UEX Corp

Published : January 15th, 2008

UEX/AREVA Launch Largest Drill Program to Date at Shea Creek with Four Drills

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Keywords :   Canada | Japan | K Street | Uranium |

Attention Business Editors:

UEX/AREVA Launch Largest Drill Program to Date at Shea Creek with Four Drills

     Trading Symbol: UEX-TSX
     VANCOUVER, Jan. 15 /CNW/ - UEX Corporation ("UEX") is pleased to announce
that AREVA Group subsidiary AREVA Resources Canada Inc. ("AREVA") has
commenced the 2008 drilling program at the Shea Creek Uranium Project ("Shea
Creek"), which is located in the western Athabasca Basin of northern
Saskatchewan, Canada.
     Shea Creek hosts the Kianna, Anne, and Colette Deposits and is one of the
ten 49%-owned Western Athabasca Uranium Projects joint-ventured with AREVA,
the operator.
     The planned minimum budget of $20.3 million for 2008 at Shea Creek
includes $10.0 million for development and $10.3 million for exploration.
Expenditures under the joint venture are funded 49% by UEX and 51% by AREVA.
     2008 Drilling Program at Shea Creek
     Four drill rigs will focus on the three Shea Creek deposits and the areas
between and beyond them starting on January 14, 2008 (To view a map of the
initial rig locations, visit UEX's website at www.uex-corporation.com).
     The first drill will begin drilling 150 metres south of the Kianna
Deposit from pilot hole SHE-123. The last hole completed, SHE-123-2,
intersected high-grade basement-hosted mineralization grading 2.80% U3O8 over
4.9 metres (previously announced November 14, 2007). It is believed that the
mineralization is part of a large basement structure seen further at depth and
is parallel to the main mineralizing structure seen at the Kianna Deposit
itself, 150 metres to the north. The goal is to continue testing this
structure for additional mineralization.
     A second drill will concentrate on expanding the southern portion of the
Anne Deposit that still remains open in all directions. Directional drilling
will start from pilot hole SHE-125 (drilled in 2007) with the goal of
connecting the mineralization seen at the Anne Deposit to the SHE-105 series
of mineralized holes (drilled in 2000) located 100 metres along strike to the
southeast.
     A third drill will revisit the southern portion of the Colette Deposit.
The drilling programs at both the Anne and Colette Deposits were halted due to
the discovery of the Kianna Deposit in July 2005.
     Basement-hosted mineralization was intersected for the first time in the
southern part of the Colette Deposit in the fall of 2004. All other
mineralized intercepts had previously been characterized by unconformity-type
mineralization, opening the possibility that the high-grade basement-hosted
mineralization as discovered at Anne and Kianna is also present at Colette.
This part of the program will follow up on the last drilling fence at Colette
where hole SHE-111-5 intersected 0.38% U3O8 over 8.4 metres directly below the
unconformity and 0.44% U3O8 over 22.0 metres in the basement. Currently, this
intersection remains open and the next drill fence is 250 metres further to
the southeast.
     A fourth drill will investigate the Saskatoon Lake Conductor
1.5�kilometres south of the Anne Deposit where drill hole SHE-2 (drilled in
the early 1990's) displayed hydrothermal alteration in the sandstones
(dravite, drusy quartz, black organic material, tilted blocks) and basement. A
flat-lying and brecciated shear zone was also intersected from 706 to
706.7�metres, grading 0.73% U3O8.
     Four follow-up drill holes are planned to reduce the overall line spacing
from 400 metres to 200 metres immediately north and south of SHE-2. This phase
of drilling will be completed over the winter months; once completed the
fourth rig will be utilized for the 2008 development program leaving three
exploration drills at Shea Creek for the remainder of the year.
     Ground geophysics consisting of an electromagnetic (EM) survey will also
be carried out over the Saskatoon Lake Conductor in the area south of
Saskatoon Lake. A total of 100 line kilometres of grid preparation will be
done to facilitate the EM survey.
     2008 Development Program at Shea Creek
     In 2007 Shea Creek moved from exclusively exploration to include initial
development work totaling approximately $3.3 million. A budget of
$10.0�million is planned for development work in 2008.
     The first phase of development proposed by AREVA is the sinking of one or
two shafts, an exploration drift, with related test mining facilities. Each of
the proposed shafts will have a vertical depth of approximately 950 metres and
an estimated capital cost of $100 million.
     Any shaft sinking must be preceded by the required regulatory process,
the first step of which is the submission to the regulators of a Project
Description. AREVA is currently preparing the Project Description for
submission to the federal and provincial regulatory agencies.
