Sparton Resources has received approval from the China National Nuclear Corporation (CNNC) Comprehensive Planning Department to proceed with advanced coal ash leaching tests.

The tests are expected to recover small amounts of uranium oxide and CNNC has agreed to purchase any uranium oxide produced from these tests, as well as any future U3O8 production from the program at reasonable prices.

These prices will reflect appropriate market conditions and will be negotiated between CNNC and the operating company organized for commercialization of production if the current tests are successful and lead to a production decision by the partners.

Sparton says this approval and accreditation for the program by the senior department of CNNC plus the purchase confirmation at realistic prices are milestone accomplishments for the joint Sparton-ARCN non conventional uranium recovery program in China which began just over a year ago.

Samples of fly ash from the Xiaolongtang power station in Yunnan have been sent to the Number 5 Institute in Beijing and the tests are being conducted under the process design supervision of Lyntek Inc, Sparton's process engineering consultants. Once these are completed, larger scale tests will be conducted at the institute's licensed testing facility in central Yunnan.

The sampling program in China continues to target new areas of high uranium waste ash, and the company is also actively evaluating new opportunities for non-conventional uranium recovery programs in a number of other countries.