#Argentina #Blue Sky Uranium #Ivana Deposit #Rio Negro #uranium production

Blue Sky Uranium Unveils Strategic Roadmap for Ivana Deposit Feasibility Study

Blue Sky Uranium Corp., well-known for its pioneering efforts in uranium exploration, has marked a significant milestone with the completion of a comprehensive Gap Analysis for the Ivana Uranium-Vanadium Deposit at its Amarillo Grande Project located in Río Negro Province, Argentina. This milestone sets the stage for the rapid advancement of the Ivana deposit toward potential production.

Summary of the Gap Analysis

Executed by M3 Engineering & Technology Corporation, in collaboration with a group of specialized consulting firms, the Gap Analysis aimed to pinpoint specific technical, environmental, social, and regulatory areas that require further research to facilitate the transition from a Preliminary Economic Assessment (PEA) to a Pre-Feasibility Study (PFS) and eventually to a full Feasibility Study (FS). The overall estimated budget for these steps is around $13.5 million, a price which includes contingencies and is projected to take approximately 24 months.

In a statement, Nikolaos Cacos, President and CEO of Blue Sky, conveyed, "Completing this Gap Analysis marks a crucial strategic milestone for Blue Sky and IMSA. Our objective has always been to quickly progress toward uranium production. This analysis delineates the necessary steps and provides a rigorous yet systematic timeline for our journey ahead."

Economic Potential and Baseline Studies

The Gap Analysis served as a strong confirmation of Ivana's technical viability, reflecting favorable metallurgy and streamlined permitting processes. It builds on a baseline established by the PEA and an updated Mineral Resource Estimate (MRE) dated April 2024, which identified:

• - 19.7 million tonnes at 0.039% U₃O₈ and 0.019% V₂O₅ in the Indicated category
• - 5.6 million tonnes at 0.031% U₃O₈ and 0.019% V₂O₅ in the Inferred category.

Additionally, the PEA indicates a projected mine life of approximately 11 years for Ivana, requiring a capital investment of $159.7 million, with an average all-in sustaining cost pegged at $24.95 per pound U₃O₈. The economic analysis has yielded promising results, including an after-tax NPV of 8% at $227.7 million and an appealing internal rate of return (IRR) of 38.9%.

Next Steps

Following the analysis, several key milestones and actions have been proposed:
1. Metallurgical Testing: Continuation of metallurgical studies is recommended to ensure optimal recovery of uranium via leaching processes, slated for about 15-16 months, making this a critical path item for project progression.
2. Hydrogeological Studies: The Gap Analysis calls for the reinforcement of baseline datasets established between 2021 and 2025 to align with impending permitting milestones.
3. Community Outreach: Social studies have been deemed sufficient; however, further work is advised to solidify socioeconomic baselines and to implement community programs.
4. Environmental Assessments: Future evaluations will focus on surface water, groundwater, geochemistry, as well as tailings management to plan for closure and rehabilitation at the PFS and FS levels.
5. Infrastructure Readiness: With no infrastructure constraints identified, engineering efforts will move forward seamlessly alongside ongoing technical studies.

The Path Forward

Moving forward entails rigorous planning and execution to reach the pre-feasibility and feasibility stages of the Ivana project. Key timelines include:

• - Q4 2025: Finalization of metallurgical lab selection and initiation of mineral resource updates.
• - Q2 2026: Presentation of preliminary metallurgical results and commencement of extended metallurgical tests.
• - Q3 2026: Completion of PFS engineering processes and final mineral resource reports.
• - Q2 2027: Final metallurgical test results and completion of the Feasibility Study, leading to the submission of an Environmental Impact Assessment by Q3 2027.

This comprehensive Gap Analysis positions Blue Sky Uranium at the forefront of uranium production in Argentina, maximizing potential for both local and international markets. As the company proceeds with its planned initiatives, stakeholder engagement along with environmental considerations will remain paramount.

About Blue Sky Uranium

Blue Sky Uranium Corp. is revered in the uranium exploration sector, focusing on advancing projects while ensuring environmental and community responsibilities. Their flagship project, the Amarillo Grande, is poised to supply substantial uranium production, catering to the growing demands of the Argentine market and beyond.