Alliance Mining Corp., Vancouver, has signed a letter of Intent with Jadestone Energy, Singapore, to acquire a 100% interest in Jadestone’s Tonopah Uranium project, located in the Tonopah Mining district in Nye County and Esmerelda Country, Nevada.
The project consists of 160 contiguous Bureau of Land Management claims covering an area of 3200 acres. Exploratory work over the last several decades, and an independent geological review of the project, confirmed uranium mineralization, much of it near surface (60-350ft) with potentially economic grades. Drilling has identified an initial high-value target in the south of the property, the first of several other similar high-value targets on the property. The deposit is in a 500 square mile basin, and geological data indicates it could contain several high-value targets that could result in a mining district (a district containing 100M+ lbs. of uranium).
Uranium is one of 35 critical minerals listed by the Secretary of the Interior in May, 2018 at the request of President Donald Trump. The United States consumes 55 million pounds of uranium every year but produces only four million pounds from its mines. In other words, 92% of all the uranium used to fuel 100 operating nuclear power plants is imported, mainly from Kazakhstan, Canada, and Australia, which together produce 65% of global uranium.
The terms of the Letter of Intent allow for an earn-in 100% interest in the property by making certain cash and share payments, and requires ALM to spend a minimum of $600,000 of exploration expenditures on the property over a four year period.
Further details regarding the proposed transaction will be provided if the parties enter into a definitive agreement.
