Overview
Blue Sky Uranium (TSXV:BSK,OTC:BKUCF, FSE:MAL2) is an advanced exploration company uniquely positioned with potential to become the first low-cost, uranium producer in Argentina, helping address a consistent, in-country demand and a forecast growing global supply deficit for uranium.
Since the reactivation of its nuclear energy program in 2006, Argentina has been growing its nuclear energy capacity as part of the government’s goal to diversify its power generation mix. With three nuclear plants currently in operation, Argentina has plans to construct two more nuclear power plants, giving rise to increasing domestic demand for uranium, a primary mineral used for nuclear reactors.
Argentina is not the only country undergoing a nuclear revival. Geopolitical events in recent years have caused governments to re-evaluate their energy security and sustainability goals to move away from fossil fuels and pursue alternative power sources, including nuclear energy.
Blue Sky Uranium’s flagship Amarillo Grande Project, in the Rio Negro province of Argentina, is a new uranium district with geological similarities to those in Kazakhstan, which hosts the world’s largest uranium deposits and produced 43 percent of the world’s uranium supply in 2022. Based on Blue Sky’s preliminary economic assessment, if the Ivana deposit were advanced to production it has the potential to rank amongst the lowest-cost producers of uranium on a global basis.
With Argentina’s anticipated demand for uranium expected to grow as it strengthens its nuclear energy program, the Amarillo Grande project has the potential to make Blue Sky a domestic supplier of uranium for the country. (For more insight on Blue Sky Uranium, watch these interviews with the company’s president and CEO Nikolaos Cacos.)
The Amarillo Grande Project has a current NI 43-101 inferred resource estimate of 22.7 million pounds of uranium and 11.5 million pounds of vanadium (28 million tonnes averaging 0.037 percent U308 and 0.019 percent V2O5 at a 100 ppm uranium cut-off; ) with a positive preliminary economic assessment (Kuchling et al. 2019).
The company is a member of the Grosso Group, an organization that has operated in Argentina for over 27 years.
Blue Sky Uranium has an experienced management team with a successful track record of major discoveries in Argentina. Nikolaos Cacos brings more than 30 years of experience in executive management and advisory expertise in the mineral exploration industry and holds a bachelor’s degree in science and a master’s in international management. Guillermo Pensado, vice-president of exploration and development, is a geologist with 25 years of experience in the mineral exploration industry specializing in uranium.
Company Highlights
Blue Sky Uranium is an advanced exploration company uniquely positioned with potential to become the first low-cost, uranium producer in Argentina.Argentina is on the path to increasing its nuclear energy capacity, creating a steady demand for uranium.The company’s flagship project, Amarillo Grande, is a district-scale opportunity hosting the Ivana Deposit as well as multiple other targetsBlue Sky is led by an experienced management team with a successful track record of major discoveries in Argentina.
Key Project
Amarillo Grande Project
The 100-percent-owned Amarillo Grande Project consists of three major properties spread over 245,000 hectares: the Ivana property, the Anit property and the Santa Barbara property. Ivana has been the subject of the most recent exploration activity and now hosts an inferred current mineral resource estimate with a preliminary economic assessment, and multiple targets with potential for the discovery of additional resources.
Ivana Deposit Highlights:
Low-cost Production Potential of Uranium and Vanadium: Both metals give Blue Sky Uranium opportunities for potential future revenue, supplying the power market and steel market with the elements they need. The Ivana deposit is shallow (<25 meters depth) and hosted by loosely consolidated sand and gravel, allowing for low-cost production potential.Comparable to Kazakhstan: The project occurs in a comparable geological setting to the giant uranium-producing districts in Kazakhstan and the Ivana deposit has similar characteristics to deposits found there.Close Proximity to Valcheta City: The Amarillo Grande Project is roughly 25 kilometers north of the city, with access to a skilled workforce.Existing Road, Rail and Power Access: Valcheta City gives the project access to Provincial Road #4 and National Road #23, with the national road leading to the ocean port in San Antonio Oeste. A railway runs parallel to National Road #23 and two high-power lines.
The on-going work program has a dual approach of advancing the Ivana deposit and exploring new deposits in the district, focused initially within 10 to 20 kilometers of the Ivana deposit. At Ivana, modelling of new drill data is underway to refine the deposit and potentially upgrade the resource category. Recent uranium/vanadium leach tests on a composite bulk sample resulted in uranium recovery of 96 percent and vanadium recovery of 35 percent. Exploration and drilling programs outside of Ivana continue to refine and advance targets.
Management Team and Consultants
Joseph Grosso – Chairman and Director
Joseph Grosso is the president and founder of Grosso Group Management and president and CEO of Golden Arrow Resources. He became one of the early pioneers of the mining sector in Argentina in 1993 when exploration and mining was opened to foreign investment and he was named Argentina’s Mining Man of the Year in 2005. His knowledge of Argentina was instrumental in attracting a premier team which led to the acquisition of key properties in Blue Sky Uranium. He has successfully formed strategic alliances and negotiated with mining industry majors such as Barrick, Teck, Newmont, Viceroy (now Yamana Gold) and Vale and SSR Mining, and government officials at all levels.
