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TORONTO,
ONTARIO--(Marketwire - Sept. 26, 2007) - Uranium Star
(OTCBB:URST)(FRANKFURT:YE5) is pleased to announce that it has entered
into an Option and Joint Venture Agreement (the "Agreement")
with Temex Corp. granting Uranium Star the option to earn a 50%
undivided interest in Temex's 100% owned Merico Ethel and Yarrow
gold-copper-uranium properties located in the Elk Lake area south-east
of Timmins, Ontario.
Potential Athabasca-Type Unconformity-Associated Mineralization
The Merico Ethel property, situated near the northern margin of the
Paleo-Proterozoic Huronian sedimentary basin, which has recently been
recognized by the Geological Survey of Canada for its high potential to
host "Athabasca-type" unconformity-associated mineralization
(Jefferson et al., 2007), is also host to near-surface uranium
mineralization and extensive areas of hematite alteration with grab
samples yielding assays up to 1.56% U3O8 and 14.64% Cu. The property
also hosts a variety of styles of mineralization including several narrow
zones of high-grade, "Cobalt-type" vein systems containing
copper, gold, silver, and cobalt mineralization, from which grab
samples include assays of up to 22.35 g/t Au, 109.60 g/t Ag, and 23.68%
Cu.
The Merico Ethel and Yarrow properties are situated around the margins
of the Huronian sedimentary basin. In addition for their potential to
host high grade Cobalt-type vein systems containing bonanza gold,
silver, etc., Temex recognized the additional potential of the
properties to host unconformity mineralization including Athabasca-type
uranium deposits. Regional structures such as the Montreal River Fault
have clearly influenced the location of mineralization on the Merico
Ethel property, and fault reactivation has likely acted to offset the
regionally extensive unconformity surface that separates the overlying
Huronian sedimentary rocks from the Archean basement to produce
excellent structural traps for oxidizing, mineralizing fluids carrying
uranium, copper, and gold. The Montreal River Fault is spatially
associated with the Archean-age Kidd Creek massive sulphide deposit,
the Porcupine and Matachewan gold camps, and the Paleo-Proterozoic
Cobalt silver camp.
Exploration and Immediate 3000 Metre Drill Program
A 3,000 metre diamond drill program will begin immediately to test
several induced polarization ("IP") chargeability anomalies,
including a large northeast trending anomaly with a strike exceeding
1,000 metres and width of up to 800 metres. The source of this IP
anomaly is interpreted as a sulphide-related feature at or near the
Proterozoic - Archean unconformity. Concurrent with the drill program,
a field program consisting of additional line-cutting over the entire
Merico property will be carried out, followed by an induced
polarization/resistivity ("IP") survey, magnetometer survey,
a detailed gravity survey and soil sampling. The IP/resistivity survey
will further delineate those anomalies remaining open to expansion and
definition and will also be extended to cover the area of the Sauve
uranium-copper-gold occurrence located in the north-eastern portion of
the property from which grab samples have yielded assays of up to 1.56%
U3O8 and 14.64% Cu. Temex will manage the upcoming exploration program.
In order to earn a 50% interest in the properties, excluding the
diamond rights, Uranium Star must pay Temex $50,000 on signing and
complete $950,000 in exploration expenditures by June 30, 2008. Subject
to completing the terms, Temex and Uranium Star will form a 50:50 Joint
Venture to further explore the property. Temex retains any diamond
rights.
Ian Campbell, President and CEO of Temex commented "We are very
pleased to have a company such as Uranium Star working with us on this
project and are very excited about the upcoming drill program. The Merico
Ethel and Yarrow properties form an integral part of our Latchford Gold
Project. They are situated in a very interesting geological environment
undergoing new interpretations, thus offering up multiple possibilities
for new discoveries."
Kirk McKinnon, President & CEO commented that the Company is very
pleased to have underpinned our current portfolio with a quality
project like the Merico Ethel Property which hosts the potential for
high grade Uranium, Gold and Copper. Equally important Temex has positioned
the property for an immediate drill program which provided added
incentive for Uranium Star to complete this property deal. We are
confident as well that the Temex management and staff possess the
experience and knowledge necessary to implement and carry out this
exploration program.
Underpinning Shareholder Value
While the Sagar Property in Northern Quebec remains the Company's
primary Uranium and Gold exploration target, the addition of the Three
Horses Property in Madagascar and now the Merico Ethel Property in
Ontario continues to underpin shareholder value and mitigates the risk
inherent in all exploration activities. The extensive exploration
program at Sagar has been completed and a full report is pending. The
company has made provision to ensure the camp at Sagar will be occupied
throughout the shut-down period as the company prepares its next major
exploration initiative for the Sagar Property.
Uranium Star has applied for and is awaiting Canadian reporting issuer
status. Achieving this status is a significant step towards listing on
a Canadian stock exchange. As an already NASDAQ listed company, Uranium
Star will continue to pursue an additional listing on the TSX Venture
Exchange.
Except for historical information contained herein, the matters
discussed in this press release are forward-looking statements that
involve risks and uncertainties, including but not limited to economic,
competitive, governmental and technological factors effecting the
Company's operations, markets, products and prices and other factors
discussed in the Company's various filings with the Securities and
Exchange Commission.
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