Australian-listed uranium company WildHorse Energy (ASX: WHE) has signed a new cooperation agreement with Mecsek-Öko and Mecsekerc to develop a uranium project in southern Hungary.
The companies signed the deal to breathe new life into the Mecsek Hills Uranium Project, which includes WildHorse’s Pécs Uranium project.
It produced 46m lb of uranium metal prior to its closure in 1997 and joins the Western boundary of the WildHorse Pécs and Abaliget licences.
The area of primary interest not held by WildHorse under the agreement are held by Mecsek-Öko and could provide improved access to the WildHorse inferred resource at Pecs through uranium beaing sanstones not previously mined on the MML-E license.
WildHorse has an existing JORC inferred resource on its Pecs license of 17MT at 0.08 per cent U3O8 for 30Mlbs of U3O8 and an Exploration Target of 90 to 120mlbs of contained U3O8 with a grade range of 0.08‐0.12 per cent.
The Mecsek Hills had cumulative production from the former uranium mine of about 20,900 tonnes of uranium metal prior to its closure in 1997 due to a period of depressed uranium prices.
When mining stopped, significant areas of uranium minerals remained unmined.
In 2008 WildHorse entered into a cooperation Agreement with Mecsek-Oko and Mecsékerc with the aim of restarting uranium mining in the Mecsek Hills area.
There is a known geological consistency between the unmined Mecsek Hills Uranium Project area and the orebody of the former uraium mine, which will significantly assist the planning of exploration programs and potential mine analysis.
WildHorse Energy is an international uranium development company established in 2005 to explore and develop world-class uranium assets in countries that are pro-mine development, experiencing growing demand for supplies of uranium, or are ideally placed to supply this important resource to the world market.