UEX Corp /AREVA Drilling Expands Mineralization Northward from the Kianna Deposit at Shea Creek by 24hgold

Mots clés associés : Canada | Uranium |

News - Tuesday, December 06, 2011
UEX/AREVA Drilling Expands Mineralization Northward from the Kianna Deposit at Shea Creek

UEX Corporation ("UEX") is pleased to announce the final drilling results from the 2011 exploration program on the Shea Creek Project ("Shea Creek") as reported to UEX by the project operator, AREVA Resources Canada Inc. ("AREVA"). Shea Creek hosts the Kianna, Anne, Colette and 58B deposits and is one of ten 49%-owned Western Athabasca uranium projects joint-ventured with AREVA.

The results reported are from three pilot holes and ten directional drill holes in the SHE 136, SHE 140 and SHE-141 series which were drilled in the area between the Kianna and 58B deposits. Drill hole intersections within this area have expanded the unconformity mineralization northward from the Kianna Deposit ("Kianna") towards the 58B Deposit ("58B") (see Figure 1). These drill intersections, which lie at the northern margin of Kianna, extend well outside of the existing National Instrument 43-101 ("N.I. 43-101") compliant mineral resource estimate. The holes drilled in the Kianna area and the area between Kianna and 58B were part of a larger 2011 exploration program on the Shea Creek Project that was completed in November (see UEX's news releases dated September 29 and October 31, 2011).

Mineralization was intersected in all directional drill holes in the area between Kianna and 58B either at the unconformity or in the underlying basement rocks. These drill holes represent the first systematic exploration of this corridor and the highly encouraging results provide significant geological information which will be followed up in subsequent drilling programs. Complete results from the drilling are reported in Table 1.

The results include unconformity intercepts of 0.42% eU₃O₈ over 5.0 metres in drill hole SHE-136-7, 0.25% eU₃O₈ over 19.7 metres including 0.99% eU₃O₈ over 3.1 metres in drill hole SHE-140-1 as well as 0.88% eU₃O₈ over 1.2 metres in drill hole SHE-141-1. These intercepts suggest that unconformity mineralization may extend continuously over a strike length of greater than 300 metres northwest of the Kianna Deposit, with mineralization open along trend toward the 58B Deposit.

In addition to the unconformity intercepts, drill holes also encountered basement mineralization which is of similar style to that in Kianna and 58B, suggesting there is potential for the discovery of basement deposits in this corridor. Basement intercepts include 0.37% eU₃O₈ over 2.2 metres in drill hole SHE-140, 0.57% eU₃O₈ over 2.5 metres including 0.96% eU₃O₈ over 1.4 metres in drill hole SHE-140-3 as well as 1.85% eU₃O₈ over 0.7 metres in drill hole SHE-140-5.

Drilling difficulties were encountered in drill hole SHE-141-1 due to a large fault zone. This hole was not completed to target depth where it was intended to test open areas of the Kianna basement mineralization which had been considerably expanded during the 2011 exploration program (see UEX's news release dated September 29, 2011).

Drilling is planned for 2012 in the area immediately south of the 58B Deposit to further test the continuity of unconformity mineralization between 58B and Kianna (see UEX's news release dated November 30, 2011).

Qualified Persons and Data Acquisition
Technical information in this news release has been reviewed and approved by R. Sierd Eriks, P.Geo., UEX's Vice-President of Exploration, David Rhys, P.Geo., UEX Advisory Board member and Erwin Koning, P.Geo., AREVA's District Geologist, West Athabasca Region, who are each Qualified Persons as defined by National Instrument 43-101.

Equivalent grade results reported here were obtained using a DHT27-STD gamma probe which collects continuous readings along the length of the drill hole. Probe results are calibrated using an algorithm calculated from the comparison of probe results against geochemical analyses in previous drill holes in the Shea Creek area. True widths of mineralized intervals have not yet been determined.

