FOR IMMEDIATE RELEASE
October 29, 2007 – Toronto – Pele Mountain Resources Inc. (TSX Venture: GEM) ("Pele" or the "Company") announced
today that drilling has resumed at its Elliot Lake Uranium Mine Project
in Northern Ontario. Pele recently received a positive scoping
study (the “Scoping Study”)
from Scott Wilson Roscoe Postle Associates (“Scott Wilson RPA”) for
its 100-percent owned project at Elliot Lake..
The 26-hole, 5,000-metre in-fill drilling
program will focus on upgrading areas of inferred resources to the
indicated classification in the Main Conglomerate Bed
(“MCB”). All 26 drill holes will extend through
to the basement rocks to test for the presence of the Basal
Conglomerate Bed (“BCB”), roughly 15 metres below
the MCB, where higher grade, remobilized mineralization has been found
near the Unconformity between the volcanic basement rocks and the
overlying sediments.
The project hosts NI 43-101 compliant U3O8
resources of 5.86 million tonnes grading 0.051-percent totalling 6.4
million pounds “indicated” and 37.26 million tonnes grading
0.044-percent totalling 36.1 million pounds “inferred”,
with the potential for significant upgrade and expansion. All
resources defined to-date are hosted in the MCB. Wide-spaced
historic drilling has demonstrated that the deposit extends down-plunge
and to the east, far beyond the boundaries of the defined
resource. The deposit outcrops at surface along a 6-kilometre
horizon and has been intersected up to 3.8 kilometres
down dip.
Pele is pursuing opportunities to increase
projected revenues, reduce projected costs, and advance the Elliot Lake
project to the licensing and feasibility stages, following
recommendations provided by Scott Wilson RPA in the Scoping
Study.. Highlights of the Scoping Study are included in
Pele’s press release dated October 4, 2007. The full
Scoping Study is available on the Pele website at www.pelemountain.com.
About Pele Mountain Resources
Pele Mountain Resources is a Canadian energy and mineral
exploration company focused on advancing its 100-percent owned Elliot
Lake Uranium Mine Project toward objectives of development and
production. The project hosts substantial NI 43-101 compliant U3O8
resources (6.4 million pounds “indicated” and 36.1 million
pounds “inferred”) and has received a positive Scoping
Study, providing the basis for an economically-viable,
environmentally-compliant uranium mining and processing operation.1
The Elliot Lake camp was once known as "the uranium capital of the
world" and has produced more than 270 million pounds of U3O8
from vast, stratigraphically-bound deposits.
Pele also holds a diverse portfolio of gold,
diamond, and base metal projects located across Northern Ontario.
Through project generation, strategic partnerships, and mineral
discovery, Pele provides shareholders with exposure and leverage to the
growing global demand for natural resources. Pele stock is listed
on the TSX Venture Exchange under the symbol “GEM”.
For further information please contact Al
Shefsky, President, at (416) 368-7224, or visit the Pele website at www.pelemountain.com.
- The
Preliminary Assessment is preliminary in nature and includes both
indicated and inferred mineral resources.. Inferred mineral
resources are considered too speculative geologically to have the
economic considerations applied to them that would enable them to
be categorized as mineral reserves. There is no certainty
that the preliminary assessment will be realized.
The TSX-V has not reviewed and does not accept
responsibility for the adequacy or accuracy of this release. Some of the statements contained in this release are
forward-looking statements, such as estimates and statements that
describe Pele's future plans, objectives or goals, including words to
the effect that Pele or management expects a stated condition or result
to occur. Since forward-looking statements address future events and
conditions, by their very nature, they involve inherent risks and
uncertainties. Actual results in each case could differ materially from
those currently anticipated in such statements. The economic viability
of the 43-101 mineral resource at Pele's Elliot Lake Project has not
yet been demonstrated by a preliminary feasibility study.