05 Dec 2011:
Kirrin Postpones Private Placement...
22 Nov 2011:
2011 Exploration Results Advance Grevet REE Property...

The eastern margin of the Athabasca Basin in Saskatchewan, Canada, is home to the most productive and highest grade uranium mines in the world, with roughly 23% of global uranium production coming from this area. Kirrin's target at Key Lake SW is basement-hosted unconformity-type uranium, similar to Cameco's basement-hosted Millennium deposit, located 50 km to the north-northeast, the Phoenix Discovery, located 60 km northeast, and the former Key Lake Mine, located 35 km east-northeast. The review of the technical disclosures regarding the recent Phoenix Discovery has revealed many geological similarities between Phoenix and Key Lake SW.

The Key Lake SW property is at the southwest end of the geologically favourable trend that hosts numerous uranium mines and important deposits. It lies just south of the currently estimated margin of the Athabasca Basin. Interpretation of Kirrin's recent airborne survey data indicates that, based on a marked change in the magnetic patterns, the Wollaston-Mudjatik domains boundary may be a few kilometres west from where it is shown on published government geological maps and thus Wollaston Domain may underlie the eastern portion of the Key Lake SW property.

Regolith encountered in old drill holes at Key Lake SW indicates the Athabasca Supergroup-Wollaston Group basement unconformity was not far above the present ground surface within the property. Discovery of several 'Ingress style' uranium deposits, such as Phoenix (up to 117 m below the unconformity), Millennium (up to 100 m below the unconformity), Eagle Point (up to 450 m below the unconformity) and other deposits within the Athabasca Basin, indicates that important uranium deposits can occur from several tens of metres up to a few hundred metres below the unconformity. Hence, there is potential for important basement-hosted uranium deposits to exist within the Key Lake SW property.

Features at the Phoenix basement-hosted uranium discovery which are similar to the geological setting at the Key Lake SW property include the geological composition of the host basement rocks, the spatial association with the projected regional P2 fault, and the localization of the Phoenix uranium prospect on cross-cutting faults. Gracie (2009) has postulated that the Key Lake SW property is along the projected extension of both the P2 fault, which extends southerly from the McArthur River mine, and the Key Lake fault, which extends southwesterly from the former Key Lake mine.

Interpretation of Kirrin's 1,076 line-kilometre magnetic-electromagnetic (EM) airborne survey flown in April 2010 revealed 19 anomalies for follow-up, 7 of which are first priority. Kirrin next flew a 1,531 line-kilometre helicopter-borne time-domain electromagnetic geophysical survey in February 2011. Interpretation of the resulting data and its integration with that from 2010 identified 35 geophysical targets, with 13 rated as "High Priority", 5 rated as "Moderate Priority" and 17 rated as "Low Priority".

Kirrin staked an additional 4,185 ha adjacent to the eastern perimeter of Key Lake SW in September 2011. The staked area is situated in the Wollaston geological domain and is 50 km south of the Phoenix Discovery and 25 km southwest of the former Key Lake Mine. Exploration in the immediate area of the staking is very active.

Highway 914 passes less than 2 km from the eastern edge of the property.

Key Lake SW is sometimes referred to as the Majesta property in the documentation available on this web site. Readers are encouraged to review the Technical Report prepared on Key Lake SW by Andrew J. Gracie, Consulting Geoscientist.

The Key Lake SW property is located immediately east of Crown Reserve 819, some 230 km NNW of La Ronge and 445 km north of Prince Albert in the Province of Saskatchewan, Canada. The centre of the property is very approximately at west latitude 570 05' and north longitude 1060 15'. The northern perimeter is adjacent to the Orchid Lake property held by Forum Uranium and the Riverlake property held by Triex Minerals. The southeastern perimeter is adjacent to the Key Lake Road property held by Forum Uranium. The northeast tip of the property is about 24 km southwest of the former Key Lake Gaertner and Deilmann uranium-nickel ore bodies. Highway 914, which extends from Lac La Ronge to Key Lake, passes less than 2 km from the eastern edge of the property. Primary access is via fixed-wing aircraft or helicopter available from Missinipe (approx. 195 km south) or La Ronge.

The area encompassed by Key Lake SW was subject to several phases of exploration between 1969 and 2009, including airborne magnetic-radiometric-VLF and INPUT EM surveys, as well as limited follow-up geology, sampling and drilling. Follow-up prospecting during 1969 to 1984 resulted in anomalous uranium in outcrop ranging up to 0.26% U3O8. Prior drilling includes 6 diamond drill holes near the central part of the property, 7 diamond drill holes in the easternmost part of the property, and 48 overburden holes in the Seager to Jaschinsky lakes area. Drilling intersected extreme kaolinization and regolith in one hole and in two other holes there is possible regolith that indicates the proximity of the Athabasca Group basal unconformity.

In 2008, Majesta Resources Inc. conducted a helicopter-assisted lake water and sediment sampling program at some 180 lakes. The samples were tested for radon and the lake sediments were analyzed by multi-element ICP for uranium and a suite of other elements. Results uncluded (a) radon up to 14.3 picocuries/L in lake water and (b) radium up to 27.6 picocuries/L and uranium up to 54 parts per million in lake sediment.

The Key Lake SW property comprises ten contiguous mineral claims that encompass 42,806 ha. (105,774 acres).

