Uranium Energy News Releases
Uranium Energy Corp to Acquire Additional Past-Producing Uranium and Vanadium Mines on the Colorado Plateau
Acquisition Expands Company’s Holdings Contiguous To US Department of Energy Uranium Reserve
AUSTIN, TX – April 10, 2007 – Uranium Energy Corp announces that it has entered into an agreement to acquire approximately 5,000 acres in the Uravan Mineral Belt of the Colorado Plateau, in the states of Colorado and Utah. This acquisition compliments the Company’s existing properties in this significant uranium- and vanadium-producing region.
The Uravan Mineral Belt is the oldest uranium mining area in the United States. This geological trend arcs across the west central Colorado counties of Mesa, Montrose and San Miguel, into northeastern Utah. Both uranium ores averaging 0.25% and vanadium ores averaging 1.7% are produced in the region from sandstone deposits, primarily in the Salt Wash Member of the Morrison Formation.
This property was the subject of significant uranium exploration, and includes the sites of several past-producing uranium and vanadium mines. Some of the formerly-producing uranium mines within the property boundary include the Sandy, Babe Ruth, Bald Eagle, Fawn Springs #5, and Teapot Dome mines. The aggregate production from these mines was over 400,000 pounds of uranium, and nearly 2.4 million pounds of vanadium. Grades of production in each case were close to the average for the mineral belt.
The sites of the historical production are in close proximity to Uranium Energy Corp’s existing properties, which are also the sites of historically-producing mines, and share mineral trends with those former mines. For example, the Babe Ruth Mine is 4 miles east of the Company’s Raven Mine Project in Colorado. One area of the property is also contiguous to Cotter Corporation’s large open pit and decline located on the US Department of Energy Uranium Reserve.
A preliminary geological field assessment of all the properties was conducted last week by Company geologists, and was positive. The potential for development of uranium and vanadium resources has been indicated. Based on the assessment, certain areas have been given exploration priority. The Company is also pursuing the acquisition of additional uranium production and exploration data covering the property, with data for certain target areas being prioritized. It is anticipated that the historic uranium resource estimates will be available upon closing, which is expected to occur within 30 days. Drill permitting will be initiated immediately following the closing, with a view to carrying out delineation and step-out drilling.
About Uranium Energy Corp
Uranium Energy Corp (URME: OTCBB) is a US-based junior resource company with the objective of becoming a near-term ISR uranium producer in the United States. The Company is developing its advanced-stage Goliad Project in South Texas, with ISR uranium production projected to begin in 2009. Uranium Energy Corp controls one of the largest historical uranium exploration and development databases in the US. Through the use of these databases, the Company has acquired advanced uranium properties throughout the southwestern US. The operational management is comprised of pre-eminent uranium mining and exploration professionals, whose collective experience in the uranium mining industry gives the Company ongoing uranium mine-finding and uranium mine development expertise. Uranium Energy Corp is well positioned to capitalize on the current alternative energy boom. For more information, please visit www.uraniumenergy.com.
Stock Exchange Information:
OTCBB Symbol: URME
Frankfurt Stock Exchange Symbol: U6Z
Berlin Stock Exchange Symbol: U6Z
Safe Harbor Statement
This news release contains forward-looking statements within the meaning of Section 27A of the United States Securities Act of 1933, as amended, and Section 21E of the United States Securities and Exchange Act of 1934, as amended. Statements in this news release, which are not purely historical, are forward-looking statements and include any statements regarding beliefs, plans, expectations or intentions regarding the future. These statements involve risks and uncertainties which could cause actual results to differ materially from those in the forward-looking statements contained herein. Such risks and uncertainties may include, but are not limited to, the impact of competitive products, the ability to meet customer demand, the ability to manage growth, acquisitions of technology, equipment or human resources, the effect of economic and business conditions, the ability to attract and retain skilled personnel and factors outside the control of the Company. These forward-looking statements are made as of the date of this news release, and the Company assumes no obligation to update the forward-looking statements or to update the reasons why actual results could differ from those projected in the forward-looking statements. Although the Company believes that the beliefs, plans, expectations and intentions contained in this news release are reasonable, there can be no assurance those beliefs, plans, expectations or intentions will prove to be accurate. Investors should consider all of the information set forth herein and should also refer to the risk factors disclosed in the Company’s periodic reports filed from time-to-time with the United States Securities and Exchange Commission. This news release shall not constitute an offer to sell or the solicitation of an offer to buy nor shall there be any sale of these securities in any jurisdiction in which such offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of any such jurisdiction.