VANCOUVER, June 12 /CNW/ - ESO Uranium Corporation (ESO:TSX-V), the
Company, has been completing airborne geophysical work and compilation of data
from the extensive assessment reports covering its 100% owned Cree Uranium
Claims in the East Athabasca Basin, Saskatchewan. These claims cover an area
of approximately 625,000 acres (250,000 hectares) and lie parallel to and on
the west side of the highly productive belt of uranium mines and deposits in
the east margin of the Athabasca Basin. Results of earlier Megatem coverage of
the northeast sector of the Cree Claims, completed by Fugro Geophysics, were
delivered in late 2006. These data are the basis for defining further airborne
radiometric and aeromagnetic work to detail the five strongest anomalies
identified. The additional airborne data will be used with data from ground
work, including systematic boulder sampling and electrical soundings, to
assist in the definition of drill targets for testing later this year.
Fugro have also delivered (June 2007) preliminary Megatem data for the
southwest sector of the Cree project area. These claims cover an area of
detailed surveys and some follow-up diamond drilling carried out by Uranerz in
the 1970's uranium exploration boom.
The ESO results indicate a strong graben-like (rift-valley-type-faulting)
development along the NE-SW axis of the Cree Claims that has a low magnetic
response with a strong electromagnetic anomaly. This is a geophysical response
that could reflect a conductive graphitic zone with strong structural
definition that is a classic parallel to that for known uranium deposits in
the Eastern Athabasca basin. The structure is parallel to, and may be
associated with, the Cable Bay Shear Zone, a long structure that has some
similarities to the nearby mineralized Virgin River shear zone structure.
The earlier work by Uranerz, included boulder sampling over an area
approximately 30 km by 5 km, covering a large part of the southwest claims.
The work identified a boulder train of anomalous alteration products with clay
and uranium values that may reflect hydrothermal plumes above mineralization.
Follow-up drilling by Uranerz included 6 holes within the Cree Claims that
intersected the unconformity at the base of the Athabasca sedimentary package.
The holes also confirmed alteration of the type seen in hydrothermal plumes.
These data will be used to refine the interpretation of geophysical data
required in the new surveys. A Uranerz drill hole close to the southern border
of the ESO claims reported uranium mineralization associated with the
structure which has encouraged a detailed evaluation of this part of the East
Athabasca claims. The budgeted program for the Cree Project work, before
drilling is $3.5 million, of which, $1.2 million has been spent on the Fugro
On the West Athabasca properties of ESO, permitting has been extended for
the drill evaluation of targets on the Cluff properties to match extended
drilling programs. Renewal of permits for drilling (previously granted) on the
100% Hook property has been initiated using a minimum environmental impact
approach with a helicopter supported program. The targets on the Hook claims
are airborne magnetic and electromagnetic anomalies that have been ground
checked and defined with resistivity surveys carried out by Peter Walcott and
Associates in early 2007. The Dirkson structure, on the south side of the ESO
Hook claims, appears to continue northwards into these claims and has drill
indicated uranium mineralization. The ESO targets are up-ice of boulder train
anomalies (in the possible source area) indicating pathfinder alteration
values that may be associated with uranium mineralization. Budgeted drilling
costs for the Cluff properties are currently $2.5 million and for the Hook
claims are $750,000.
The company also announces the granting of 650,000 options under the
incentive stock option plan to certain directors, officers, employees and
consultants. The options are exercisable at price of 56 cents per share for a
period of five years. Of these options, 100,000 are issued to consultants
performing investor relations and vest over 12 months in accordance with the
policies of the TSX Venture Exchange.
For reference, the current spot price of uranium is now US$138 per pound
of U3O8; an assay reported as 1.0% of U3O8 is equal to 20 pounds of uranium
oxide per short ton - the conversion of percent metal or metal oxide from
percent to pounds per short ton is done by multiplying the percent value by
On behalf of the Board of Directors of ESO Uranium Corp.
Vice President, Exploration
The Toronto Venture Exchange has not reviewed nor accepted responsibility
for the adequacy or accuracy of the contents of this news release which has
been prepared by management. Statements contained in this news release that
are not historical facts are forward looking statements as that term is
defined in the private securities litigation reform act of 1995. Such forward
looking statements are subject to risks and uncertainties which could cause
actual results to differ materially from estimated results. Such risks and
uncertainties are detailed in the Company's filing with the Securities and
For further information:
For further information: For Corporate Communications please contact:
Tom Corcoran or Bob Meister, ESO Uranium Corporation, Vancouver, B.C., Toll
Free: 1-866-629-8368, Phone: (604) 629-0293, Email: firstname.lastname@example.org