PRZOOM - /newswire/ -
San Diego, CA, United States, 2007/02/26 - ESO Uranium Corp. (ESO:TSX.V), The “Company”, has made exploration expenditures to date amounting to over CDN $5.25 million on its uranium properties in the Athabasca Basin, Saskatchewan.
A further $ 6 million is budgeted for continuing programmes into 2007. These will include the intensive drilling of near-surface targets at Cluff Lake indicated by the first phase exploration results and follow-up ground and airborne surveys that have been started on the 100% owned Hook claims.
The Company has been carrying out systematic exploration of its uranium projects, including extensive airborne surveys and follow-up surface geophysical surveys, supported by geochemical sampling of boulders and radon surveys in selected areas. Core drilling was carried out on the Cluff Lake area claims under option from Logan Resources Ltd (LGR:TSX.V) that returned grades up to 0.82% (16.4 lbs/s.ton) uranium oxide over 1.0 meters of drill core interval near a historical drill hole that recovered a drill core interval of 0.85% (17 lbs/s.ton) uranium oxide over 2.5 meters (See news release of date 2nd May 2006).
ESO has engaged MPH Consulting LTD, an independent firm with considerable experience in Basin, to complete NI 43 101 compliant reports for all of its uranium properties in the Athabasca Basin, Saskatchewan. The reports will cover the three blocks of properties located in the West Basin, the South Central Basin and the East Athabasca Basin:
• The Cluff Lake area in the West Basin is the most advanced exploration block with over 169,000 acres adjoining the mining lease of the former Cluff Lake producer owned by Areva (past production of more than 63 million pounds of uranium oxide and significant gold recovery which would have a gross value today of over $4.5 billion). The properties include those under option from Logan Resources Ltd (LGR:TSX.V), International KRL Resources Corp. (IRK:TSX.V), and Hathor Exploration Ltd (HAT:TSX.V), and also the 77,000 acres of 100% owned claims of ESO, in the Cluff Lake area;
• The 100% owned Hook and Mandin properties in the south central part of the Basin include nearly 192,000 acres covering northern extensions of geological, geochemical and geophysical targets on the Areva, Cameco, UEM Inc and Purepoint Uranium Group (PTU:TSX.V) claims that are under active investigation;
• The 100% owned Cree Project on the East side of the Basin is comprised of approximately 625,000 acres paralleling the geological corridor that hosts almost 30% of total world uranium production from the highest grade uranium deposits in the World. Areva, the world’s most important uranium mining and processing company, is actively exploring claims adjoining the southeast flank of the project.
ESO is well positioned with three levels of exploration activity in its distinct and highly prospective areas of the Athabasca Basin.
• Drilling is planned for the advanced Cluff Lake properties of Hathor and International KRL in the first quarter of 2007. The drilling will be following up on shallow (15 – 150 m depth) uranium and gold mineralization previously located, and on geochemical and geophysical targets related to fields of highly radioactive boulders (up to 55% uranium oxide - news release of 14th September 2006) identified in earlier exploration reports.
• Drilling is also planned of conductors within possible alteration targets identified on the Hook Lake claims covering several structures including the northern extension of the uraniferous Derkson Structure;
• Phase one work in the Cree Project areas, including airborne geophysical surveys (now underway) and ground surveys will be carried out by MPH Consulting Ltd. This work will generate data for drill target definition. Evaluation of exploration reports filed in the 70’s and 80’s by competent explorers such as the former Uranerz have already enabled ESO to identify several favourable geochemical and geophysical domains that have been selected for follow-up work.
The Athabasca Basin currently produces almost 30% of the world’s uranium supply from the world’s richest mines. The geopolitical setting of the Province of Saskatchewan is recognized to be the best jurisdiction in the World for uranium exploration and mine development. This is the result of the long term experience of the Province with the Nuclear Industry.
Government, industry and other stakeholders have diligently taken the opportunity to educate each other to understand the real nature and benefits of the business. The active uranium mines employ a high percentage of Northern Saskatchewan residents in their labour force and this population group has also been involved during each of the previous uranium exploration booms. There is a substantial and informed workforce available within the Province for the exploration and development of uranium projects.
The technical support from government and provincial organizations such as Saskatchewan Research Council affords key scientific infrastructure to assist industry in the difficult task of locating the next generation of very valuable resources in the Athabasca Basin.
For reference, the current spot price of uranium is US$85 per pound of U3O8; An assay reported as 1.0% of U3O8 is equal to 20 pounds of uranium oxide per short ton – the conversion of percent metal or metal oxide from percent to pounds per short ton is done by multiplying the percent value by 20.
On behalf of the Board of Directors of ESO Uranium Corp.
Vice President, Exploration
The ESO Uranium Corp. website Esouranium.com is operational. Please bookmark this site for future reference and ongoing updated information.
The Toronto Venture Exchange has not reviewed nor accepted responsibility for the adequacy or accuracy of the contents of this news release which has been prepared by management. Statements contained in this news release that are not historical facts are forward looking statements as that term is defined in the private securities litigation reform act of 1995. Such forward looking statements are subject to risks and uncertainties which could cause actual results to differ materially from estimated results. Such risks and uncertainties are detailed in the Company’s filing with the Securities and Exchange Commission.