Uranium Star's Assay Results from Three Horses Property in Madagascar Indicates World Class Vanadium Potential



    TORONTO, Feb. 4 /CNW/ - Uranium Star Corp. (OTCBB:URST) (FRANKFURT:YE5)
announces it has received assay results from the 31 hole diamond drill program
conducted on its Three Horses Property in Madagascar.
    Vanadium was intercepted on the north and south zones of the Property. In
total, 13 holes intercepted significant vanadium mineralization. Four holes
were drilled in the northern area of the Property, where a vanadium-rich trend
with a strike-length of 800 metres (Mainty Area) was indentified, and nine
holes were drilled in the southern area of the Property (Jaky Area) where a
vanadium-rich trend with a 1900 metre strike-length was identified.
    Vanadium mineralization is open along strike and at depth in all zones
identified to date.
    The following initial assay results indicate the potential for a world
class vanadium deposit. Future drilling needs to determine the full extent of
the discovery given that vanadium mineralization is currently open along
strike and at depth for all identified zones.

    
    Highlights of Assays

    The following is a summary of the highlights of the assays from the
northern area of the Property (Jaky Area) and the southern area (Mainty Area).

    Vanadium is generally considered to be economic between 0.25% and
    -----------------------------------------------------------------
    0.5% V2O5.
    ----------

    Jaky Area

    -   Hole TH-08-24 encountered 0.85% vanadium-oxide (V2O5) over
        56.4 metres, including 0.96% V2O5 over 42.6 metres.
    -   Hole TH-08-27 encountered 0.4% V2O5 over 44.2 metres, including
        0.77% V2O5 over 13.7 metres.
    -   Hole TH-08-02 encountered 0.37% V2O5 over 42.7 metres, including
        0.44% V2O5 over 12.2 metres.
    -   Hole TH-08-29 encountered 0.38% V2O5 over 36.6 metres, including
        0.56% V2O5 over 12.2 metres.

    Mainty Area

    -   Hole TH-08-14 encountered 0.4% V2O5 over 79.3 metres, including
        0.61% V2O5 over 19.8 metres.
    -   Hole TH-08-13 encountered 0.4% vanadium-oxide (V2O5) over
        64.0 metres, including 0.51% V2O5 over 13.4 metres.
    -   Hole TH-08-11 encountered 0.41% vanadium-oxide (V2O5) over
        21.3 metres, including 0.51% V2O5 over 15.2 metres.

