======================================================================
Kilgore Acquires Extensive Data Base
======================================================================
Kilgore Minerals Ltd. (TSX-V: KAU) is pleased to announce that it has
acquired an extensive data base on its wholly owned Mountain West
Property in Elko County, Nevada. The data was acquired from Pathfinder
Mines Corporation, former owner and operator of the property. The
package was acquired for an initial cash payment, with a further cash
payment to be made when and if Kilgore receives a Nevada Mine Permit
for any property in the Mountain City Nev-Idaho 15' quad sheet. The
Purchase Agreement also included the grant of a Right of First Offer to
UG USA, Inc., concurrent with the signing of the Purchase Agreement,
under which Kilgore has entered into an Agreement for the Sale of
Uranium Concentrates with UG USA, Inc. The Right of First Offer applies
to the first 1,000,000 pounds of uranium concentrate production from
the Mountain West Property, at a 1% discount to the prevailing spot
price of uranium. Pathfinder and UG USA are affiliates of Areva.
The data documents exploration activities from 1967 to 1983 during
which period 359 drill holes were completed. Work in the last few years
was essentially assessment work. In 1977, Pathfinder calculated a total
"geological reserves" of 333,600 tons averaging 0.178% eU3O8* or
1,189,000 pounds eU3O8*. Open pit "indicated reserves" were computed to
be 303,600 tons at an average grade of 0.153% eU3O8* or 927,400 pounds
eU3O8* and an additional open pit "inferred reserve" of 35,000 tons at
a grade of 0.14% eU3O8* or 98,000 pounds eU3O8*. These are historical
estimates, and as a qualified person has not done sufficient work to
classify the historical estimates as current mineral resources, Kilgore
is not treating the historical estimates as current mineral resources
as defined in NI 43-101, and they should therefore not be relied upon.
The work was completed by competent and experienced operators, and
management of Kilgore considers the work and conclusions relevant to
the evaluation of the project. Pathfinder concluded that there was
significant potential for the discovery of addition uranium
mineralization.
* The denotation "eU3O8*" means U3O8 assay as determined by the
extrapolation of radioactivity in the sample to the actual uranium
content. The actual uranium content (usually determined by chemical
assay) can be higher or lower than the "e" uranium value if the deposit
is out of equilibrium. This is often the case with relatively young
mineralization such as the mineralization at the Mountain West
property. Preliminary equilibrium work by Pathfinder suggested that the
actual, or chemical, uranium values are 30% higher than the values as
determined by the probe, or "e" values.
The acquisition of this data base is an important step in advancing
this project. Management believes that the identified resources are
significant and that there is excellent potential to discover and
develop additional uranium resources on the property. Accordingly,
permitting of a comprehensive program of confirmation, infill and
exploratory drilling on the property has been initiated.
Norman Burmeister, P.Eng. is the qualified person responsible for the
technical information appearing in this news release.
ON BEHALF OF THE BOARD
"NORMAN BURMEISTER"
Norman Burmeister, President & CEO
ABOUT KILGORE MINERALS
Kilgore Minerals is engaged in the acquisition, exploration and
development of natural resource properties. The company holds interests
in 22 uranium properties and three gold properties, all of which are
located in the United States. For further information please visit our
website at www.kilgoregold.com.
THE TSX VENTURE EXCHANGE DOES NOT ACCEPT RESPONSIBILITY FOR THE
ADEQUACY OR ACCURACY OF THIS NEWS RELEASE.
======================================================================
Copyright (c) 2007 KILGORE MINERALS LTD. (KAU) All rights reserved.
For more information visit our website at http://www.kilgoregold.com/
or send mailto:info@kilgoreminerals.com
======================================================================
.
![]()