http://www.miningmx.com/energy/969148.htmInes Schumacher
Posted: Thu, 19 Mar 2009
[miningmx.com] -- AUSTRALIA-based uranium explorer Forte Energy plans to bring its two uranium projects into production in 2012 when it sees uranium demand outstripping supply.
Forte has secured a portfolio of uranium prospects in Guinea and Mauritania in West Africa, where it is pursuing intensive exploration programmes. The company also holds copper and cobalt interests in Queensland and Western Australia.
“We believe, given the nuclear projects announced in countries such as China and India, as well as central and eastern Europe, uranium demand will outstrip supply in the long-run,” Forte managing director Mark Reilly told Miningmx.
The existing board at Forte took over the company in mid-2004 when it was still known as Murchison United and was effectively a cash shell. Murchison owned a tin mine in Australia, which ran into serious financial troubles in 2003. It had also made an unsuccessful bid for a copper project in Portugal.
Murchison changed its name to Forte Energy in October 2008 to represent its move away from the company’s previous business mishaps under a different board of directors.
Forte entered a cooperation agreement with the French nuclear energy company Areva in June 2008 when Areva purchased a 5% stake in Forte’s Mauritania project and has since been granted an additional 10% for its geological database and technical support on the project.
“We’re targeting a minimum of a 60 million pound resource at Mauritania. If we reach that, we might negotiate a joint venture (JV) with Areva,” Reilly said, addingForte would potentially look for a JV partner on its Guinea project as well.
Forte has cash of A$3m and assets in Australia it could use to generate additional funds. “We are not ruling out approaching the market for additional funding,” he said.
Forte is currently listed on both the Australian and London stock exchanges. Reilly said Forte has not considered listing on the JSE, but it is a possibility if the company finds sufficient merit in it.
Guinea and Mauritania
Forte holds eight uranium prospecting permits in Guinea over three separate concession areas. The focus in Guinea is on the Firawa prospect in which a 5km anomaly has been identified.
An initial drilling programme was completed in May 2007.
The company originally planned a 4,000 metre drilling programme at Firawa, but encouraging results pushed this up by an additional 2,000 metres. The 6,000 metre drilling programme was completed in January this year.
Reilly said results of this programme would be announced in 4-6 weeks. “We will follow up the results with a view to improving the resource,” he said. Reilly expects to start a pre-feasibility study in Guinea within the next 12 months.
Forte has been granted nine uranium exploration licences in Mauritania with more permits awaiting approval. It has rights to historic uranium prospects within the Reguibate Massive, a part of the West African Shield.
Forte has access to airborne geophysical data and geological maps from the World Bank. This data has identified several strong uranium anomalies and initial sampling of some of them has returned grades of 9,500 parts per million.
In December 2007, Forte completed its first drilling programme in Mauritania. The drilling was carried out on one of its licences in the Bir En Nar area of the Zednes region of Mauritania, following up on the high sample results obtained previously by Forte.
Reilly said Forte will release an initial resource statement on Bir En Nar in the third quarter of 2009.
