Vane Minerals

Vane Minerals could be producing from its Wate uranium project in Arizona by early 2011 after encouraging drilling results.

So says Matthew Idiens, commercial development director of the London-based company, which has reported drilling intercepts at the Wate breccia pipe including 25.5 feet at 0.47 per cent U3O8 and 25 feet at 0.22 per cent U3O8. Vane, which still derives cash from its original gold and silver operation at Diablito in Mexico, is now primarily focused on uranium and says it hopes to have an industry-standard uranium resource estimate ready by the end of this year.

Idiens points out even this may not tell the full story since ‘there are still 160 targets’ to explore, adding that Canadian miner Denison is going into uranium production next year on federal land in Arizona. Vane, which is a 50-50 partner at Wate with Canada’s Uranium One, says its data so far confirms that compiled years ago by a previous developer, Rocky Mountain Energy.

Floated three years ago at 11p as a gold and silver play, Vane shares hit 32.5p in 2007 but then slumped to 2.25p within the past year. If further studies and the permitting process bear out latest indications, they have scope for further recovery.