Uranium Resources Plc Regulatory News (URA)

21 Aug 2007 11:45

Uranium Resources PLC21 August 2007 Uranium Resources plc / Market: AIM / Epic: URA / Sector: Exploration 21st August 2007 Uranium Resources plc ('Uranium Resources' or 'the Company') Tanzanian Uranium Exploration Update Highlights • June 07 Drill Programme Confirms Widespread Sub-surface Uranium Over Two Kilometre Trend • Latest results indicate sub-surface uranium mineralization exists one kilometre north and south of Henri Prospect where trench channel samples up to 2.7% U3O8 were collected during last years exploration. • Drilling has recommenced and will continue throughout August • Overall the June programme has achieved the objective of identifying sub-surface mineralisation including significant multiple thick high grade zones at the Henri Prospect: o 7 metres at 1,233 ppm U3O8 including 3 metres at 2,607 ppm U3O8 o 7 metres at 549 ppm U3O8 including 4 metres at 843 ppm U3O8 o 6 metres at 507 ppm U3O8 including 2 metres at 1,145 ppm U3O8 o 7 metres at 400 ppm U3O8 including 3 metres at 770 ppm U3O8 o 4 metres at 515 ppm U3O8 including 2 metres at 855 ppm U3O8 Uranium Resources, the AIM listed uranium exploration company, has received thefinal assay results from reconnaissance drilling at the Mtonya uraniumexploration project in Tanzania. The results are from samples submitted from the1,648 metre reverse circulation drilling programme conducted in June 2007. The results from the broad-spaced drilling continue to support the widespreaddistribution of sub-surface sandstone-hosted uranium mineralisation over a 2kilometre trend which forms part of a larger 14 square kilometre anomaly. Uranium Resources director James Pratt said, "These are again highly favourableresults. The initial first pass drilling programme has achieved its aim ofidentifying significant subsurface uranium mineralisation in our Mtonya licenceareas. This coupled with the high grade trenching results provides us with greatencouragement for our future exploration and development programmes. We believethat our area of operation in Tanzania is highly prospective and we hope thatcurrent and future exploration programmes will emphasise this going forward." Shareholders are urged to read the announcement of the company's farm-inpartner, Western Metals Ltd, at www.westernmetals.com.au which includes a numberof diagrams that the directors consider important to gain a proper understandingof this announcement. The diagrams in this announcement will also shortly beavailable on the Company's website, www.uraniumresources.co.uk. Drilling Results Results to date have shown that strong subsurface mineralisation is presentthrough the area with the potential for multiple horizons of high grade U3O8.The drilling has indicated multiple mineralised horizons preferentially hostedin sandstone units frequently at or near contact with mudstone units. This istypical for sandstone hosted roll front style uranium deposits such as theKayelekera deposit in nearby Malawi. The latest results show that subsurface mineralisation occurs over the entirezone from Para to Tahbilk. The peak intersection of 1 metre at 470ppm U3O8 fromthe broad spaced drilling at Para supports the potential for high grademineralisation to exist over the entire trend. The Tahbilk anomaly has returneda peak value of 1 metre at 140 ppm U3O8 from two broad spaced holespotentially located off the main anomaly area. Table 1: June 2007 Final Drill Results Significant Intersections > 100ppm U3O8 Hole ID Collar Co-ordinates (WGS84/S36) Intersection Prospect East North From Width Grade (metres) (metres) ppmU3O8 MRC001 885595 8831679 No significant intersections HenriMRC002* 885604 8831694 0 7 1,233 Henri Including 0 3 2,607MRC003 885613 8831705 0 5 150 HenriMRC004* 885671 8831736 No significant intersections HenriMRC005* 885634 8831726 No significant intersections HenriMRC006 885598 8831703 3 1 180 Henri 7 1 110MRC007* 885557 8831680 No significant intersections HenriMRC008* 885911 8831665 No significant intersections HenriMRC009 885858 8831614 8 1 120 Henri 16 3 303MRC010* 885753 8831564 9 1 120 Henri 12 7 400 Including 3 770 25 5 212 Including 1 590 38 1 130 40 1 100MRC011* 885732 8831556 11 1 390 Henri 37 1 210 40 2 220MRC012* 885710 8831549 9 7 549 Henri Including 4 843 25 5 106 31 2 175 39 4 170MRC013* 885683 8831499 17 2 445 Henri 40 2 210MRC014* 885632 8831446 31 1 290 36 1 170MRC015* 885783 8831580 6 6 507 Henri Including 2 1145 24 4 515 Including 2 855 35 4 305MRC016* 885828 8831590 7 1 480 Henri 33 1 250MRC017* 885805 8831582 5 5 144 Henri 27 1 120 33 1 110 35 3 270MRC018 886374 8831075 No significant intersections ParaMRC019 886276 8831042 No significant intersections ParaMRC020 886191 8831022 20 1 470 Para 42 1 120MRC021 886018 8830721 24 2 230 Para West 28 1 200MRC022 886102 8830738 No significant intersections Para WestMRC023 886189 8830777 No