Uranium Energy News Releases
Uranium Energy Corp Expands Land Position in Arizona with Acquisition of Coyote Ranch Project
January 22, 2008
Coyote Ranch Project Along the Historic de Baca Uranium Trend is the Location of Historic High-Grade Uranium Discovery by Occidental Minerals
AUSTIN, TX – January 22, 2008 – Uranium Energy Corp announces that it has acquired the Coyote Ranch Project in Arizona. This strategically situated project is comprised of approximately 1,120 acres of state leases located in eastern Apache County. The project compliments the Company’s recently acquired Red Basin Project in neighboring Catron County, New Mexico (For more information about this project, please see the Company’s news release dated December 5, 2007). The acquisition of this project was driven by the Company’s evaluation of its Halterman Database (For more information about this database, please see the Company’s news release dated January 9, 2007).
The Coyote Ranch Project covers an area of relatively shallow, high-grade uranium mineralization drilled by Occidental Minerals in the Tertiary de Baca Formation, which is immediately above the contact with the Cretaceous Mesaverde Group. The Coyote Ranch Project is approximately 10 miles east-northeast of Springerville, Arizona, and five miles west of the New Mexico state line. The Company’s Red Basin Project is approximately 30 miles to the northeast of the Coyote Ranch Project, and within the same geologic formation.
The Company possesses 57 electric logs drilled and recorded by Occidental Minerals in 1981, showing standard geophysical measurements of resistance and spontaneous potential, both of which can determine rock characteristics. Calibrated gamma-ray results are also available and were analyzed. Of the 57 logs, 6 were barren, or showed no anomalous gamma activity, 37 showed anomalous gamma activity, and 14 showed high-grade uranium mineralization as evidenced by gamma-ray values of 400 to approximately 3,500 counts per second. The mineralization occurs at depths between 100 and 200 feet, and appears to be below the water table and therefore possibly amenable to ISR mining, however verification of the groundwater saturation extent will be addressed by the Company’s drilling programs.
The project is positioned on the margin of two physiographic provinces, the Colorado Plateau and Basin and Range Province. The Tertiary age de Baca formation outcrops along this provincial margin trend from just north of Magdalena, New Mexico, to its western most extent, just west of Coyote Ranch, or an approximate 130-mile trend in total. This trend was the subject of intense exploration activities during the last uranium cycle from companies such as Kerr-McGee, Pioneer Nuclear, Gulf Minerals, Occidental Minerals, Energy Reserves Group, and United Nuclear Corp/Teton.
Historic production grades, as reported by the New Mexico Bureau of Mines and Mineral Resources in the Arizona-New Mexico de Baca trend average 0.17% U3O8. The disclosure related to the historic production grades has not been independently verified. The statement is considered relevant, but cannot be relied upon without verification.
The Company’s evaluation of this prospective uranium play is ongoing, and it plans to increase its land position both in Arizona and New Mexico. The Company will initiate a mapping and sampling program on this project within the coming year.
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.
Contact North America: Investor Relations, Uranium Energy Corp
Stock Exchange Information:
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 there 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.