2006-6295
Wyoming
WMC278688
Rob 21
32
25N
74W
Albany
#2006-6296
Wyoming
WMC278689
Rob 22
31,32
25N
74W
Albany
#2006-6297
Wyoming
WMC278690
 


  The Bootheel Project, LLC.- Bootheel Uranium Project, Wyoming
Technical Report, May 20, 2015
 
85

 




Rob 23
32
25N
74W
Albany
#2006-6298
Wyoming
WMC278691
Rob 24
31,32
25N
74W
Albany
#2006-6299
Wyoming
WMC278692
Rob 25
32
25N
74W
Albany
#2006-6300
Wyoming
WMC278693
Rob 26
31,32
25N
74W
Albany
#2006-6301
Wyoming
WMC278694
Rob 27
32
25N
74W
Albany
#2006-6302
Wyoming
WMC278695
Rob 28
31,32
25N
74W
Albany
#2006-6303
Wyoming
WMC278696
Rob 29
32
25N
74W
Albany
#2006-6304
Wyoming
WMC278697
Rob 30
31,32
25N
74W
Albany
#2006-6305
Wyoming
WMC278698
Rob 31
32
25N
74W
Albany
#2006-6306
Wyoming
WMC278699
Rob 32
31,32
25N
74W
Albany
#2006-6307
Wyoming
WMC278700
Rob 33
32
25N
74W
Albany
#2006-6308
Wyoming
WMC278701
Rob 34
31,32
25N
74W
Albany
#2006-6309
Wyoming
WMC278702
Rob 35
29,32
25N
74W
Albany
#2006-6310
Wyoming
WMC278703
Rob 36
29,30,31,32
25N
74W
Albany
#2006-6311
Wyoming
WMC278704
TD #9
6
24N
74W
Albany
2004.6250
Wyoming
WMC260873
TD #10
6
24N
74W
Albany
2004.6251
Wyoming
WMC260874
TD #11
6
24N
74W
Albany
2004.6252
Wyoming
WMC260875
TD #12
6
24N
74W
Albany
2004.6253
Wyoming
WMC260876
TD #13
6
24N
74W
Albany
2004.6254
Wyoming
WMC260877
TD #14
6
24N
74W
Albany
2004.6255
Wyoming
WMC260878
TD #15
6
24N
74W
Albany
2004.6256
Wyoming
WMC260879
TD #16
6
24N
74W
Albany
2004.6257
Wyoming
WMC260880
TD #17
6
24N
74W
Albany
2004.6258
Wyoming
WMC260881
TD #18
6
24N
74W
Albany
2004.6259
Wyoming
WMC260882
TD #19
1,6
24N
75W
Albany
2004.6260
Wyoming
WMC260883
TD #20
1,6
24N
75W
Albany
2004.6261
Wyoming
WMC260884
TD #21
1,6
24N
75W
Albany
2004.6262
Wyoming
WMC260885
TD #22
6
24N
74W
Albany
2004.6263
Wyoming
WMC260886
TD #23
6
24N
74W
Albany
2004.6264
Wyoming
WMC260887
TD #24
6
24N
74W
Albany
2004.6265
Wyoming
WMC260888
TD #25
6
24N
74W
Albany
2004.6266
Wyoming
WMC260889
TD #26
6
24N
74W
Albany
2004.6267
Wyoming
WMC260890
TD #31
12
24N
75W
Albany
2004.6268
Wyoming
WMC260891
TD #32
12
24N
75W
Albany
2004.6269
Wyoming
WMC260892
TD #33
12
24N
75W
Albany
2004.6270
Wyoming
WMC260893
TD #34
12
24N
75W
Albany
2004.6271
Wyoming
WMC260894
TD #35
12
24N
75W
Albany
2004.6272
Wyoming
WMC260895
TD #36
12
24N
75W
Albany
2004.6273
Wyoming
WMC260896
TD #37
12
24N
75W
Albany
2004.6274
Wyoming
WMC260897
TD #38
12
24N
75W
Albany
2004.6275
Wyoming
WMC260898
TD #39
12
24N
75W
Albany
2004.6276
Wyoming
WMC260899
TD #40
12
24N
75W
Albany
2004.6277
Wyoming
WMC260900
 
 


  The Bootheel Project, LLC.- Bootheel Uranium Project, Wyoming
Technical Report, May 20, 2015
 
86

 

 

TDGap 61
6
24N
74W
Albany
2009-6642
Wyoming
WMC298564
TDGap 62
6
24N
74W
Albany
2009-6643
Wyoming
WMC298565
TDGap 63
6
24N
74W
Albany
2009-6644
Wyoming
WMC298566
TDGap 64
6
24N
74W
Albany
2009-6645
Wyoming
WMC298567
TDGap 65
6
24N
74W
Albany
2009-6646
Wyoming
WMC298568

Source: JET, 2015.

 
 
 

  The Bootheel Project, LLC.- Bootheel Uranium Project, Wyoming
Technical Report, May 20, 2015
 
87

 



 




 
 
 


SUNDANCE GEOLOGICAL LTD.

 
1419 – 133 A Street
Surrey BC V4A 6A2
   Cell Ph 604-351-4675
Email  sunven@telus.net
 
CONSENT OF QUALIFIED PERSON


I, C. Stewart Wallis, consent to the public filing of the technical report titled “Technical Report on the Bootheel Project for Jet Metal Corp. and The Bootheel Project, LLC” and dated May 20, 2015, (the “Technical Report”) by Jet Metal Corp.

I also consent to any extracts from or a summary of the Technical Report in the Annual Report on Form 20-F for the financial year ended April 30, 2014, dated August 25, 2014, of Jet Metal Corp. (the “Annual Report”)

I certify that I have read the Annual Report filed by Jet Metal Corp. and that it fairly and accurately represents the information in the sections of the technical report for which I am responsible.


Dated this 16th day of June 2015

 
C. Stewart Wallis P.Geo.
President
Sundance Geological Ltd.



 
 

 

 
 
 
 
 
 






 
 
 
 
 
 
 
 
 


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