CanAlaska Finalizes Uranium Exploration Venture with Mitsubishi Development

    VANCOUVER, April 11 /CNW/ - CanAlaska Uranium Ltd. (CVV - TSX.V) (the
"Company" or "CanAlaska") is pleased to report that the Company has finalized
an agreement with Mitsubishi Development Pty Ltd. ("MDP"), an Australian based
mining company wholly owned by Mitsubishi Corporation in Japan, to undertake
uranium exploration on CanAlaska's 100%-owned West McArthur project as
originally reported last year (see CanAlaska press release dated September
6th, 2006). The West McArthur Project is situated in Canada's Athabasca Basin
in the Province of Saskatchewan approximately 8km west of the McArthur River
uranium mine (389,100,000 lbs. @ 25% U(3)O8). The Project comprises nine large
claim blocks across 359 square kilometres (88,516 acres).

    Please click on the hyperlink to view Map

    MDP and CanAlaska have entered into an Option Agreement whereby MDP may
acquire a 50% ownership interest in the West McArthur Project by spending a
minimum Cdn$11.0 million in cash and exploration payments to CanAlaska over a
3 1/2-year period. Upon MDP fulfilling its exploration commitments under the
Option Agreement, the parties shall enter into a 50/50 joint venture to be
governed under the terms of a pre-negotiated Joint Venture Agreement. As a
part of its exploration commitments, MDP will recompense to CanAlaska a total
of Cdn$2,655,531 for exploration undertaken by CanAlaska on the project since
June 1st, 2006. Going forward, CanAlaska will act as Operator for the project
and will be responsible for carrying out all exploration activities. The terms
of the Option and Joint Venture Agreements are subject to the regulatory
approval of the TSX Venture Board.
    The Athabasca Basin is widely considered as being the richest and one of
the largest uranium producing regions in the world. The West McArthur Project
holds significant potential for uranium discovery. In 2005 and 2006, CanAlaska
flew a series of electromagnetic ("EM") and gravity gradient airborne surveys
which identified multiple uranium targets on the property. Follow-up work in
2006 has included ground IP-Resistivity surveys, prospecting and initial
target definition drilling. Results of drilling in two target zones confirmed
the depth to unconformity at 810 to 830 metres.
    A Phase Three drilling program of 3,600 metres commenced on the Project
on March 13th, 2007. Two previous phases of drilling identified uranium
mineralization and typical Athabasca unconformity-style uranium alteration
halos in two areas on the northern portion of the claim holdings. The two
major zones of alteration and interest ("West Zone" and "East Zone") are
located on a regional graphitic conductor which contains, in detail, various
horizontal and vertical offsets thought to be caused by major structural
breaks in the basement rocks. This geological environment in the Athabasca
Basin is highly favourable for the hosting of major uranium deposits.

    Please click on the hyperlink to view Map

    The current drill program represents a series of progressive step-outs
from the previous uranium-clay-silica zone intercepted in the last hole of the
2006 field season. Hole 2006-WMA007 intersected a significant alteration halo
consisting of 20 metres of intense silicification, underlain by fractured and
clay-altered rocks. The alteration halo and mineralized zone, pierced by the
drill hole at approximately 800 metres depth, contained elevated uranium and
trace element geochemistry, as well as stringer pitchblende (U(3)O(8))
mineralization. The first hole of the new drilling season, 2007-WMA008, is
located approximately 850 metres west of hole WMA007 on a target identified by
a recent detailed AudioMagnetoTelluric ("AMT") survey. Further drill holes
will test targets identified by Moving Loop TDEM/AMT surveys and structural
lineaments derived from magnetic and gravity gradient surveys in this area.
    The new drilling is progressively testing the continuation of the zone of
very high conductivity and alteration determined by the early airborne and
ground geophysical surveys, now confirmed by subsequent AMT/EM ground surveys
and drilling. The "West" zone appears to be composed of several targets along
approximately 3 kilometres of a complex conductive zone. The "East" zone is a
highly disrupted area of the conductor, approximately 5 km long. The four
previous drill holes in this area will be followed with further infill test
    CanAlaska field personnel have also been working with MDP on additional
areas of the property to localize drill targets within other strong airborne
and surface geophysical conductors. At least one of these targets is scheduled
for drill testing in the current phase.
    Mr. Peter Dasler, President & CEO of CanAlaska Uranium stated, "We are
extremely pleased to welcome Mitsubishi as our exploration partner on the West
McArthur project. Based on initial exploration results, we believe there
exists significant potential for the discovery of a major uranium deposit and
we are most appreciative of the confidence and resources extended by
Mitsubishi to CanAlaska in support of this aim. Mr. Emil Fung, Vice President,
Corporate Development of CanAlaska Uranium stated, "MDP's selection of
CanAlaska as an exploration partner reflects highly upon the skills and
experience of CanAlaska's uranium exploration team. It also affirms the
strategic stature of CanAlaska's large portfolio of uranium land holdings in
the Athabasca Basin."
    The Qualified Person for this news release is Peter Dasler, P.Geo.

    About CanAlaska Uranium Ltd. --

    CanAlaska Uranium (CVV -- TSX.V, CVVUF -- OTCBB, DH7 -- Frankfurt) is
undertaking uranium exploration in seventeen 100%-owned and two optioned
uranium projects in Canada's Athabasca Basin. Since September, 2004, the
Company has aggressively acquired one of the largest land positions in the
region, comprising over 2,500,000 acres (10,117 sq. km or 3,906 sq. miles). In
2005/2006, CanAlaska expended over Cdn$15 million exploring its properties in
the Athabasca Basin and has delineated multiple uranium targets. Initial
drilling results from the West McArthur Project (now under an earn-in option
to Mitsubishi Development Pty. Ltd.) revealed uranium mineralization and
significant zones of hydrothermal alteration, indicative of a favorable
environment for uranium deposition. Active drilling and exploration will
continue in the winter of 2007 at West McArthur and at 4 other significant

    On behalf of the Board of Directors

    Peter Dasler, M.Sc., P.Geo.
    President & CEO, CanAlaska Uranium Ltd.

    The TSX Venture has not reviewed and does not accept responsibility for
the adequacy or accuracy of this release: CUSIPNo. 13708P 10 2. This news
release contains certain "Forward-Looking Statements" within the meaning of
Section 21E of the United States Securities Exchange Act of 1934, as amended.
All statements, other than statements of historical fact, included herein are
forward-looking statements that involve various risks and uncertainties. There
can be no assurance that such statements will prove to be accurate, and actual
results and future events could differ materially from those anticipated in
such statements. Important factors that could cause actual results to differ
materially from the Company's expectations are disclosed in the Company's
documents filed from time to time with the British Columbia Securities
Commission and the United States Securities & Exchange Commission.

For further information:

For further information: Emil Fung, Vice President, Corp. Dev., Tel:
(604) 685-1870, Toll Free (N. America): 1-800-667-1870, Email:

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