    Summary Detail of Assay Details

    -----------------------------------  -----------------------------------
      Hole   Depth in Metres               Hole    Depth in Metres
                        Inter-  V  V2O5                      Inter-  V  V2O5
             From  To    val   ppm   %            From  To    val   ppm   %
    -----------------------------------  -----------------------------------
    TH-08-01 103.6 121.9 18.3 1762 0.31  TH-08-01 106.7 115.8  9.1 2400 0.43
    -----------------------------------  -----------------------------------
    TH-08-02  67.1 109.7 42.7 2069 0.37  TH-08-02  67.1  79.2 12.2 2478 0.44
    -----------------------------------  -----------------------------------
    TH-08-11  33.5  39.6  6.1 2218 0.40  TH-08-11  61.0  76.2 15.2 2833 0.51
    TH-08-11  54.9  76.2 21.3 2269 0.41  -----------------------------------
    -----------------------------------  TH-08-12  30.6  33.5  2.9 4507 0.80
    TH-08-12  30.6  33.5  2.9 4507 0.80  TH-08-12  45.7  61.0 15.2 2244 0.40
    TH-08-12  45.7  61.0 15.2 2244 0.40  TH-08-12  86.9 109.7 22.9 2659 0.47
    TH-08-12  88.4 109.7 21.3 2699 0.48  -----------------------------------
    TH-08-13  76.2  98.5 22.3 1684 0.30  TH-08-13  38.5  44.2  5.7 2253 0.40
    TH-08-13 100.6 164.6 64.0 2226 0.40  TH-08-13  61.0  69.8  8.8 2043 0.36
    -----------------------------------  TH-08-13 109.7 120.4 10.7 2842 0.51
    TH-08-14   3.0   5.6  2.6 1920 0.34  TH-08-13 126.8 140.2 13.4 2746 0.49
    TH-08-14  12.2  51.8 39.6 1960 0.35  -----------------------------------
    TH-08-14  51.8  91.4 39.6 2530 0.45  TH-08-14  38.1  48.8 10.7 2349 0.42
    -----------------------------------  TH-08-14  71.6  91.4 19.8 3412 0.61
    TH-08-24   4.6  61.0 56.4 4744 0.85  -----------------------------------
    TH-08-24  73.2  82.3  9.1 2103 0.38  TH-08-24  15.2  57.9 42.7 5355 0.96
    -----------------------------------  -----------------------------------
    TH-08-25  30.5  48.8 18.3 2370 0.42  TH-08-25  30.5  45.7 15.2 2423 0.43
    -----------------------------------  TH-08-25 100.6 103.6  3.0 2570 0.46
    TH-08-26   9.1  36.6 27.4 2283 0.41  -----------------------------------
    TH-08-26  62.5  73.2 10.7 1858 0.33  TH-08-26  13.7  27.4 13.7 3470 0.62
    -----------------------------------  TH-08-26  67.1  73.2  6.1 2990 0.53
    TH-08-27   4.6  48.8 44.2 2239 0.40  -----------------------------------
    TH-08-27  65.5  82.3 16.8 2216 0.40  TH-08-27  15.2  29.0 13.7 4310 0.77
    TH-08-27 146.3 155.4  9.1 2002 0.36  TH-08-27  70.1  82.3 12.2 2838 0.51
    -----------------------------------  TH-08-27 146.3 150.9  4.6 2720 0.49
    TH-08-31  15.2  51.8 36.6 2114 0.38  -----------------------------------
    -----------------------------------  TH-08-31  27.4  33.5  6.1 2230 0.40
                                         TH-08-31  36.6  48.8 12.2 3128 0.56
                                         -----------------------------------
    

    Ground geophysical and geochemical surveying indicates that the Jaky area
is at least 3500 metres in strike length, while the Mainty area is at least
2500 metres in strike length. As the Mainty and Jaky areas are on strike, and
separated by 15 kilometres of untested, potentially vanadium-bearing ground
(Manga Area), the Three Horses Property has the potential to host a
vanadium-rich horizon 21 kilometres in length.
    The Company's initial exploration program targeted both VMS and gold. The
focus shifted to vanadium as the drill holes continued to intercept large,
high-grade intersections. It is important to note that there still remains a
VMS target of significance, as the Company intersected a highly potential VMS
zone, characterized by acid-altered rock typically found in close association
with massive sulphide mineralization.
    The Company's original drill strategy did not focus on a vanadium
discovery. Exploration at this point was well into the rainy season and had to
be halted, and consequently the Company was not able to fully outline the size
potential of the vanadium mineralization. However, the limited amount of
drilling completed to date quantified high-grade vanadium over large
intersections.

    Significance of This Discovery

    Supply is limited - world production only totals about 100,000 tons a
year and current primary producers in South Africa are all operating at full
capacity. Demand for vanadium is dominated by steel production, which
represents more than 90% of all vanadium usage.
    Vanadium is a relatively unknown, yet very strategic and increasingly
important metal. It is used in the production of high-quality, metal alloys,
like high-strength steel, because of its property as an active grain refiner
and as a strong anti-oxidant and can impart strength, hardness and wear
resistance to steels.

