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Campbell conducted a NI-43-101 investigation on Mesteña Uranium LLC (MULLCs) uranium recovery and exploration operations located in south Texas. The report is to be used in a business transaction being considered by MULLC. By the late 1990s, extensive uranium mineralization had been discovered in roll front deposits in Tertiary sediments typical of previous south Texas uranium projects.

Historical Uranium Deposits (after Ambrose, 2008)

MULLC re-confirmed uranium mineralization indicated by historical drilling activities conducted by Chevron, Total, Cogema, and Uranium Resources Inc. in sufficient resources to justify the initiation of a uranium recovery program and associated plant design and permitting activities in the Alta Mesa area. 

Project development commenced August 2004; plant construction commenced January 2005; commercial operations began on October 28, 2005; first shipment of yellowcake product was delivered in January 2006. The Alta Mesa project has a design annual production capacity of one million pounds of
yellowcake (424 tons U). As of 2008, MULLC has produced approximately 2.3 million pounds of yellowcake.

Exploration drilling continued in the Alta Mesa area and as of September 2008, an additional 6.5 million pounds have been identified as indicated resources in the Goliad Formation in the vicinity of the Alta Mesa deposit. In an area designated as Mesteña Grande, northwest of MULLC's Alta Mesa operations, exploration and delineation drilling have identified approximately 10 million pounds of uranium ore as inferred resources in the Oakville Sandstone.

Principal Zones of Mineralization as of the Mid-1980s at Alta Mesa (after Miller, 1994)

MULLC‟s exploration program at both the Alta Mesa operations in Brooks County, Texas, and at the Mesteña Grande project in Jim Hogg County, Texas, have been successful in locating potentially economic uranium resources. To improve the efficiency of the MULLC operations, the following was recommended:

1) conduct detailed geological modeling of the Alta Mesa deposit using information from the experience of past production in the first recent years of production,

2) conduct geological modeling of the mineralization discovered to date in the Mesteña Grande area for purposes of reducing the number of holes required to bracket the ore zone(s),

3) implement comprehensive revision to the software system used to date to improve data accessibility and usability,

4) conduct detailed investigations concerning the injection well systems presently in use for the purpose of increasing efficiency,

5) obtain laboratory analyses of samples to obtain additional information on the density of the ore,

6) institute an improved security program at Alta Mesa plant, and

7) explore present staffing assignments with a view toward providing depth and back-up to the present complement of professional and technical staffing.

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