Post by Zoinkers on Aug 25, 2006 17:45:18 GMT -5
Press Release Source: Magnum Uranium Corp.
Magnum Signs Letter of Intent with Energy Metals for Uranium Properties in Utah and Wyoming
Tuesday August 22, 3:21 pm ET
VANCOUVER, BRITISH COLUMBIA--(CCNMatthews - Aug. 22, 2006) - Magnum Uranium Corp. ("Magnum") (TSX VENTURE:MM - News) is pleased to announce that it has signed a Letter of Intent ("LOI") with Energy Metals Corporation ("EMC") on two uranium properties, the 6,000 acre San Rafael Property located in Emery County, Utah and the Wild Buck Property located in Converse County, Wyoming. The San Raphael Property, located on the east flank of the San Raphael Swell, was explored for uranium and vanadium from the mid-1950's until the 1980's. Internal reports and memoranda prepared by Conoco and Union Carbide indicate that Conoco drilled more than 165 holes and defined a historical resource on State Section 36 of the property. Furthermore, Magnum has in its possession a large database pertaining to the historic drilling which occurred on the EMC claim block north of the State Section 36 deposit. Deposit and resource information will be detailed in a future news release pending the completion of the due diligence review by Magnum. Uranium and the corresponding vanadium mineralization associated with these deposits has a U:V ratio of 1:2. Deposits in this area occur within the stratigraphic sequence of the upper Salt Wash member of the Jurassic Morrison Formation. Deposits at San Raphael can be classified as roll front and blanket type.
The Wild Buck Property is located in the southern Powder River Basin, just 6 miles northwest of Cameco's world-class Smith Ranch uranium deposit and permit area. The property hosts roll front-type uranium mineralization in the Paleocene Fort Union Formation directly beneath the School Coal Seam. This setting and stratigraphy are similar to that hosting the mineralization at Smith Ranch. Nuclear Exploration and Development Company drilled strongly mineralized intercepts on the property in the early 1970's. Magnum believes that the property has the potential to host multiple stacked mineral horizons and roll front systems similar to those found at the Smith Ranch.
Under terms of the LOI, Magnum will pay EMC US$30,000 for an exclusive 60 day option to perform due diligence on the data EMC possesses on the two properties and integrate this information into the comprehensive property databases Magnum has in its possession. Upon completing the due diligence review, Magnum can earn a 65% interest in the properties by fulfilling the requirements of spending US$1.0 million in work on the two properties and issuing 600,000 shares of common stock staged over a 5 year period. Magnum's first year obligation is US$200,000 in work and issuance of 150,000 common shares. Magnum has the right to increase its interest in the properties to 80% by issuing an additional 250,000 common shares to EMC after the initial earn-in.
Dr. John Carden, Ph.D., P.Geo., a Director and Consulting Geologist for Magnum Uranium Corp., and a Qualified Person as defined by National Instrument 43-101, supervised the preparation of the technical information in this release.
The Company
Magnum is a Vancouver-based minerals exploration company focused on the acquisition and development of uranium assets in North America. Currently, Magnum's primary property holdings are mainly located in the Western United States, specifically Wyoming, Utah, Idaho, and New Mexico, as well as Canada's Athabasca Basin.
ON BEHALF OF THE BOARD
Craig T. Lindsay, President & CEO
Contact:
Craig T. Lindsay
Magnum Uranium Corp.
President & CEO
(604) 683-2507
(604) 683-2506 (FAX)
info@magnumuranium.com
www.magnumuranium.com
--------------------------------------------------------------------------------
Source: Magnum Uranium Corp.
Magnum Signs Letter of Intent with Energy Metals for Uranium Properties in Utah and Wyoming
Tuesday August 22, 3:21 pm ET
VANCOUVER, BRITISH COLUMBIA--(CCNMatthews - Aug. 22, 2006) - Magnum Uranium Corp. ("Magnum") (TSX VENTURE:MM - News) is pleased to announce that it has signed a Letter of Intent ("LOI") with Energy Metals Corporation ("EMC") on two uranium properties, the 6,000 acre San Rafael Property located in Emery County, Utah and the Wild Buck Property located in Converse County, Wyoming. The San Raphael Property, located on the east flank of the San Raphael Swell, was explored for uranium and vanadium from the mid-1950's until the 1980's. Internal reports and memoranda prepared by Conoco and Union Carbide indicate that Conoco drilled more than 165 holes and defined a historical resource on State Section 36 of the property. Furthermore, Magnum has in its possession a large database pertaining to the historic drilling which occurred on the EMC claim block north of the State Section 36 deposit. Deposit and resource information will be detailed in a future news release pending the completion of the due diligence review by Magnum. Uranium and the corresponding vanadium mineralization associated with these deposits has a U:V ratio of 1:2. Deposits in this area occur within the stratigraphic sequence of the upper Salt Wash member of the Jurassic Morrison Formation. Deposits at San Raphael can be classified as roll front and blanket type.
The Wild Buck Property is located in the southern Powder River Basin, just 6 miles northwest of Cameco's world-class Smith Ranch uranium deposit and permit area. The property hosts roll front-type uranium mineralization in the Paleocene Fort Union Formation directly beneath the School Coal Seam. This setting and stratigraphy are similar to that hosting the mineralization at Smith Ranch. Nuclear Exploration and Development Company drilled strongly mineralized intercepts on the property in the early 1970's. Magnum believes that the property has the potential to host multiple stacked mineral horizons and roll front systems similar to those found at the Smith Ranch.
Under terms of the LOI, Magnum will pay EMC US$30,000 for an exclusive 60 day option to perform due diligence on the data EMC possesses on the two properties and integrate this information into the comprehensive property databases Magnum has in its possession. Upon completing the due diligence review, Magnum can earn a 65% interest in the properties by fulfilling the requirements of spending US$1.0 million in work on the two properties and issuing 600,000 shares of common stock staged over a 5 year period. Magnum's first year obligation is US$200,000 in work and issuance of 150,000 common shares. Magnum has the right to increase its interest in the properties to 80% by issuing an additional 250,000 common shares to EMC after the initial earn-in.
Dr. John Carden, Ph.D., P.Geo., a Director and Consulting Geologist for Magnum Uranium Corp., and a Qualified Person as defined by National Instrument 43-101, supervised the preparation of the technical information in this release.
The Company
Magnum is a Vancouver-based minerals exploration company focused on the acquisition and development of uranium assets in North America. Currently, Magnum's primary property holdings are mainly located in the Western United States, specifically Wyoming, Utah, Idaho, and New Mexico, as well as Canada's Athabasca Basin.
ON BEHALF OF THE BOARD
Craig T. Lindsay, President & CEO
Contact:
Craig T. Lindsay
Magnum Uranium Corp.
President & CEO
(604) 683-2507
(604) 683-2506 (FAX)
info@magnumuranium.com
www.magnumuranium.com
--------------------------------------------------------------------------------
Source: Magnum Uranium Corp.