Quest Uranium (QUC.V; C$2.83),
which is more interested in rare earth
elements these days than in uranium,
is getting set to release a new
resource estimate for the B and Main
zones of its Strange Lake Project in
Quebec.
Quest’s drilling has returned
strong REE assays over at least 1.1
kilometers of strike length and 500
meters of widths in the mineralized
envelope. The zone is at least 135
meters thick. President and CEO
Peter Cashin says the “mineralization
grades, thicknesses and lateral continuity
have, thus far, been very consistent.
All indications from our exploration
work point to our strong possibility
of significantly expanding the
Strange Lake Project’s resource
potential in 2010.”
The most recent resource, which
was calculated based on work done in
the 1970s, stands at 52 million tonnes
averaging 3.25% zirconium (ZrO2),
0.66% Y oxide (Y2O3), 0.56% niobium
(Nb2O3), 0.12% beryllium (BeO)
and 1.3% total rare earth oxide elements
(TREO). I expect the new
resource estimates, and further exploration,
to continue to fuel Quest’s
advance. Assuming that early buyers
have taken some of their rich gains
off the table, the company is again a
buy — but try to pick it up on the
occasional price dips.