Bayswater Uranium Corporation - North Thelon Uranium

North Thelon, Nunavut

Similar geological features to the Athabasca Basin; the Thelon Basin is largely underexplored.
Properties lie near to the Kiggavik trend which contains approximately 131 million pounds of contained U3O8 aggregate resource.
Follow-up surveying in 2007 and 2008 led to the discovery of significant uranium mineralization in the Amer West and Itza claim blocks.

Overview

Bayswater has interests in over 662,000 acres of land in the North Thelon region of Nunavut. The Thelon Basin has similar geological characteristics to the Athabasca Basin and is largely underexplored. Airborne surveys flown over the entire property identified 18 radiometric anomalies in 2006. In 2007 these targets were followed up with detailed ground surveys and this confirmed the presence of significant uranium mineralization in the Amer West Block. In 2008, follow-up exploration continued and another uranium mineralization discovery was made at the Itza claim block.

Location & History

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Bayswater holds 50% to 100% interest in a total of 662,000 acres of land in the North Thelon region of Nunavut. Through the Canada Uranium Joint Venture (CUJV) with Strongbow Exploration, the Company holds 50% interest in 38,350 acres, and 100% interest in the remaining 624,000. The property consists of five blocks -- Permit 1, Itza Lake/Permit2/Amer West, Amer East, Kiggavik Central, and Kiggavik Soutwest. Bayswater's properties are situated around the margin of the basin in favourable geologic settings for unconformity type deposits, in particular, the Itza Lake/Amer West, and Amer East claim blocks where one sample assayed 8.48% U3O8.

The North Thelon region hosts Areva's Kiggavik, Andrew Lake and END deposits (known as the Kiggavik Trend) with an aggregate reported resource of approximately 131 million pounds of contained U3O8. These projects are located 105 km to the southeast of Bayswater's North Thelon project area.

Access to the property is by float plane and most exploration work is helicopter assisted from exploration camps.

Geology & Mineralization

The basement rocks to the sandstones of the northern part of the Thelon Basin include the "Amer Group". This group of rocks includes metamorphosed sediments with some graphite and iron rich units, a combination which is favourable for the formation of unconformity-type uranium deposits. Occurrences of uranium mineralization (up to 2.7% U3O8) have been recorded throughout the exposed portion of the Amer Group to the north of the Thelon sandstones. In addition to this favourable basement stratigraphy, the North Thelon project straddles a portion of the Amer Fault Zone, a major northeast trending regional tectonic zone with the potential to provide a structural trap for uranium mineralization. The presence of 1,849 million year old intrusions within the Amer Group represents a direct correlation to similarly aged granites that are spatially associated with uranium deposits in the Athabasca Basin area. These granites are thought, in part, to have played a role as a uranium source rock for the formation of some Athabasca unconformity-type uranium deposits.

Exploration

In 2006, Bayswater carried out a 21,325 line km radiometric and magnetic survey of all of its property interests in North Thelon. The survey identified several priority radiometric anomalies for which follow-up prospecting was undertaken later in the year.

In 2007, further prospecting, mapping and sampling, and ground radiometric and magnetic surveys was carried out on these targets and results have confirmed significant uranium mineralization of the sediment host type in the Amer West Block where Bayswater holds a 100% interest. These results included grab samples which yielded between 0.12% and 0.32% U3O8.

The CUJV in the Permit 2 block returned significant results including the discovery of a small (<0.5 m), subangular, granodiorite boulder which assayed 0.389% U3O8.

Bayswater is currently conducting detailed geophysical, geological and prospecting surveys to follow-up radiometric targets identified in 2006 and anomalies identified from the 2007 survey. In July 2008, the Company announced that during the follow-up exploration program it had discovered uranium mineralization at the Itza claim block similar to the discovery made in 2007 at the Amer West claim block.