UEX Continues to Expand the Horseshoe Deposit with Some of the Best Drill Holes to Date: Hole HU-93 Intersects 0.83% U(3)O8 over 23.0 metres. Raven/Horseshoe Potential Future Tailings Facilities if Mined by Open Pit.



    VANCOUVER, Oct. 29 /CNW/ - UEX Corporation ("UEX") is pleased to announce
the results from the first 22 diamond drill holes of approximately 90 holes
(30,000 metres) that are anticipated to be completed during the ongoing
summer/fall 2007 program at the Horseshoe Deposit ("Horseshoe") located within
UEX's 100% owned Hidden Bay Project in the eastern Athabasca Basin area of
northern Saskatchewan. Drilling continues to confirm the continuity of
mineralization and expand the extent of the Deposit beyond and beneath the
limits of historical drilling conducted by Gulf Minerals Canada ("Gulf").
    The most significant intercepts in this set of holes include
intersections in hole HU-93 grading 0.83% U(3)O(8) over 23.0 metres, hole
HU-99 grading 1.86% U(3)O(8) over 8.3 metres, hole HU-101 grading 0.80%
U(3)O(8) over 22.3 metres, and hole HU-102 grading 0.68% U(3)O(8) over 21.0
metres. Due to the positive development of the greater than anticipated extent
of mineralization at the deposit which has required further drilling, final
results of the drilling program are now not anticipated until January 2008,
which will delay final resource disclosure at Horseshoe until late in the
first quarter of 2008. The UEX drilling program is encountering higher grades,
wider intersections, better continuity and an overall greater extent of
mineralization at Horseshoe than the historically determined mineralized areas
outlined by Gulf in the 1970's.
    Horseshoe and the adjacent Raven Deposit ("Raven") are located less than
5 kilometres south of Cameco Corporation's Rabbit Lake operations, and 12
kilometres southeast of AREVA Resources Canada Inc.'s ("AREVA") McClean Lake
operations. Both deposits are hosted by competent basement rocks that could be
amenable to both open-pit and conventional underground ramp access mining
methods, pending a positive feasibility study. In 1980, Gulf estimated a total
resource at Raven and Horseshoe of 6.7 million tonnes at an average grade of
0.16% U(3)O(8), representing approximately 23 million contained pounds of 
U(3)O(8). This historical resource estimate based on widely-spaced drill holes
was not calculated using current Canadian Institute of Mining, Metallurgy and
Petroleum categories and no current resource or reserve competence categories
were applied. As a result, such resource estimate is not compliant with N.I.
43-101 and should not be relied upon.
    To view maps and cross sections of Raven and Horseshoe, please access
UEX's website at www.uex-corporation.com under "Projects - Eastern Athabasca -
Hidden Bay".
    "The historical resource at the Horseshoe Deposit is approximately
13.2 million pounds of U(3)O(8) grading 0.17% U(3)O(8). Our extensive drilling
and in-house modeling suggest this resource has been understated both in its
grade and contained pounds," said Stephen Sorensen, President and CEO of UEX.
"We are confident that our work will be confirmed by Golder Associates who
should complete a National Instrument 43-101 compliant resource estimate on
the Horseshoe Deposit in early 2008." Sorensen went on to say that "the
historical resource at the Raven Deposit is approximately 9.62 million pounds
of U(3)O(8) grading 0.14% U(3)O(8). Our goal is not only to confirm the
resource at Raven, but to expand on it as we believe we have done at
Horseshoe."
    In addition to the drilling program reported below, Golder Associates
("Golder") is in the latter stages of an environmental baseline study, and has
also undertaken initial geotechnical work towards a feasibility study. Two
HQ-diameter drill holes have just been completed at Horseshoe to provide
representative samples for metallurgical testing from two of the largest
zones: the A and BE Zones. The metallurgical work is being supervised by Melis
Engineering Ltd. of Saskatoon, Saskatchewan, and will provide (greater
than)100 kilogram samples for comprehensive metallurgical testing of different
styles of mineralization in the deposit. As previously reported, initial test
work on three drill core reject composite samples revealed low levels of
deleterious elements and obtained over 97% uranium extraction under mild acid
leach conditions.