Purchase Agreement
Kirrin may earn a 70% interest in the Key Lake SW property by spending $3,000,000 on exploration by December 31, 2015, making payments to Majesta Resources Inc. of $268,000 by December 31, 2013, and issuing 350,000 shares to Majesta by June 30, 2010. Upon Kirrin fulfilling its earn-in obligations, the parties will form a 70:30 joint venture, with each partner contributing its pro-rata share of future expenditures, or Majesta may elect to convert to a 2.25% Net Smelter Royalty ("NSR"). Kirrin shall have the right to acquire up to 1.25% of the 2.25% NSR for consideration of $1.0 million per 1.0% NSR. If either party dilutes its interest to less than 10% in the joint venture, its interest shall be converted to a NSR of 0.75%.

The Key Lake SW property is underlain by Aphebian amphibole, pelitic-psammitic gneisses, iron formation and leucogranite. The Aphebian rocks lie on Archean felsic gneisses. The boundary between the Mudjatik and Wollaston Domains passes through the eastern part of the property. Most of the property lies west of this line. Although the sandstone does not cover any of the claims now, the assumption that it once did is reasonable. The unconformity uranium deposit model or a derivative should apply to all of the claims in the property. Basement hosted uranium mineralization discovered at Millennium, southwest of the McArthur mine and new zones in the Collins Bay Eagle mine emphasize the potential to discover a similar style of uranium mineralization on the property.

Exploration Program
Kirrin commenced exploration in April 2010 with a 1,076 line-kilometre magnetic-electromagnetic (EM) airborne survey flown at 400 metre spacing. This utilised Fugro's fixed-wing Tempest(r) Digital Time Domain Electromagnetic (DTDEM) system which provides maximum quantitative discrimination of relatively near surface (upper 200 to 300 m) conductivity variations.

Airborne magnetic surveys map the variation in magnetic susceptibility, which predominantly results from changes in the percentage of magnetite and some other magnetic minerals in the bedrock. The magnetic variations thus allow the mapping of differing lithologies, faults, potential alteration zones, etc. DTDEM surveys map the three-dimensional variation in conductivity that is caused by one or more of mineralogy (e.g., conductive minerals such as graphite or sulphides), intensity of alteration, water content or changes in salinity. The correlation of the magnetic responses with the EM conductive trends enables the indirect geological mapping of bedrock under overburden and possible Athabasca Basin sandstone outliers. As well, the airborne geophysical data can identify anomalies and potential geological targets that may be spatially associated with uranium deposits or alteration zones near such deposits.

Condor Consulting Inc.'s subsequent evaluation and interpretation identified 7 first priority, 5 second priority and 7 third priority targets that warranted follow-up assessment. Some of these anomalies correlate with geological, geophysical or geochemical anomalies identified from prior exploration, whereas others are newly identified. All are prospective for ingress style (i.e., basement-hosted) uranium deposits along the geologically favourable Wollaston Group basement trend.

Kirrin next flew, in February 2011, a 1,531 line-kilometre helicopter-borne time-domain electromagnetic geophysical survey at 150 metre spacing using Geotech Ltd.'s Versatile Time-Domain Electromagnetic (VTEM Plus) geophysical system. Savaria Geophysics Inc. (Savaria) interpreted the resulting data and integrated it with that from 2010. The interpretation by Savaria identified 35 geophysical targets at KLSW, with 13 rated as "High Priority", 5 rated as "Moderate Priority" and 17 rated as "Low Priority". Potentially of greater importance, based on a marked change in the magnetic patterns, the Wollaston-Mudjatik domains boundary may actually be a few kilometres west from where it is shown on published government geological maps, and thus Wollaston Domain may underlie the eastern portion of the KLSW property. Finally, the magnetic and airborne EM data indicates there are outliers of geologically favourable Wollaston Domain volcanic-sedimentary rocks within the eastern part of the Mudjatik Domain which underlies the central and western parts of the KLSW property. These outliers include several linear belts and zones of probable graphitic lithology.

OAR-Rock Geoscience Ltd. completed a GIS compilation of historic exploration data from publicly available sources for the Key Lake SW property as well as the interpreted geophysical data provided by Savaria. Its review of the Savaria targets in the context of compiled historic exploration data concluded there are 5 geophysical targets rated "First Priority" and at least another 5 rated "Second Priority".

Savaria recommended that follow-up ground geophysical surveys, plus other supplemental exploration be conducted at, as a minimum, the high and moderate priority targets. Ground follow-up field work commenced in August and was completed in September 2011. The conclusions from that program are expected in November.

Note 1: Magnetic surveys, structural geology, drill and surface geochemistry compiled over the eastern portion of the Athabasca Basin indicate that uranium enrichment and deposits are associated with conductive horizons, located within or along magnetic low troughs, which typically represent graphitic and sometimes magnetite rich iron formations and associated contacts. These horizons are flanked or sandwiched between magnetic highs, which represent underlying Archean type granitoid domes or arches. The reduced magnetism is caused by regional faults, which provide control and form traps for uranium enrichment. The graphitic rich pelite horizons in the basement rock are excellent conductors and host uranium mineralization. They act as markers as they can be located with electromagnetic surveys and targeted with drill holes.

To 12/2010:   $239,000
2011 budget:   $800,000
2012 budget:   $900,000

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