KELOWNA, BRITISH COLUMBIA--(Marketwire - Aug. 29, 2012) - Strathmore Minerals Corp. (News - Market indicators)(OTCQX:STHJF) ("Strathmore" or "the Company") announces that it has filed a new National Instrument 43-101 Technical Report with an updated resource estimate for its Gas Hills Uranium Properties in Wyoming. The technical report was prepared by Chlumsky, Armbrust & Meyer LLC ("CAM") of Denver, Colorado, and is titled, "National Instrument 43-101 Technical Report, Gas Hills Uranium Project, Fremont and Natrona Counties, Wyoming USA", and dated July 31, 2012 (the "Gas Hills Technical Report"). This report replaces the previous technical report filed by the Company in July 2011, and subsequently retracted as a result of concerns raised by the British Columbia Securities Commission in its "limited technical disclosure" review. (Please see the Company's press releases dated August 19th 2011, December 6th 2011, January 6th 2012, April 13th 2012, and June 7th, 2012).
The Gas Hills Technical Report calculates an inferred mineral resource estimate for the Day Loma and Rock Hill Properties only, which are located within the Main Gas Hills Area. The inferred resource estimate for Day Loma, using a 0.035% eU3O8 cutoff, is 4.7 million lbs eU3O8 based on 1.6 million tons at an average grade of 0.15% eU3O8, while Rock Hill's inferred resource estimate totals 900,000 lbs eU3O8 based on 600,000 tons at an average grade of 0.07% eU3O8. The combined inferred resource, using a 0.035% eU3O8 cutoff, totals 5.6 million lbs eU3O8 based on 2.2 million tons at an average grade of 0.12% eU3O8. Other mineralized properties within the Main Gas Hills Area including George-Ver, Frazier Lamac, Bull Rush, Loco Lee, Amazon, Andria, Sunset, and Badlands could not be verified as the Company does not possess historical core data for inclusion in the Gas Hills Technical Report. Subsequent to the November 11, 2011 cutoff date of data analysis used in this report, Strathmore initiated confirmation and exploration drilling, including core drilling, as part of its overall Phase I US $8 million Gas Hills development program to help provide sufficient verifiable data and information to support the preparation of current resource estimates for those properties with historical estimates.
The following summarizes the Gas Hills Technical Report's new NI 43-101 mineral resource estimates, in addition to the remaining non-compliant historical estimates and exploration targets that merit further exploration.
| Table 1: Summary of Inferred Resource Estimates for Day Loma & Rock Hill |
| Inferred Resources Based on Contouring GT and Thickness |
| |
Cutoffs |
|
|
Average |
| Area |
Thickness
(ft) |
Grade
(eU3O8%) |
Grade *
Thickness |
Tons |
Contained Lbs
(eU3O8) |
Grade
(eU3O8%) |
Thickness
(ft) |
| Day Loma |
1 |
0.035 |
0.035 |
1,600,000 |
4,700,000 |
0.15 |
3.6 |
| Day Loma |
2 |
0.050 |
0.100 |
1,400,000 |
4,300,000 |
0.16 |
4.2 |
| Rock Hill |
1 |
0.035 |
0.035 |
600,000 |
900,000 |
0.07 |
7.3 |
| Rock Hill |
2 |
0.050 |
0.100 |
300,000 |
500,000 |
0.09 |
5.4 |
| Total |
1 |
0.035 |
0.035 |
2,200,000 |
5,600,000 |
0.12 |
4.2 |
| Total |
2 |
0.050 |
0.100 |
1,700,000 |
4,800,000 |
0.15 |
4.3 |
CAM reviewed the geometry of the mineralization in three dimensions using a 1' of 0.035% U3O8 and 2' of 0.05% U3O8 cutoff grades and completing a grade X thickness contouring. Tons and contained pounds are reported to the nearest 100,000. Average grade and average thickness are reported to two and one decimal places respectively. This does not imply this degree of accuracy; the usual accuracy of an inferred resource estimate is less than one significant digit. Cutoffs for grade and thickness are applied to each mineralized intercept used in the resource estimate. Cutoff for grade thickness is applied to the contour map. It should be noted that mineral resources, which are not mineral reserves, do not have demonstrated economic viability.
| Table 2: Historical Estimates For Main Gas Hills Properties |
| Main Gas Hills Area: Property |
Tons |
Grade%
eU3O8 |
Contained Lbs
eU3O8 |
| Amazon |
285,000 |
0.06 |
366,000 |
| Andria |
740,000 |
0.06 |
950,000 |
| Badlands |
163,000 |
0.07 |
216,000 |
| Bullrush |
1,737,000 |
0.07 |
2,307,000 |
| Frazier-Lamac |
697,000 |
0.11 |
1,522,000 |
| Loco-Lee |
3,369,000 |
0.07 |
4,644,000 |
| Sunset |
1,395,000 |
0.06 |
1,813,000 |
| George-Ver |
1,031,000 |
0.07 |
1,493,000 |
| Jeep |
297,000 |
0.08 |
463,000 |
| Total |
9,714,000 |
0.07 |
13,774,000 |
The historic estimates in Table 2 were completed prior to Strathmore's acquisition of these properties and generated by American Nuclear Corporation in 1985 and Pathfinder Mines Corporation (Frazier-Lamac only) in 1996, using accepted engineering practices at those times. Although the exact details of the historic estimates are not available, they appear to have been done using the "nearest neighbor" method for grade and grade thickness to calculate tons and pounds. Given the extensive mineral production in the Gas Hills Uranium District by experienced mining companies, and the quality of their historical work completed, the Company believes these historical resource estimates to be relevant and reliable. However, a Qualified Person has not completed sufficient work to verify and classify the historical estimates as current mineral resources, and the Company is not treating the historical estimates as current mineral resources. Hence, they should not be relied upon. Additional work including confirmation drilling, sampling and chemical assay verification, and other technical support work, as deemed necessary, is required in order to verify the historical estimates as a current mineral resource.