    
    The main uses of vanadium touch a myriad of industries:
    -   Aerospace - titanium alloys and heat resistant steels
    -   Air, car and rail - aircraft engines & airframe materials, auto and
        rail parts
    -   Renewable energy - Wind and solar power, hybrid and electric car
        parts
    -   Pipelines
    -   Batteries
    

    The vanadium industry is rapidly growing in lock-step to advancements in
technology, and new uses are continually being discovered for the metal. Since
the production and use of high-strength steels is growing faster than other
steels, vanadium usage in steel is often increasing faster than overall steel
production.
    China and the USA are the largest individual consumers of vanadium, each
accounting for close to 20% of the world market. For some time now, analysts
and economists agree that China will be the driving force behind the demand
for commodities as it continues to invest in infrastructure.
    The Company believes that China will be the primary consumer for this
discovery. It should be noted that China has global expertise in both sourcing
and investing in vanadium.
    A November 2008 Financial Post article reports that China is on the verge
of a vast boom in construction, announcing a stimulus plan to spend a massive
US$586-billion on a series of infrastructure projects aimed at propelling the
country's economy through the global downturn. The details of the plan include
building 100,000 kilometres of oil and gas pipelines, building 60 airports,
and creating 17,000 kilometres of new subway and light-train rail lines. New
rail projects alone are estimated to require 20 million tons of additional
demand for steel. The plan also calls for US$60-billion for increased power
generation. Coincidently, every investment item mentioned above has a direct
correlation to the demand for vanadium.

    Mineralogy and Metallurgy

    A petrographic-electron microprobe analysis has been completed on a suite
of core samples to specifically identify the vanadium mineralogy. Vanadium was
found to occur in these samples in a wide array of minerals, with most of the
vanadium found associated with silicate and oxide receptor minerals. The
Company is in the process of beginning preliminary metallurgical work to
determine what recoveries can be obtained from this unique vanadium discovery.

    Other Drilling

    The Property was originally targeted for base metal (13 drill holes) and
gold (5 drill holes). No significant massive sulphides or gold mineralization
was intercepted during the program, but hole TH-08-05 intercepted stringer
mineralization of 0.4% zinc over 4.3 metres indicating the potential for base
metal mineralization. Additionally, Holes TH-08-20 through 22 intercepted
acid-altered rock typically found in close association with massive sulphide
mineralization. Due to technical limitations, these holes could not be
completed to target depth, so different drill equipment will be employed
during the upcoming program to test the area.

    Next Steps

    The Company is eager to return to the Property as the recently completed
drill program was concluded early, due to the beginning of the rainy season in
Madagascar.
    The next phase of exploration drilling will be more extensive, and is
planned for the Spring of 2009, commensurate with the conclusion of the rainy
season.
    A drill program of 30 to 40 holes, approximating 8,000 metres will be
undertaken to ascertain widths of the vanadium-rich trends and confirm that
vanadium mineralization extends across the entire 21 kilometre vanadium-rich
trend. To date, every hole put into the trend has confirmed vanadium
mineralization. From these results, the Company will be able to begin to
estimate the potential size of an economic deposit.

    About the Property

    Uranium Star's Three Horses Property, located in south-western
Madagascar, displays mineralization and alteration styles often associated
with volcanogenic massive sulphide (VMS) deposits. These deposits can host
significant quantities of copper, zinc, lead and precious metals. With the
serendipitous discovery of significant vanadium mineralization, the Company
has focused its primary attention to quantifying the potential size and
economic value of the deposit.

    Craig Scherba, P.Geol., of Taiga Consultants Ltd. is the Exploration
Manager and is supervising Uranium Star's exploration activities on the Three
Horses, Madagascar Property.

    WARNING: The statements made in this news release may contain
forward-looking statements that may involve a number of risks and
uncertainties. Actual events or results could differ materially from
expectations and projections set out herein.

    %SEDAR: 00025651E




For further information:

For further information: visit our website at www.uraniumstar.com; Or
contact: Brent Nykoliation, Vice President of Business Development, Uranium
Star Corp., Toll Free: (800) 818-5442 or (416) 364-4911, Email:
bnykoliation@uraniumstar.com; or J. A. Kirk McKinnon, President and Chief
Executive Officer; Richard Schler, Chief Operating Officer & CFO

Organization Profile

URANIUM STAR CORP.

More on this organization


Custom Packages

Browse our custom packages or build your own to meet your unique communications needs.

Start today.

CNW Membership

Fill out a CNW membership form or contact us at 1 (877) 269-7890

Learn about CNW services

Request more information about CNW products and services or call us at 1 (877) 269-7890