     (For a detailed description of the 2008 development program at Shea
Creek, see UEX News Release of December 5, 2008).
     The technical information in this news release has been compiled and
reviewed by Erwin Koning, P. Geo., AREVA's District Geologist, West Athabasca
Region, a qualified person as defined by National Instrument 43-101.
     About the Kianna Deposit
     At the Kianna Deposit, high-grade uranium mineralization has been
intersected in multiple zones at depths from 662 metres to 922 metres, a
vertical distance of approximately 260 metres - located in sandstone high
above the unconformity, at the unconformity, and below the unconformity in
basement rocks, with unconformity depths ranging from approximately 710 to
760�metres.
     To date, the AREVA-UEX drilling programs from 2004 through to 2007 have
outlined three distinct styles of high-grade uranium mineralization that are
still open in all directions:
     -   Perched sandstone-hosted mineralization found in discrete zones tens
         of metres above the unconformity currently has a defined strike
         length of 80 metres and a width of 60 metres (previously announced
         2005 hole SHE-114-5, 27.4% U3O8 over 8.8 metres, including 58.3%
         U3O8 over 3.5 metres);
     -   Unconformity-type mineralization in close proximity to the
         unconformity has a defined strike length of 200 metres and a width of
         200 metres (previously announced 2006 hole SHE-115-3, grading 12.57%
         U3O8 over 11.9 metres, including 27.35% U3O8 over 4.2 metres);
     -   Basement-hosted mineralization found in zones up to 200 metres below
         the unconformity has outlined a strike length of 200 metres and a
         down-dip extension of 160 metres (previously announced 2005 hole
         SHE-114-11, grading 5.40% U3O8 over 37.7 metres, including 25.46%
         U3O8 over 4.0 metres).
     About the Anne Deposit
     The Anne Deposit is geologically comparable to the Kianna Deposit with
both unconformity and basement mineralization. To date, the unconformity
mineralization at the Anne Deposit has been traced over a strike length of
250�metres and a width of 100 metres and remains open in all directions. With
the recent focus on the Kianna Deposit, little work has been carried out on
the Anne Deposit since the fall of 2004.
     Previous drilling programs have outlined three distinct styles of
high-grade mineralization:
     -   Unconformity-type mineralization in close proximity to the
         unconformity (previous hole SHE-99-2, grading 9.17% U3O8 over
         15.7 metres, including 36.37% U3O8 over 2.5 metres);
     -   Basement-hosted mineralization found in zones up to 35 meters below
         the unconformity: (previous hole SHE-96-3, grading 1.39% U3O8 over
         47.3 meters).
     -   Fracture/fault controlled perched mineralization higher in the
         sandstone column is also prevalent within the Anne area. However,
         intersections can not be correlated between drill holes with the
         current density of drill information
     About the Colette Deposit
     The Colette Deposit has a strike length of 700 metres with similar
geology as the other deposits. Between 1996 and 1998, a drill pattern of 34
drill holes at 100 metre spacing was established with 40 and 80 metre
step-outs. In 1998, detailed drilling (20 metre centres) was carried out on
L92+00N along which a 120 metre "width" of mineralization was outlined by the
end of the 1997 program. Holes have been drilled 25 metres and 50 metres north
and south of this line with success. Mineralization has been intersected on
100�metre spacings in the Colette area and more drilling is required to infill
and expand the resources discovered to date. A trend of unconformity
mineralization is seen along the eastern edge of the conductor or near the
intersection of the conductor with the unconformity as in the Anne area.
     The last drilling campaigns in 2004 and 2005 at Colette focused on the
intersection of basement mineralization, with the first basement
mineralization discovered in 2004, and the expansion of mineralization at the
unconformity. Basement and unconformity mineralization is still open in all
directions with the best grades observed on the southern-most fence. The next
drill fence is located another 250 metres southeast along strike.
     Like the other two deposits at Shea Creek, Colette has outlined three
distinct styles of high-grade mineralization:
     -   Unconformity-type has been recognized as the only mineralizing
         environment prior to the 2004 and 2005 drilling at Colette. The
         mineralization is associated with breccia complexes at the
         unconformity (previous hole SHE-52, grading 2.52% U3O8 over
         16.9 metres).
     -   Basement-hosted mineralization is observed directly below the
         unconformity or below the graphitic horizon with a competent felsic
         lithology. Mineralization is disseminated, vein or fracture related
