19.96 million pounds U3O8 NI 43-101 compliant inferred resource at surface in Quebec; Remains open along strike and at depth

    Trading Symbol: (TSX - V): URC

    VANCOUVER, July 7 /CNW/ - Uracan Resources Ltd. (the "Company") is
pleased to announce a National Instrument 43-101 compliant inferred resource
calculation has been completed on the Double S zone, part of Uracan's 100%
owned 1,000 Km(2) North Shore Uranium Property in Quebec.
    This resource estimation, presented in Table 1 (see below) outlines the
initial inferred resource contained in the Double S zone as defined by diamond
drilling up to December 2007. 51 diamond drill holes totaling 13,555.7 meters
were used to create the model used in the resource calculation.
    Based on a cut off of 0.009% U3O8, 74,215,000 tonnes averaging 0.012%
U3O8 containing approximately 9 million kilograms (19.97 million pounds) of
U3O8 has been outlined. This resource falls into the inferred mineral resource
category under NI 43-101 reporting requirements.

    Details of the new resource estimate are as follows:

    Cutoff    Cutoff    Tonnes    Average    Average U  Contained  Contained
     U3O8%     U ppm    ('000)      U3O8%      (ppm)    U3O8 (Kg)  U3O8 (lbs)
      0          0     616788      0.004       34.1   24,797,283  54,668,648
    0.006       50     179303      0.009       78     16,489,062  36,352,158
    0.009       75      74215      0.012      103.5    9,056,197  19,965,495
    0.012      100      33569      0.015      126.2    4,994,725  11,011,483
    0.015      125      13831      0.018      149.2    2,432,967   5,363,774
    0.018      150       5278      0.020      171.6    1,067,826   2,354,153
    0.024      200        618      0.027      229.3      167,073     368,333
    0.029      250        182      0.033      276.5       59,331     130,802
    All tabulated data has been rounded to three decimal places for U3O8

    Other Mineralized Zones
    Uracan has drilled an additional 14,524.5 meters in 71 diamond drill
holes since the end of 2007. None of these drill holes completed in 2008 are
included in the above resource calculation. In addition to the mineralization
at Double S, potentially significant uranium mineralization has been
encountered at Lac Petit, Middle, TJ, Chan and the Johan Beetz Zones elsewhere
on the property. Additional work has been, and will continue to be, carried
out on these other areas to outline additional uranium resources. Numerous
other showings and occurrences remain to be drill tested, and significant
portions of the North Shore Property have had little or no significant
exploration carried out yet.

    Mineral Resource Estimate Method
    The geologic model and block model was prepared by ResourceEye Services
Inc. of Mission, British Columbia using MineSight(R) software. The work was
completed under the supervision of Ron Parent P. Geo, an independent Qualified
Person for the purposes of NI 43-101.
    Geological interpretation of the distribution of various rock types were
defined by 2D polygons modeled using 100 meter spaced sections and were the
basis for coding the block model and drill holes. Five meter fixed length
composites from only granites and pegmatites (host rocks to uranium
mineralization at Double S) were used for grade interpolation. Other rock
types were assigned to the waste category.
    A block size of 25 meters by 25 meters in plan by 10 meters in height was
used for the block model, with the block model rotated at 45 degrees. The
blocks were coded directly from the 100 meter cross sections, with each
section having a 100 meter zone of influence.
    Blocks were clipped to topography, and overburden depth was used to
calculate the bedrock surface. The volume of each block below topography was
calculated and this was used to determine the total volume of each block in
the model (topo).
    Waste blocks were modeled using the 100 meter spaced cross sections to
outline their distribution. Ore and waste percentages were obtained by having
the waste polygons coded to the waste item. The ore and zone percent were
coded from the granite/pegmatite polygons, determining how much of the block
lies within the granite/pegmatite body. The ore percent was then reduced by
the amount of waste in the block such that waste+ore equals topo.
    Block grades were estimated using the inverse distance squared method.
5 meter fixed length composites broken on rock type were used, and
interpolation parameters were used as outlined below:

    Search Distance model X (true azimuth 45) equals 75 meters
    Search Distance Y equals 150 meters
    Search Distance Z equals 25 meters
    Maximum 3D distance from block to accept data equals 200 meters
    Maximum distance allowed to closest composite and maximum distance to
    project single composite equals 200 meters
    Minimum number of composites per block equals 2
    Maximum number of composites per block equals 10
    Maximum number of composites per hole equals3

    A specific gravity (SG) of 2.631 g/cm3 was used to calculate the tonnages
in the model. This SG was defined by a total of 225 samples collected from the
Double S zone drill holes as part of the ongoing work program at the North
Shore Property.