    Raven and Horseshoe Potential Future Tailings Management Facilities

    In recognition of the potential limited future tailings facility capacity
at operating mills in the area, UEX has also requested that Golder assess the
economic benefit of an assumption that following open-pit mining of the Raven
and Horseshoe Deposits, the final pits would be used as tailings management
facilities. Given the basement hosted nature of the Raven and Horseshoe
Deposits, overall strength of the host rocks encountered during drilling, and
lack of overlying Athabasca sandstone cover, it is anticipated that the ground
conditions and low permeability host rocks to the deposits could be highly
amenable to such a use and may increase the value of the project.
    To view a map of Hidden Bay area uranium mines, mills, deposits and
tailings management facilities please access UEX's website at
www.uex-corporation.com under "Projects - Eastern Athabasca - Hidden Bay".

    Horseshoe Deposit Results

    UEX's ongoing drilling program at the Horseshoe Deposit is designed to
further define the extent of Horseshoe mineralization to provide the basis for
a National Instrument 43-101 ("N.I. 43-101") compliant resource estimate, and
to test areas where Horseshoe mineralization extends into previously
unexplored areas. The set of holes reported here is largely infill drilling
which is intended to bring a significant portion of the upcoming resource
calculation at Horseshoe into an indicated category, providing a resource with
sufficient confidence levels to support the basis of a feasibility study. In
addition to the 22 holes reported here, another 68 holes should be completed
on Horseshoe by the end of November for a total of approximately 90 holes
(30,000 metres) during the program. Analytical results from the remaining
holes will be reported when received. This drilling program is larger than
previously reported in the June 2007 news release since drilling continues to
expand the dimensions of the deposit. Many subsequent holes have now traced
mineralization into previously untested areas, often beneath or between areas
of drilling historically conducted by Gulf, with mineralization still open in
northeastern portions of the deposit. Preliminary, interpretation of the
current drilling indicates that in addition to the A and B Zones which were
previously reported, several newer pods of mineralization have been
discovered, which include the A1, A2, BE (B east), and C Zones. Cross sections
illustrating the geometry of these zones have been placed on UEX's website
under Projects, East Athabasca - Hidden Bay property.
    Many significant drill intercepts were obtained from the initial
summer/fall 2007 Horseshoe drill holes. Those composited to grades of at least
0.05% U(3)O(8) with a grade-thickness product of greater than 0.1 are listed
in Table 1. Some of the most significant of these intercepts include the
following:

    
    -   0.39% U(3)O(8) over 7.0 metres in hole HU-91 (A zone, section 4665N)
    -   0.15% U(3)O(8) over 12.0 metres in hole HU-92 (A east zone, section
        4665N)
    -   0.83% U(3)O(8) over 23.0 metres in hole HU-93 (A zone, section 4626N)
    -   0.22% U(3)O(8) over 25.4 metres in hole HU-98 (BE zone, section
        4682N)
    -   1.86% U(3)O(8) over 8.3 metres in hole HU-99 (A zone, section 4626N)
    -   0.28% U(3)O(8) over 38.8 metres in hole HU-100 (A zone, section
        4593N)
    -   0.80% U(3)O(8) ove 22.3 metres in hole HU-101 (A zone, section 4611N)
    -   0.68% U(3)O(8) over 21.0 metres in hole HU-102 (A2 zone, section
        4682N)
    -   0.37% U(3)O(8) over 11.4 metres in hole HU-103 (BE zone, section
        4724N)
    -   0.12% U(3)O(8) over 17.9 metres in hole HU-104 (A zone, section
        4570N)
    -   2.20% U(3)O(8) over 4.3 metres in hole HU-106 (A zone, section 4626N)
    -   0.18% U(3)O(8) over 31.0 metres in hole HU-107 (BE zone, section
        4740N)
    -   0.32% U(3)O(8) over 15.0 metres in hole HU-108 (A east zone, section
        4665N)
    -   0.18% U(3)O(8) over 50.4 metres in hole HU-109 (BE zone, section
        4740N)
    -   0.36% U(3)O(8)over 20.4 metres in hole HU-111 (A zone, section 4626N)
    -   0.31% U(3)O(8) over 16.1 metres in hole HU-112 (BW zone, section
        4682N)
    