         and has been noted to occur up to 35 metres below the unconformity
         (previous reported hole SHE-111-6 grading 2.27% U3O8 over
         8.1 metres (max grade of 22.53% U3O8)).
     -   Perched mineralization has been noted in the northern and southern
         portions of the deposit and interpreted to be associated with
         structures rooted in the basement. Mineralization has been seen
         35 metres above the unconformity within breccias (previous reported
         hole SHE-111-11, grading 1.47% U3O8 over 6.1 metres).
     About AREVA Resources Canada Inc.
     AREVA, a uranium exploration and mining company, is a subsidiary of AREVA
Group, a worldwide expert in the energy field with a strong industrial
presence in over 40 countries. AREVA Group, through its Canadian subsidiary,
has significant interests in several uranium deposits in the Athabasca Basin,
including the producing McClean Lake Deposits operated by AREVA, the producing
McArthur River Deposit operated by Cameco Corporation, the Millennium Deposit,
and the Cigar Lake Deposit.
     About UEX
     UEX is a Canadian uranium exploration and development company actively
involved in 19 uranium projects, including seven that are 100% owned and
operated by UEX, one joint venture with AREVA Resources Canada Inc. ("AREVA")
that is operated by UEX, ten joint-ventured with AREVA and one under option
from Japan-Canada Uranium Company, Limited, which are operated by AREVA. The
19 projects, totaling 386,650 hectares (955,400 acres), are located in the
eastern, western and northern perimeters of the Athabasca Basin, the world's
richest uranium belt, which accounts for approximately 25% of the global
primary uranium production. UEX is currently developing several uranium
deposits in the Athabasca Basin which include the Anne and Kianna Deposits at
its Shea Creek Uranium Project, a joint venture with AREVA in the western
Athabasca Basin, and the West Bear, Raven and Horseshoe deposits located at
its 100% owned Hidden Bay Project in the eastern Athabasca Basin. UEX's
exploration and development budgets for 2007 totaled approximately
$30.0�million and are estimated at $40 million for 2008.
            ON BEHALF OF THE BOARD OF DIRECTORS OF UEX CORPORATION
                              Stephen H. Sorensen,
                              President & C.E.O.
     Forward-Looking Statements
     This news release contains "forward-looking statements" that are based on
UEX's current expectations, estimates, forecasts and projections. These
forward-looking statements include statements regarding UEX's outlook for our
future operations, plans and timing for the commencement or advancement of
exploration activities on our properties, and other expectations, intention
and plans that are not historical fact. The words "estimates", "projects",
"expects", "intends", "believes", "plans", or their negatives or other
comparable words and phrases are intended to identify forward-looking
statements. Such forward-looking statements are subject to risks,
uncertainties and other factors that could cause actual results to differ
materially from future results expressed or implied by such forward-looking
statements. Many of these factors are beyond the control of UEX. Consequently,
all forward-looking statements made in this news release are qualified by this
cautionary statement and there can be no assurance that actual results or
developments anticipated by UEX will be realized. For the reasons set forth
above, investors should not place undue reliance on such forward-looking
statements. UEX disclaims any intention or obligation to update or revise
forward-looking information, whether as a result of new information, future
events or otherwise.
     %SEDAR: 00017609E
For further information: UEX CORPORATION, SUITE 1007 - 808 NELSON STREET,
VANCOUVER, B.C., CANADA, V6Z 2H2, PH: (604) 669-2349, FAX (604) 669-1240,
Website: www.uex-corporation.com, e-mail: uex@intergate.ca

Data and Statistics for these countries : Canada | Japan | All
Gold and Silver Prices for these countries : Canada | Japan | All

UEX Corp

EXPLORATION STAGE
CODE : UEX.TO
ISIN : CA9026661061
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UEX is an exploration gold and copper company based in Canada.

UEX holds various exploration projects in Canada.

Its main exploration properties are BLACK LAKE, RIOU LAKE, BEATTY RIVER, DOUGLAS, NORTHERN ATHABASCA PROJECTS, WESTERN ATHABASCA PROJECTS, FOND DU LAC, SHEA CREEK, HIDDEN BAY, ALEXANDRA, BRANDER LAKE PROJECTS and JAMES CREEK PROJECTS in Canada.

UEX is listed in Canada and in Germany. Its market capitalisation is CA$ 49.5 millions as of today (US$ 37.3 millions, € 33.7 millions).

Its stock quote reached its lowest recent point on August 15, 2003 at CA$ 0.05, and its highest recent level on November 09, 2007 at CA$ 9.30.

UEX has 319 240 000 shares outstanding.

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