Rosebank Regulatory News (ROSE)

30 Jan 2007 07:01

Vane Minerals PLC30 January 2007 VANE Minerals Plc (AIM: VML) Commencement of Breccia Pipe Drilling Programme, Northern Arizona VANE Minerals Plc today announces that its uranium subsidiary, VANE Minerals(US) LLC ("VANE (US)"), has commenced drilling at the Miller Pipe in theNorthern Arizona Breccia Pipe District. This district has historically produceda total of 23m lbs of uranium oxide ("U3O8") from nine mines until the early1990's when mining ceased due to falling uranium prices. VANE has acquired, andpresently controls, a 100% interest in 29 pipe targets in northern Arizona. VANE commenced drilling at the Miller Pipe on 22nd January 2007 and at least 3holes will be drilled to a depth of approximately 1,700 feet in order to furtherexplore and develop the mineralised area identified by previous owners EnergyFuels Nuclear ("EFN") in 1986. Drill hole number 1640-5 from EFN's programmepenetrated a 26.5 foot zone that averaged 0.51% U3O8 from 1,269ft to 1,295.5ftin which grades as high as 1.47% U3O8 were intersected. Hole 1640-3 intersecteda 25ft zone between 1,260.5ft and 1,285.5ft in which grades as high as 1.78%U3O8 were intersected. One 10 foot zone from this hole also averaged 0.57% U3O8and the entire interval was found to average 0.34% U3O8. VANE plans to continue its breccia pipe drilling programme once the currentround of drilling is completed on the Miller Pipe. This will focus on the otherthree permitted pipe targets; Big Red, Red Dike and Rabbit. Additional drillingpermits are pending and it is the intention to ramp up the drilling programmeonce these permits are approved. Matthew Idiens, Director of Corporate Development, commented, "We are pleased toannounce the commencement of our breccia pipe drilling programme. This is thefirst of 29 targets to be explored all of which we believe offer excellentpotential. Historically, the mineralised breccia pipes which were mined haveeach contained between 1 million and 6 million pounds of uranium, with anaverage of approximately 3 million pounds. Production in this area ceased in the 1990's when the spot price of uranium wentbelow US$14 per pound U3O8. However with the current spot price of US$72 perpound, we are well placed to capitalise on the buoyancy of the uranium market." Enquiries: VANE Minerals Plc Ambrian Partners Limited Matthew Idiens Richard Brown+44 (0) 20 7667 6322 +44 (0) 20 7776 6417 Parkgreen Communications Daniel Stewart & CoCathy Malins/Annabel Leather Katie Shelton+44 (0) 20 7851 7480 +44 (0)20 7776 6550 About VANE Minerals: Since December 2004, VANE Minerals has built a substantial uranium portfolio ofproperties in the US; initially targeting the Northern Arizona Breccia PipeDistrict which holds the highest grade deposits in the US. The Company is using the silver/gold production at the Diablito mine in Mexicoto help fund exploration work across its attractive portfolio of uranium as wellas base and precious metal prospects. VANE was founded by the former international exploration team ofFreeport-McMoRan Copper & Gold Inc., one of the world's largest producers ofcopper and gold. The Company has assembled a highly qualified and experiencedmanagement team with a proven track record in exploration and development, whohave spent their entire careers searching for and defining large scale mineraldeposits. For further information, please review: www.vaneminerals.com. This information is provided by RNS The company news service from the London Stock Exchange