    NI 43-101 Compliant Report
    The Company plans to file a NI 43-101 compliant technical report covering
the inferred resource estimate completed on the Double S zone. The report is
being prepared by ResourceEye Services Inc. and will be filed within 45 days
to the TSX Venture Exchange.

    The database used to create the model was based on the drill hole
database provided by the Company. A total of 51 drill holes were used for the
model. Ten percent of these drill holes were randomly selected and checked and
found to be valid. Any minor errors encountered in the database were flagged
and fixed as they were encountered.
    ALS Chemex is the laboratory facility used for all assays from the North
Shore Property program. Samples are weighed and catalogued before sample
preparation. The samples are crushed to 70% less than 2mm, split and then
pulverized to 85% of the sample being less than 75 (micro)m. All samples are
assayed using ICP-MS with analysis completed for 47 elements.
    A QA/QC program was implemented as part of the sampling procedure for the
drill program. Field duplicates and field blanks were inserted into the sample
stream with at least one blank and one duplicate inserted per group of 40
samples sent to the laboratory. Uracan does not have a uranium standard to
insert into the sample stream at this time. The laboratory also has an
extensive in house QAQC system as part of their quality control system.

    2008 Summer Exploration Program
    In early June 2008 Uracan recommenced its exploration program on the
North Shore Property, with ongoing drilling and field work to further outline
areas of mineralization and high potential to host additional uranium
resources. It is planned to continue drilling on the Double S zone to further
define and expand the resource hosted there as well as further refine the
resource to the measured and indicated classification with additional drilling
and technical work. Mineralization at Double S remains open along strike and
at depth.

    Resource Classification
    Mineral Resources have been categorized using the classification of the
Canadian Institute of Mining, Metallurgy and Petroleum (2000), with the
relevant definitions provided below. This classification is the basis for
Technical Reports by Qualified Persons in Canada, and the classification is
virtually the same as that of the JORC code (Australia) SME guidelines (USA)
SAMREC (South Africa) and that of the European Union.
    An Inferred Mineral Resource can be estimated on the basis of geological
evidence and limited sampling and reasonably assumed, but not verified
geological and grade continuity. The estimate is based on limited information
and sampling gathered through appropriate techniques from locations such as
outcrops, trenches, pits, workings and drill holes.
    Due to the uncertainty which may attach to Inferred Mineral Resources, it
cannot be assumed that all or part of an Inferred Mineral Resource will be
upgraded to an Indicated or Measured Mineral Resource as a result of continued
exploration. Confidence in the estimate is insufficient to allow the
meaningful appreciation of technical and economic parameters or to enable an
evaluation of economic viability worthy of public disclosure.

    Uracan Resources Ltd. is a publicly-listed uranium exploration company,
exploring for shallow, bulk tonnage style of uranium mineralization in Canada.
Uracan is led by a team of proven exploration and mine entrepreneurs and
mine-builders. The information in this news release has been prepared and
reviewed by Marc Simpson, P. Geo., the Company's Qualified Person under
National Instrument 43-101 standards.

    The TSX Venture Exchange has not reviewed and does not accept
responsibility for the adequacy or accuracy of this release. The foregoing
information may contain forward-looking statements relating to the future
performance of Uracan Resources Ltd. Forward-looking statements, specifically
those concerning future performance, are subject to certain risks and
uncertainties, and actual results may differ materially. These risks and
uncertainties are detailed from time to time in the Company's filings with the
appropriate securities commissions.

For further information:

For further information: Gregg J. Sedun, President and CEO, (604)
682-5580; Marc Simpson, Exploration Manager, (604) 682-5580; Keith Schaefer,
Vanguard Shareholder Solutions, (604) 608-0824

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