Uranium Energy News Releases
Uranium Energy Corp Acquires New River Project in Arizona
November 8, 2007
The Property, Explored by Teck Corporation in the 1970s, Has an Historic Resource of 12 Million Pounds of U3O8; Company Also Acquires the Historical Exploration Data
AUSTIN, TX – November 8, 2007 – Uranium Energy Corp announces that it has acquired 100% interest in the New River Uranium Project, located in northern Maricopa County, Arizona, on state lands in an historic mining area. Teck Corporation, on behalf of Univex Mining, previously conducted exploration and development on the property, resulting in an historical resource estimate of 30 million tons having an average grade of 0.02% eU3O8, or approximately 12 million pounds of eU3O8.
Teck performed geologic mapping, drilling and gamma surveys on the property in 1979 for Univex Mining. In addition, limited metallurgical testing was carried out by Lakefield Research of Lakefield, Ohio. Fourteen holes were drilled in the central portion of the property. The drill logs and cuttings indicate that uranium is disseminated within tuffaceous lakebed sediments typically at depths varying from 150 to 230 feet with occurrences as shallow as 65 feet below the surface.
It is anticipated that the project would be amenable to shallow mining methods. The mineralized zone, as indicated by drilling, is approximately 60 feet thick, representing 30 million tons of material with an average grade of 0.02% eU3O8, derived from gamma-ray logs, using a cut-off grade of 0.015%. The historic resource, based on the 14 drill holes conducted in the central portion of the property, is approximately 12 million pounds of eU3O8. The mineralized trends identified by drilling are open-ended.
The foregoing historical resource estimate for New River was completed prior to the implementation of NI 43-101; however, given the quality of the historic work, the Company believes the resource estimate to be relevant. A qualified person has not completed sufficient work to classify the historic mineral resources as current mineral resources, and the estimate should not be relied upon.
The New River Project uranium occurrence is geologically similar to the Anderson Mine uranium deposit in Yavapai County, Arizona. The Anderson Mine, earlier explored by Unocal Corporation, is now owned by privately-held Concentric Energy, and has a reported historic resource estimate of approximately 50 million pounds U3O8. This estimate has not been independently verified and cannot be relied upon.
During 2008, Uranium Energy Corp plans to further investigate the property and confirm the historic data by performing core drilling and gamma surveys in areas that were previously drilled. The Company also plans to explore other areas of the property that demonstrate potential for additional mineralization based on known geologic trends.
The technical information in this news release has been prepared in accordance with the Canadian regulatory requirements set out in national Instrument 43-101 and reviewed by Clyde L. Yancey, P.G., Vice President of Exploration for Uranium Energy Corporation, a qualified person under NI 43-101.
About Uranium Energy Corp
Uranium Energy Corp (AMEX: UEC) is a US-based junior resource company with the objective of becoming a near-term ISR uranium producer in the United States. The Company 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. For more information, please visit www.uraniumenergy.com.
Stock Exchange Information:
Safe Harbor Statement
Except for the statements of historical fact contained herein, the information presented in this news release constitutes “forward-looking statements” as such term is used in applicable United States and Canadian laws. These statements relate to analyses and other information that are based on forecasts of future results, estimates of amounts not yet determinable and assumptions of management. Any statements that express or involve discussions with respect to predictions, expectations, beliefs, plans, projections, objectives, assumptions or future events or performance (often, but not always, using words or phrases such as “expects” or “does not expect”, “is expected”, “anticipates” or “does not anticipate”, “plans, “estimates” or “intends”, or stating that certain actions, events or results “may”, “could”, “would”, “might” or “will” be taken, occur or be achieved) are not statements of historical fact and should be viewed as forward-looking statements. Such forward looking statements involve known and unknown risks, uncertainties and other factors which may cause the actual results, performance or achievements of the Company to be materially different from any future results, performance or achievements expressed or implied by such forward-looking statements. Such risks and other factors include, among others, the actual results of exploration activities, variations in the underlying assumptions associated with the estimation or realization of mineral resources, the availability of capital to fund programs and the resulting dilution caused by the raising of capital through the sale of shares, accidents, labour disputes and other risks of the mining industry including, without limitation, those associated with the environment, delays in obtaining governmental approvals, permits or financing or in the completion of development or construction activities, title disputes or claims limitations on insurance coverage. Although the Company has attempted to identify important factors that could cause actual actions, events or results to differ materially from those described in forward-looking statements, there may be other factors that cause actions, events or results not to be as anticipated, estimated or intended. There can be no assurance that such statements will prove to be accurate as actual results and future events could differ materially from those anticipated in such statements. 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. Accordingly, readers should not place undue reliance on forward-looking statements contained in this news release and in any document referred to in this news release. Forward looking statements are made based on management’s beliefs, estimates and opinions on the date the statements are made and the Company undertakes no obligation to update forward-looking statements if these beliefs, estimates and opinions or other circumstances should change, except as required by applicable law. Such forward-looking statements reflect our current views with respect to future events and are subject to certain risks, uncertainties and assumptions, including, the risks and uncertainties outlined in our most recent financial statements and reports and registration statement filed with the United States Securities and Exchange Commission (the "SEC") (available at www.sec.gov) and with Canadian securities administrators (available at www.sedar.com). 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 SEC. 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. Any statements concerning historical mineral resource estimates should be viewed as forward-looking statements to the extent that they involve estimates of the mineralization that will be encountered if the property is developed. Any historical mineral resources referred to by the Company in this news release have not been estimated in accordance with the definition standards on mineral resources of the Canadian Institute of Mining, Metallurgy and Petroleum referred to in National Instrument 43-101, commonly referred to as “NI 43-101”. As a reporting issuer in Canada, we are required by Canadian law to provide disclosure in accordance with NI 43-101. U.S. reporting requirements for disclosure of mineral properties are governed by the SEC Industry Guide 7. NI 43-101 and Guide 7 standards are substantially different, however Guide 7 does allow the disclosure of mineral resources where required to be disclosed by foreign law.