Nikolaos Cacos – President and CEO
Nikolaos Cacos brings over 30 years of executive-level management and advisory expertise in the mineral exploration industry. He has worked with Grosso Group since its inception and serves as a senior-level executive for all the member companies. Cacos’ career includes administration, structuring, and strategic planning for public companies. He currently serves as an officer and director of a number of TSXV-listed companies. He holds a Master of International Management degree from Heidelberg, Germany and a Bachelor of Science degree from the University of British Columbia.
Darren Urquhart – CFO
Darren Urquhart is a chartered professional accountant with twenty years of experience working in public practice and industry. Urquhart operates his own public practice accounting firm offering chief financial officer and accounting services to TSX Venture Exchange-listed companies in Vancouver. He has also served as director for some of his corporate clients. He began his career working as an audit accountant with Grant Thornton LLP, then later worked as a senior tax accountant with Lohn Caulder Chartered Accountants. Urquhart obtained his chartered accountant designation in 2001 and is a member of the Chartered Professional Accountants of British Columbia. In 1995, Urquhart graduated from the University of British Columbia with a Bachelor of Applied Science in electrical engineering.
Guillermo Pensado – Vice-president of Exploration and Development
Guillermo Pensado is a professional economic geologist with more than 25 years of expertise in the mineral exploration industry – with particular emphasis on uranium. He holds extensive experience in exploration and economic project assessment in Argentina, Brazil, Chile, Peru, the US and Canada, mainly focused on uranium, precious metals, and copper deposits. In the last decade, Pensado has worked in the start-up of new projects and companies and has held positions from advisor to vice-president of exploration. Pensado is a certified professional geologist in the USA, a qualified person for NI-43-101 in Canada, and a professional geologist from the Argentine Professional Geological Council. Pensado holds a B.Sc. in geology from the University of La Plata, Argentina, and an M.Sc. in mineral exploration from Queen’s University, Canada. He has been a member of the Society of Economic Geologists since 2000. In 2001, he was recognized with the David Money Medal Award from Queen’s University for being the Top MinEx Student in the International Program. In 2016 and 2018, Pensado was recognized by the Argentina Mining International Conference for his professional career in the exploration industry.
David A. Terry – Director
Dr. David Terry is a professional economic geologist, former senior executive and corporate director with more than 30 years of international experience in the mineral resources sector. He has played key roles in the successful acquisition, exploration and development of many precious and base metal deposits, primarily in North and South America, and has expertise in advanced project evaluation, M&A, corporate finance, and design and execution of effective exploration programs. In the course of his career, Terry has held executive positions and directorships with several publicly listed and private mineral resource companies; he currently serves as a director of Blue Sky Uranium, Golden Arrow Resources, and Aftermath Silver. He has also worked with some senior mining companies including Boliden, Westmin Resources, Hemlo Gold Mines, Cominco and Gold Fields Mining. Terry holds a B.Sc. and Ph.D. in geology from Western University in Ontario and is a member of the Association of Professional Engineers and Geoscientists of British Columbia.
Jorge Berizzo – Independent Technical Advisor
Dr. Jorge Berizzo has over three decades of uranium exploration and production experience in Argentina, with a focus on Chubut. His roles ranged from senior exploration geologist to mine manager for the Argentinean National Atomic Energy Commission, as well as privately owned companies. His work has seen him explore a range of geological settings, and he is credited with a leading role in the discovery of the Cerro Condor and Cerro Solo uranium deposits in Chubut province, Argentina. Berizzo was instrumental in Blue Sky’s pioneering efforts to explore for uranium in Rio Negro, and in the identification and acquisition of the company’s portfolio of highly prospective properties.
Chuck Edwards – Independent Technical Advisor
Chuck Edwards is a professional engineer with over 50 years of experience in research and development, operations, government service, consulting and engineering management. He is now principal with Extractive Metallurgy Consulting in Saskatoon, Saskatchewan. Edwards specializes in uranium processing for both alkaline and acid leach plants. He was involved in the engineering design of all the current uranium facilities in Saskatchewan’s Athabasca Basin and has worked on uranium projects on five continents. Recently, Edwards was a process engineering advisor at the Saskatchewan Research Council. He held various positions at Amec Foster Wheeler, Cameco, Energy, Mines and Resources Canada, Kilborn Western and Eldor Mines, Rabbit Lake, among others. Edwards has been a technical consultant to the International Atomic Energy Agency in Vienna, Austria since 1999, and served as president of the Canadian Institute of Mining, Metallurgy and Petroleum (CIM) from 2011 to 2012. He was awarded the AIME gold medal for Extractive Metallurgy Technology in 1987, the CMP Best Presentation Award in 1997 and 2007, CMP Mineral Processor of the Year in 2001, CIM Distinguished Lecturer in 2003, CIM Fellowship in 2004, CIM Life Member in 2011, and CIM Distinguished Service Medal in 2013.