About Shea Creek
Effective December 31, 2009, UEX reported a combined N.I. 43-101 compliant mineral resource estimate for the Kianna, Anne and Colette deposits of 1,872,600 tonnes grading 1.54% U₃O₈ containing 63.57 million pounds of U₃O₈ in the Indicated Mineral Resource category and an additional 1,068,900 tonnes grading 1.04% U₃O₈ in the Inferred Mineral Resource category containing 24.53 million pounds of U₃O₈ at a cut-off of 0.3% U₃O₈ (see UEX news release dated May 26, 2010). This mineral resource estimate is based on drilling information up to December 31, 2009. Results from the 2010 and 2011 drilling programs, which include the expansion of Kianna, Colette and the addition of the 58B Deposit, are not incorporated in this resource estimate.

This estimate confirmed Shea Creek as the largest undeveloped uranium resource in the Athabasca Basin. Shea Creek also ranks as the third largest uranium resource in the Basin, exceeded in size only by McArthur River and Cigar Lake. Resources at Shea Creek are largely open and have excellent potential for expansion of known areas of mineralization and discovery of new zones.

About UEX
UEX is a Canadian uranium exploration and development company actively involved in 18 uranium projects, including six that are 100% owned and operated by UEX, one joint venture with AREVA that is operated by UEX, as well as ten joint-ventured with AREVA and one under option from JCU (Canada) Exploration Company, Limited, which are operated by AREVA. The 18 projects, totaling 328,151 hectares (810,879 acres), are located in the eastern, western and northern perimeters of the Athabasca Basin, the world's richest uranium belt, which accounts for approximately 18% of the global primary uranium production. UEX is currently developing several uranium deposits in the Athabasca Basin which include the Kianna, Anne, Colette and 58B deposits at its 49%-owned Shea Creek Project, a joint venture with AREVA in the western Athabasca Basin, and the Horseshoe, Raven and West Bear deposits located at its 100%-owned Hidden Bay Project in the eastern Athabasca Basin.

UEX's two major projects have N.I. 43-101 compliant mineral resources as follows:

UEX Corporation - Indicated Mineral Resources (1) (2) (3) (4) (5)

Project	Tonnes	Grade U₃O₈ (%)	Total U₃O₈ (lbs)	UEX's share U₃O₈ (lbs)
Shea Creek	1,872,600	1.540	63,572,000	31,150,280
Hidden Bay	10,293,600	0.155	35,044,000	35,044,000
TOTAL INDICATED			98,616,000	66,194,280

UEX Corporation - Inferred Mineral Resources (1) (2) (3) (4) (5)

Project	Tonnes	Grade U₃O₈ (%)	Total U₃O₈ (lbs)	UEX's share U₃O₈ (lbs)
Shea Creek	1,068,900	1.041	24,525,000	12,017,250
Hidden Bay	1,109,200	0.111	2,715,000	2,715,000
INFERRED			27,240,000	14,732,250

Notes:

The mineral resource estimates comply with the requirements of N.I. 43-101 and classifications comply with CIM definition standards.
The Shea Creek mineral resources were estimated at a cut-off of 0.30% U₃O₈.
The Hidden Bay mineral resources were estimated at a cut-off of 0.05% U₃O₈.
Please refer to the technical report on the Kianna, Anne and Colette deposits dated effective May 26, 2010, available online under UEX's profile at www.sedar.com.
Please refer to the technical report on the Horseshoe and Raven deposits dated effective July 15, 2009, available online under UEX's profile at www.sedar.com.

A summary of UEX's mineral reserves are as follows:

UEX Corporation - Total Probable Mineral Reserves (1) (2) (3)

Deposit	Tonnes	Grade U₃O₈ (%)	Total U₃O₈ (lbs)	UEX's share U₃O₈ (lbs)
West Bear	72,374	0.94	1,492,261	1,492,261

Notes:

The mineral reserve estimates comply with the requirements of N.I. 43-101 and classifications comply with CIM definition standards.
The West Bear mineral reserves were based on an estimated processing cut-off grade of 0.18% U₃O₈.
Please refer to the technical report on the West Bear Deposit dated effective February 24, 2010, available online under UEX's profile at www.sedar.com.