    Highest grades encountered within these intervals include 18.9% U(3)O8
over 0.2 metres at 163.2 metres in hole HU-100, 10.3% U(3)O8 over 0.5 metres
at 180.9 metres in hole HU-93, and 9.4% U(3)O(8) over 0.6 metres at 187.0
metres in hole HU-99. Drill holes reported here from the A zone are mainly
infill holes which further confirm the continuity and grade of that portion of
the deposit, and with additional holes for which assays are pending now have
tested the central portions of the A zone at a drill spacing of at least 15 m.
Drill holes in the BE, A1 and A2 zones reported here are the initial set of
infill holes which are defining the grade and morphology of these zones at
15-30 m drill spacing. While true widths of mineralized intervals have not yet
been determined, drill core axis angles and continuity of mineralization
between drill holes suggest that the vertical to steep angle of drill holes
crosses the shallow-dipping mineralized zones at a high angle, which is close
to true thickness.
    Mineralization at Horseshoe comprises zones of hematization with
disseminated and veinlet pitchblende-boltwoodite-uranophane mineralization
within arkosic quartzite gneiss. The zones dip shallowly, have an overall
plunge to the northeast, and occur at depths of between 120 and 450 m below
surface. Two mineralization styles are now apparent: a) veinlet and nodular
pitchblende + boltwoodite-uranophane in clay alteration, comprising most of
the A Zone, and which contains locally very high grades, and b) disseminated
pitchblende in hematite or chlorite altered arkosic quartzite. The latter
mineralization style has consistent grades typically ranging between 0.15 and
0.3% U(3)O(8), is often developed over broad intervals, and comprises most of
the BE and other zones to the northeast. The two recently completed HQ
diameter holes are for metallurgical tests from each style of mineralization.

    Continuing summer/fall 2007 exploration programs at Hidden Bay

    A total of five drills are currently operating at Horseshoe and Raven,
with three drills testing the northern sections of the Horseshoe Deposit.
Drilling has now commenced with two drills at the Raven deposit located
approximately one kilometre southwest of Horseshoe, and will be ramped up
during the latter part of the program as drills become available from
Horseshoe. The program here was delayed due to drill availability and the
expanded focus on defining the Horseshoe deposit. Drilling here will comprise
a combination of stepout and infill drill holes to test the continuity and
extent of mineralization there to enable a 2008 resource calculation. This
program follows up a successful winter 2007 drilling program at Raven, the
results of which suggest the presence of at least three stacked, linear zones.
Initial infill drilling of the current program appears to be confirming this
interpretation. It is anticipated that approximately 40,000 metres of drilling
will have been completed at Raven and Horseshoe during this program.
    In addition to the drilling at the Horseshoe and Raven Deposits, the
summer/fall 2007 exploration programs at the Wolf Lake and Tent-Seal target
areas were recently completed using a helicopter based drill. Approximately
6,000 metres of drilling was completed in these project areas which was
designed to follow up on mineralization and favorable geological settings
identified by historic drill holes. Results will be reported when assays are
received and fully interpreted.

    Sample Handling and Quality Assurance

    Geochemical samples are selected with the aid of a hand-held
scintillometer to identify areas of above-background radioactivity. Samples
are split, with half remaining in the core box, and the remainder shipped to
Saskatchewan Research Council Geoanalytical Laboratories ("SRC") where they
are crushed and ground to minus 106 microns. The pulp is digested in aqua
regia leach and analyzed by ICP for uranium and other elements. In addition to
the geochemical analyses, down-hole probe radiometric results, obtained for
all drill holes on completion of drilling, provide an independent check of the
geochemical data. Probe results can be used for grade calculations where poor
ground conditions occur and drill core recoveries are low, although at Raven
and Horseshoe recoveries are generally at, or close to, 100%. UEX has
commenced systematic insertion of sample blanks and standards of several
grades into the sample stream. In addition, repeat analyses are routinely
analyzed, laboratory standards are inserted by SRC, and selected sample pulps
have been submitted to other independent laboratories for check analyses to
assess sample repeatability and accuracy of the SRC results.
    The technical information in this news release regarding Raven and
Horseshoe has been compiled by David Rhys, P. Geo., a Qualified Person as
defined by N.I. 43-101.

