Geology and exploration history of the Lone Gull property

"The Lone Gull discovery of Urangesellschaft Canada Limited was made in 1974 as a result of extensive exploration activities for unconformity related uranium deposits in the Baker Lake area of the Northwest Territories. The structurally controlled mineralization is hosted in Aphebian metasediments and intrusive granitic stocks located approximately 2 km south of the unconformity between the Lower Proterozoic Aphebian and the Middle Proterozoic The/on Formation.The original discovery was made with a helicopter mounted radiometric system during systematic prospection over the unconformity. Diamond drilling was first carried out in 1977 and continued, with an interruption in 1981, to the present. A total of 25,500 metres and 199 holes have been drilled and outlined three ore zones. Preliminary geological reserves are estimated at some 16 million kgs. U30 8 at an average grade of approximately 0.4%.IntroductionUrangesellschaft initially entered exploration in Canada as a participant in joint ventures in 1968, and was incorporated in Canada in 1974 as Urangesellschaft Canada Limited. Subsequently, UG was among the first companies to apply exploration criteria developed from the Athabasca Basin, namely the Middle Proterozoic unconformity over Archean/ Aphebian basement, for selection of exploration targets in the geologically similar Thelon Basin.The Baker Lake area in the Keewatin District of the Northwest Territories was selected from the extensive Thelon Basin because it had the best accessibility (Fig. 1). The hamlet of Baker Lake located close to the geographical centre of Canada, is largely an Inuit settlement with a population of approximately 1,100 inhabitants. The distance from Baker Lake to the Lone Gull property is about 80 km. Baker Lake is connected to the tidewater of Hudson's Bay via Chesterfield inlet and is serviced by scheduled domestic flights several times weekly from Churchill, Manitoba, about 650 km to the south."