FOR FURTHER INFORMATION PLEASE CONTACT

Graham C. Thody
President & CEO
(604) 669-2349

Forward-Looking Information
This news release may contain statements that constitute "forward-looking information" for the purposes of Canadian securities laws. Such statements are based on UEX's current expectations, estimates, forecasts and projections. Such forward-looking information includes statements regarding UEX's mineral resource and mineral reserve estimates, outlook for our future operations, plans and timing for exploration activities, 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 information. Such forward-looking information is based on certain factors and assumptions and is 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 information. Important factors that could cause actual results to differ materially from UEX's expectations include uncertainties relating to interpretation of drill results and geology, additional drilling results, continuity and grade of deposits, participation in joint ventures, reliance on other companies as operators, public acceptance of uranium as an energy source, fluctuations in uranium prices and currency exchange rates, changes in environmental and other laws affecting uranium exploration and mining, and other risks and uncertainties disclosed in UEX's Annual Information Form and other filings with the applicable Canadian securities commissions on SEDAR. Many of these factors are beyond the control of UEX. Consequently, all forward-looking information contained in this news release is 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 information. Except as required by applicable law, UEX disclaims any intention or obligation to update or revise forward-looking information, whether as a result of new information, future events or otherwise.

TABLE 1
2011 Shea Creek Drill Results
Results are reported for holes with a grade of greater than 0.1% U₃O₈ and a grade-thickness product of greater than 0.1

Hole	Total Depth of Hole (metres)	Depth to Unconformity (metres)	From (metres)	To (metres)	Length (metres)	Avg. Grade Within the Intersection (% eU₃O₈)	Type�
SHE-136-7	885.0	729.0	724.2	729.2	5.0	0.42	UC
		including	724.9	727.9	3.0	0.64	UC
SHE-136-8	873.0	719.9	744.3	745.5	1.2	0.20	B
			762.0	762.3	0.3	0.43	B
SHE-136-9	835.0	745.2	735.1	735.8	0.7	0.18	UC
SHE-140	864.0	709.0	742.6	744.8	2.2	0.37	B
			765.9	766.8	0.9	0.14	B
SHE-140-1	818.0	719.8	715.1	734.8	19.7	0.25	UC
		including	717.7	727.6	9.9	0.47	UC
		including	717.7	720.8	3.1	0.99	UC
SHE-140-2	861.0	712.8	712.1	722.7	10.6	0.08	UC
		including	720.0	722.7	2.7	0.21	B
			729.3	730.3	1.0	0.21	B
SHE-140-3	852.0	723.4	760.2	762.7	2.5	0.57	B
		including	761.3	762.7	1.4	0.96	B
SHE-140-4	867.0	721.3	717.8	721.2	3.4	0.18	UC
		including	718.6	719.9	1.3	0.34	UC
			755.4	757.5	2.1	0.15	B
SHE-140-5	834.0	716.0	710.5	712.1	1.6	0.31	UC
			732.3	733.0	0.7	1.85	B
SHE-141	789.0	720.2	-	-	-	-
SHE-141-1	951.0	715.1	713.9	715.1	1.2	0.88	UC
			875.9	878.8	2.9	0.22	B
			892.8	893.5	0.7	0.14	B

� UC - Unconformity mineralization
B - Basement mineralization

Note: Uranium grades are calculated from gamma probe logging. True widths of mineralized intervals have not yet been determined.

FIGURE 1
2011 Drilling - Area between Kianna and 58 Deposits
Shea Creek Project

Click to Enlarge

View the News Release in PDF Format:
http://www.uex-corporation.com/i/pdf/UEX-2011Dec06NR.pdf

Légende
	Production
	Mine développement
	Découverte
	Exploration
	Ancien producteur
Sur Google Earth, cliquez sur les pictogrammes, pour voir les informations du projet, accéder à sa page, ou à la page de la compagnie.