    About UEX

    UEX is a Canadian uranium exploration and development company actively
involved in 19 uranium projects, including seven that are 100% owned and
operated by UEX, one joint venture with AREVA that is operated by UEX, ten
under option from AREVA and one under option from Japan-Canada Uranium
Company, Limited, which are operated by AREVA. The 19 projects, totaling
386,650 hectares (955,400 acres), are located in the eastern, western and
northern perimeters of the Athabasca Basin, the world's richest uranium belt,
which accounts for approximately 26% of the global primary uranium production.
UEX is currently developing several uranium deposits in the Athabasca Basin
which include the Anne and Kianna Deposits at its Shea Creek Uranium Project,
a joint venture with AREVA in the western Athabasca Basin, and the West Bear,
Raven and Horseshoe deposits located at its 100% owned Hidden Bay Project in
the eastern Athabasca Basin. UEX's exploration and development budgets for
2007 total $28.0 million, and the Company has a cash position of approximately
$58.0 million.

    ON BEHALF OF THE BOARD OF DIRECTORS OF UEX CORPORATION

    Stephen H. Sorensen
    President & C.E.O.

    Forward-Looking Statements

    This news release contains "forward-looking statements" that are based on
UEX's current expectations, estimates, forecasts and projections. These
forward-looking statements include statements regarding UEX's outlook for our
future operations, plans and timing for the commencement or advancement of
exploration activities on our properties, 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
statements. Such forward-looking statements are 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
statements. Many of these factors are beyond the control of UEX. Consequently,
all forward-looking statements made in this news release are 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
statements. 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.
                 Summer/Fall 2007 Horseshoe Drilling Program
         Significant Intersections from Drill Holes HU-091 to HU-112

    Only intervals with composite grades greater than 0.05% U(3)O(8) and a
    grade-thickness product greater than 0.1 are listed below. All analyses
    were performed by SRC by ICP.

