There's no debate. Saskatchewan's Athabasca Basin is home to the most fabulous uranium deposits in the world. Period. But one question remains. Is there more rich ore to be found?
Peter Dasler voices his opinion with one word - a loud, unqualified "yes."
A veteran exploration geologist who heads up one of Canada's most compelling mining juniors, Dasler doesn't mince words when it comes to numbers.
"We believe we have an excellent chance to access a $50-billion uranium deposit on our holdings in the Athabasca Basin," says the president of CanAlaska Uranium Ltd. (TSX.V-CVV) Naturally, he doesn't expect you to take his word for it. But two high-profile partners are banking that the CanAlaska team can pull it off. They are Mitsubishi Corp.
of Japan and the South Korean government, working with a consortium fronted by Hanwa Corp.
Each of these corporate partners has poured millions into CanAlaska's extensive exploration and drilling programs, currently under way in northern Saskatchewan.
There's no better endorsement. When mighty international players such as these put their money up front, there's got to be a good reason. Actually, there are several.
One is the unlimited potential of the Athabasca Basin, which puts other uranium-producing territories to shame. Home of the world's most profitable uranium mines, the basin represents a genuine geological miracle, yielding ore of an extremely high grade. Needless to add, it represents an attractive option for investors as well.
"For an exploration company, we're at the most exciting stage. When we started looking in 2004, we staked one of the largest land positions in the Athabasca, right in the bands of rocks where there was known uranium," Dasler explains. "We ended up with one million hectares. And we spent $20 million covering every scrap of that land, inch by inch. We're now out there with three rigs, drilling the best targets."
In many ways, CanAlaska's timing was perfect. Around the same time the company acquired its lease, an airborne survey took place, covering the deep ground surrounding what are believed to be high-grade deposits of the mineral, currently in hot demand by the nuclear industry.
After viewing the results, Dasler's excitement grew.
"Within 10 days, we had an image showing us targets that look like uranium. We then drilled a series of six holes and all the signs were positive."
That's when Dasler got a call from Mitsubishi, asking: "How much to continue drilling the targets."
After listening to his reply, the Japanese multinational came across with $11 million to support the program.
Last month, the consortium led by Hanwa Corp. got on board. This group has agreed to support a second drilling project on another parcel of the company's holdings.
"We have done sufficient work across our projects in the basin to be able to show the first indications that we're on the trail of a target which could be as rich as Cigar Lake," Dasler concludes.
Work on both projects is proceeding at full speed, with 95 people in the field at any one time.
Based on the sustained interest of major international players, CanAlaska looks like it's worth backing. It certainly qualifies as a matchless investment opportunity, with shares trading well below $1 on the TSX Venture Exchange.
Then again, it's worth pointing out that words like "junior" can be misleading within the context of the investment world.
CanAlaska may be a junior in a technical sense, but the destiny of the four-year-old company is guided by veteran hands.
Truth is, there are more than 400 so-called uranium companies currently doing business in the global marketplace. But CanAlaska's pedigree is more impressive than most.
"We were the fourth junior to start exploring in the Athabasca and we scoped out our territory at precisely the right time," Dasler says.
"And we're out there doing our best to find a first-class deposit. That's what Mitsubishi is funding us for. And that's why the Koreans are backing us."
By the way, when Dasler voices his opinion, people in his field tend to listen. Owner of a Masters degree in mining and exploration geology, the New Zealand native arrived in Canada in the mid-1970s. He has served as exploration and mine manager for major New Zealand corporations and has worked as a consultant since setting up shop in this country.
He leads an outstanding team that has attracted attention from Asia's largest strategic players.. Maybe it's time you gave CanAlaska Uranium a look as well. Visit the CanAlaska website (www.canalaska.com) and contact Investor Relations via this toll-free number: 1.800.667.1870.