Exploration Targets
Strathmore's Gas Hills Properties have several exploration targets that merit further exploration. These include Day Loma-SE Trend, George-Ver-Antelope, Bullrush-West 29, and Jeep-South Extension. Each target either contains known uranium mineralization as determined by historical exploration activities, or is adjacent to known uranium mineralization. The characteristics of each target such as grade, length of mineralized trend, width or thickness can only be projected from nearby areas containing well-defined mineralization. CAM believes that these exploration targets could contain 2 to 8 million pounds of contained U3O8 that could potentially be economically recovered. These exploration targets merit further drilling. The reader is cautioned that potential quantity and grade is conceptual in nature; exploration activity has not been sufficient to define a mineral resource and it is uncertain that further exploration will result in the targets being delineated as a mineral resource. In addition, the area to the south of the Main Gas Hills, known as Beaver Rim holds exploration potential. It is believed that historical exploration data for the Beaver Rim exists, but Strathmore does not possess or have access to this data. CAM has recommended exploration drilling.
Strathmore's Gas Hills 2012 Phase I US $8 million exploration, development, and permitting program is ongoing (See press release dated June 26, 2012).
About the Gas Hills, Wyoming
Strathmore's Gas Hills Properties comprises ~ 35,000 acres in the Gas Hills Uranium District of central Wyoming. Between 1953 and 1988, many companies explored, developed, and produced uranium in the Gas Hills Uranium District, including on lands in the Main Gas Hills Area now controlled by Strathmore. Cumulative production exceeded 100 million pounds making it the second largest uranium mining region in the USA. Strathmore is actively pursuing the advancement of a mine permit application for submittal to the State of Wyoming, and a Source Materials License application to the US Nuclear Regulatory Commission. Strathmore owns 100% of the Gas Hills Uranium Properties, subject to a 5% net production royalty on 155 Rock Hill claims. There are no other royalties on all other claims which total 1,510 lode mining claims.
As previously noted in the Company's August 19, 2011, December 6, 2011, January 6, 2012, April 13, 2012, and June 7th, 2012 press releases, investors should not rely on the previously filed technical report for the Gas Hills titled: "Technical Report on the Gas Hills Uranium Project, Fremont and Natrona Counties, Wyoming", dated July 20, 2011, and should not rely on the mineral resource estimates for the Gas Hills Properties disclosed in the Company's press releases dated July 21, 2011 or August 5, 2011.
The technical information in this news release has been prepared in accordance with the Canadian regulatory requirements set out in NI 43-101 and reviewed by David Miller, Chief Executive Officer for Strathmore Minerals Corp., a Qualified Person under National Instrument 43-101. The Gas Hills Technical Report was authored by Richard L. Nielson, PhD, CPG, Thomas C. Pool. P.E., and Robert L. Sandefur, P.E., of Chlumsky, Armbrust & Meyer LLC, all independent and Qualified Persons as defined by NI 43-101. Mr. Neilson, Mr. Pool and Mr. Sandefur have reviewed and approved the technical information in this press release.
The Gas Hills Technical Report can be viewed in its entirety on the Company's website, www.strathmoreminerals.com or SEDAR, www.sedar.com.
STRATHMORE MINERALS CORP. is a Canadian based resource company specializing in the strategic acquisition, exploration and development of mineral properties in the United States. Headquartered in Vancouver, British Columbia with a branch administrative office in Kelowna, the Company also has U.S. based Development Offices in Riverton, Wyoming and Santa Fe, New Mexico. STRATHMORE MINERALS CORP. Common Shares are listed on the TSX under the symbol "STM" and trade on the OTCQX International electronic trading system in the United States under the symbol "STHJF".
This press release contains "forward-looking information" that is based on Strathmore Minerals Corp.'s current expectations, estimates, forecasts and projections. This forward-looking information includes, among other things, statements with respect to Strathmore's National Instrument 43-101 Technical Report, Gas Hills Uranium Project, Fremont and Natrona Counties, Wyoming USA", dated July 31, 2012, exploration and development plans, outlook and business strategy. The words "may", "would", "could", "should", "will", "likely", "expect," "anticipate," "intend", "estimate", "plan", "forecast", "project" and "believe" or other similar words and phrases are intended to identify forward-looking information.
Forward-looking information is subject to known and unknown risks, uncertainties and other factors that may cause Strathmore's actual results, level of activity, performance or achievements to be materially different from those expressed or implied by such forward-looking information. Such factors include, but are not limited to: calculation of resource estimates, the work expenditure commitments; the ability to raise sufficient capital to fund future exploration or development programs; changes in economic conditions or financial markets; changes in input prices; litigation; legislative, environmental and other judicial, regulatory, political and competitive developments; technological or operational difficulties or an inability to obtain permits required in connection with maintaining, or advancing projects; and labour relations matters.
This list is not exhaustive of the factors that may affect our forward-looking information. These and other factors should be considered carefully and readers should not place undue reliance on such forward-looking information. Such forward-looking statements are made as of the date of this press release and the Company assumes no obligation to update or revise them to reflect new events or circumstances, except as required by law.
ON BEHALF OF THE BOARD
David Miller, CEO