    -------------------------------------------------------------------------
    Hole   Section  Depth of Hole    From       To      Length    Avg. Grade
           (North)    (metres)     (metres)  (metres)  (metres)  (% U(3)O(8))
    -------------------------------------------------------------------------
    HU-91    4665             281    173.30    174.50      1.20        0.091
    HU-91                            187.00    194.00      7.00        0.393
    HU-91                            221.00    223.10      2.10        0.205
    -------------------------------------------------------------------------
    HU-92    4665             311    162.00    164.00      2.00        0.114
    HU-92                            215.00    227.00     12.00        0.150
    HU-92                            243.00    245.50      2.50        0.279
    HU-92                            289.00    291.00      2.00        0.073
    -------------------------------------------------------------------------
    HU-93    4626             220    179.60    202.60      23.00       0.827
    HU-93          including         180.90    181.40      0.50       10.257
    HU-93          including         196.60    197.60      1.00        4.857
    -------------------------------------------------------------------------
    HU-94    4700             324    249.00    254.60      5.60        0.152
    HU-94                            259.20    274.00     14.80        0.092
    HU-94          including         260.50    262.50      2.00        0.277
    HU-94                            293.70    295.40      1.70        0.157
    -------------------------------------------------------------------------
    HU-95    4626             233    217.60    221.80      4.20        0.098
    HU-95                            224.70    226.00      1.30        0.918
    -------------------------------------------------------------------------
    HU-96    4650             209    140.60    142.00      1.40        0.151
    HU-96                            172.00    174.00      2.00        0.064
    HU-96                            181.60    186.00      4.40        0.132
    -------------------------------------------------------------------------
    HU-97    4650             221     99.50    107.00      7.50        0.105
    HU-97                            119.00    121.00      2.00        0.241
    HU-97                            141.00    141.80      0.80        0.191
    -------------------------------------------------------------------------
    HU-98    4682             327    194.00    219.40     25.40        0.222
    HU-98          including         209.50    219.40      9.90        0.406
    HU-98          including         236.70    243.50      6.80        0.402
    HU-98                            236.70    258.00     21.30        0.186
    -------------------------------------------------------------------------
    HU-99    4626             220    182.30    190.60      8.30        1.861
    HU-99          including         185.10    188.20      3.10        4.198
    -------------------------------------------------------------------------
    HU-100   4593             206    153.00    195.10   38.80(*)     0.277(*)
    HU-100         including         162.80    164.00      1.20        3.450
    HU-100         including         171.40    173.00      1.60        2.133
    -------------------------------------------------------------------------
    HU-101
     (xx)    4611             221    162.10    184.40     22.30     0.798(xx)
    HU-101         including         169.00    171.30      2.30        1.905
    HU-101         including         176.00    178.20      2.20        3.872
    -------------------------------------------------------------------------
    HU-102   4682             330    196.50    203.50      7.00        0.906
    HU-102                           223.00    244.00     21.00        0.684
    HU-102         including         229.00    234.50      5.50        1.569
    HU-102                           256.00    264.00      8.00        0.097
    -------------------------------------------------------------------------
    HU-103   4724             354    231.00    236.60      5.60        0.180
    HU-103                           275.00    278.00      3.00        0.385
    HU-103                           300.00    307.00      7.00        0.061
    HU-103                           320.60    332.00     11.40        0.374
    -------------------------------------------------------------------------
    HU-104   4570             221    136.80    138.80      2.00        0.096
    HU-104                           140.30    141.80      1.50        0.083
    HU-104                           147.80    149.60      1.80        0.062
    HU-104                           151.60    169.50     17.90        0.120
    HU-104                           177.30    178.40      1.10        0.121
    HU-104                           196.30    200.60      4.30        0.092
    -------------------------------------------------------------------------
    HU-105   4682             315    135.00    141.00      6.00        0.053
    HU-105                           152.50    154.00      1.50        0.222
    HU-105                           236.00    237.90      1.90        0.078
    -------------------------------------------------------------------------
    HU-106   4626             236    180.80    185.10      4.30        2.201
    HU-106                           211.50    213.65      2.15        0.124
    -------------------------------------------------------------------------
    HU-107   4740             475    296.00    327.00     31.00        0.176
    HU-107                           352.40    353.30      0.90        0.156
    -------------------------------------------------------------------------
    HU-108   4665             374    251.80    266.80     15.00        0.324
    HU-108                           317.80    319.80      2.00        0.111
    -------------------------------------------------------------------------
    HU-109   4740             476    272.80    274.80      2.00        0.057
    HU-109                           277.60    328.00     50.40        0.184
    HU-109         including         286.00    298.60     12.60        0.339
    HU-109                           363.00    373.00     10.00        0.117
    -------------------------------------------------------------------------
    HU-110   4682             320    172.00    173.50      1.50        0.055
    HU-110                           186.00    189.00      3.00        0.087
    HU-110                           266.00    267.50      1.50        0.074
    HU-110                           275.50    276.50      1.00        0.366
    -------------------------------------------------------------------------
    HU-111   4626             231    163.50    183.90     20.40        0.362
    HU-111                           179.20    183.90      4.70        1.273
    HU-111                           204.60    206.70      2.10        0.416
    -------------------------------------------------------------------------
    HU-112   4682             296    237.00    238.00      1.00        0.211
    HU-112                           242.80    258.90     16.10        0.305
    -------------------------------------------------------------------------

    (*) includes 3.30 metres not analyzed, and here composited at zero grade:
        sampling to be completed
    (xx)two samples over 1.3 m are still at the lab and should increase the
        grade of this intercept slightly since they are currently included at
        0 grade
    

    %SEDAR: 00017609E




For further information:

For further information: UEX CORPORATION, Suite 1007 - 808 Nelson
Street, Vancouver, B.C., Canada, V6Z 2H2, PH: (604) 669-2349, FAX (604)
669-1240, Website: www.uex-corporation.com, email: uex@intergate.ca

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