significant intersections Para WestMRC024 885736 8831333 50 1 370 HenriMRC025 885534 8831462 29 1 320 HenriMRC026 885476 8831554 No significant intersections HenriMRC027 885519 8831646 No significant intersections HenriMRC028 885705 8832093 41 1 140 TahbilkMRC029 885730 8832544 12 1 130 Tahbilk Notes on Table 1: Results announced on July 24th have a " * ". Samples have been collected by riffle splitting dry intervals and representativetube sampling of wet intervals. Samples have been analysed by ICP usinglaboratory method ME-ICP61s by ALS Chemex laboratory Perth Australia. Certifiedreference standards and blanks have been included by Western Metals in additionto laboratory control standards. All results are in U3O8 ppm uranium withanalysis method accuracy quoted at +/- 10 ppm U3O8. Co-ordinates are WGS84 andhave been measured by hand held GPS. All intersection widths are estimated to be true width based on local geologicalobservation. Programme Strategy Field work in 2006 highlighted many areas of potential with the Henri, Para,Tahbilk, Galway Moysten, and Grandfather anomalies providing initial targets.The June drilling programme tested Henri, Para and Tahbilk and follow-upprogrammes are planned on these and other known targets. Diagram 1 in Western Metals' announcement shows airborne radiometric surveyuranium data for the Mtonya area collected in April 2007. This shows multipleanomalies exist in the area with an exposed anomaly trend greater than 7kilometres by 2 kilometres. Programme Details The drilling programme conducted in June totalled 1,648 metres of RC drillingcomprising of 29 holes. The maximum hole depth was 98 metres with an average of56 metres. Twenty one drill holes were completed on the Henri anomaly where previoustrenching work had yielded strong surface mineralisation. Two drill sections,approximately 200 metres apart, were completed in addition to some isolatedholes off section. At Para, approximately 800 metres south of Henri, two sections of drilling withholes spaced at 100 metres were completed. Each section comprised three drillholes. Two drill holes were completed on the Tahbilk anomaly approximately 700 metresnorth of Henri. All holes were geologically logged on site by Western Metals staff. Samplingwas conducted on one metre intervals using representative sampling techniques.All completed holes have been cased to allow the geophysical surveys to beconducted. Samples were submitted to the ALS Chemex laboratory in Tanzania for preparationand then dispatched to their Australian laboratory for analysis. To date results from 11 of the Henri drill holes have been received, withresults of the remaining 18 holes expected in the coming four weeks. Diagram 2 of Western Metals' announcement shows the drill hole collar locationsoverlain on ground radiometric contour of >15 times background counts per second(cps). Future Programme Drilling recommenced in the area in early August with the program planned tofurther test the anomalies and follow up on the initial results. In addition todrilling, field crews will undertake extensive trenching, sampling and mappingon the Grandfather, Tahbilk, Para, and Henri anomalies. Ground scintillometersurveys will be focused on detailing targets within the 7 kilometre trend thathave not been evaluated to date. This information in this report that relates to Exploration Results, MineralResources or Ore Reserves is based on information compiled by Dr JosephDrake-Brockman who is a Member of The Australasian Institute of Mining andMetallurgy. Dr Drake-Brockman is employed by Drake-Brockman Geoinfo Pty Ltd. DrDrake-Brockman has sufficient experience which is relevant to the style ofmineralisation and type of deposit under consideration and to the activity whichhe is undertaking to qualify as a Competent Person as defined in the 2004Edition of the 'Australasian Code for Reporting of Exploration Results, MineralResources and Ore Reserves'. Dr Drake-Brockman consents to the inclusion in thereport of the matters based on his information in the form and context in whichit appears **ENDS** Contacts: James Pratt Uranium Resources plc Tel: 07747 832 043 Ross Warner Uranium Resources plc Tel: 07760 487 769 Hugh Warner Uranium Resources plc Tel: +618 9217 3350 Hugh Oram Nabarro Wells & Co Ltd Tel: 020 7710 7400 Hugo de Salis St Brides Media & Finance Ltd Tel: 020 7242 4477 Notes to editors Uranium Resources plc is an AIM listed uranium exploration and developmentcompany focused in Southern Africa. The Company has primarily concentrated onexpanding and developing its portfolio of uranium licences in the highlyprospective Karoo Basin in Southern Tanzania where it currently has a landpackage in excess of 7,600 sq km. Recent results have been highly encouragingand indicate the economic potential of the region. This information is provided by RNS The company news service from the London Stock Exchange