Jul 24 2012
European Uranium Resources Ltd. (EUU: TSX-V; TGPN: Frankfurt) has completed its planned 3-hole drilling program to obtain samples for further metallurgical testing from the Kuriskova uranium deposit.
Preliminary evaluation suggests that the program was successful in obtaining sufficient sample weight at appropriate grade for testing as part of the ongoing feasibility study.
Downhole gamma logging results from the first drill hole (LE-K-73) were reported in an earlier news release dated June 26, 2012. Significant downhole gamma logging results from the final two holes (LE-K-74 and LE-K-75) together with summary of results from nearest previous holes are presented here:
LE-K-74: 2.9 m @ 0.478% eU3O8, including 0.5 m @ 1.847% eU3O8.
The two nearest historic holes are:
Hole 1181 with 3.6 m @ 0 .143% eU3O8 at a distance of 33 metres west of LE-K-74; and
LH-K-13A with 1.2 m@ 0.519% U3O8 at a distance of 30 metres northeast of LE-K-74
LE-K-75: 2.6 m @ 0.468% eU3O8, including 0.8 m @ 1.212% eU3O8.
The two nearest historic holes are:
Hole LH-K-14A with 3.0 m @ 1.454% U3O8 at a distance of 18 metres north of Hole LE-K-75; and
Hole 1182 with 4.8 m @ 1.453% eU3O8 at a distance of 20 metres northwest of Hole LE-K-75.
The April 2011, National Instrument 43-101 compliant resource estimate, audited and approved by Tetra Tech, Inc., comprises an Indicated Resource of 28.5 million pounds of U3O8 at a grade of 0.555% U3O8 contained in 2.3 million tonnes and an additional Inferred Resource of 12.7 million pounds of U3O8 at a grade of 0.185% U3O8 contained in 3.1 million tonnes, at a cut-off of 0.05% U (see news release dated April 26, 2011).
The Company is continuing to advance critical-path aspects of a feasibility study and environmental impact study for the Kuriskova deposit. The metallurgical samples collected from the continuing drill program will be tested by AREVA, a significant shareholder of European Uranium, later in the summer and fall of 2012, as part of the company's technical services agreement with AREVA. The objective is to optimize the process flow sheet as described in the preliminary feasibility study.
The company continues to conduct surface exploration work on targets within the Kuriskova license area, with the objective of defining drill targets that could lead to expansion of the current resource.
Slovakia's Prime Minister Robert Fico, elected in March 2012, continues to publicly reinforce the message that nuclear power will be a main energy source in Slovakia in the future. Construction of Slovakia's fifth nuclear power plant is expected to be completed and operational by 2020.
The Company continues its efforts to define the structure which allows uranium production from Kuriskova to be developed for the benefit of Slovakia's energy future. This could be a production off-take arrangement with Slovakia or a partnership with a Slovak entity. Discussions have been ongoing since April on several levels.
Work programs for the recently acquired Swedish and Finland uranium prospects have been designed and will be conducted in late summer and fall of 2012.
The following is a complete tabulation of significant intersections from the two holes reported above:
To view the table Kuriskova, Holes LE-K-74 and LE-K-75 Intersection, please click on the following link: http://www.usetdas.com/images/europeanuraniumchart.png
Notes to table: Grade higher than 0.4 % eU3O8 is highlighted as bold. The conversion factor for eU% to eU308 is 1.17924 and a significant intersection is considered at cut off of 0.03% eU.
The drill hole location map is attached to this release.
Uranium grades presented in this news release are reported as eU3O8 percentages based on downhole radiometric logging. The logging was performed by Koral SRO of Slovakia. Drill intercepts are reported as drilled; true thicknesses have not yet been calculated. Quality control and quality assurance are provided by Ravi Sharma (chartered professional member, AusIMM, and registered professional, SME), European Uranium's manager, resources and reserves, who is a qualified person as defined by National Instrument 43-101 and has reviewed and approved the technical disclosure contained in this news release.
EUROPEAN URANIUM RESOURCES LTD.
"Dusty Nicol"
Dorian L. (Dusty) Nicol, President and CEO
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
Cautionary Statement:
This news release contains forward-looking statements that are based on the Corporation's current expectations and estimates. Forward-looking statements are frequently characterized by words such as "plan", "expect", "project", "intend", "believe", "anticipate", "estimate", "suggest", "indicate" and other similar words or statements that certain events or conditions "may" or "will" occur. Such forward-looking statements involve known and unknown risks, uncertainties and other factors that could cause actual events or results to differ materially from estimated or anticipated events or results implied or expressed in such forward-looking statements. Such factors include, among others: the actual results of current exploration activities; conclusions of economic evaluations; changes in project parameters as plans to continue to be refined; possible variations in ore grade or recovery rates; accidents, labour disputes and other risks of the mining industry; delays in obtaining governmental approvals or financing; and fluctuations in metal prices. There may be other factors that cause actions, events or results not to be as anticipated, estimated or intended. Any forward-looking statement speaks only as of the date on which it is made and, except as may be required by applicable securities laws, the Corporation disclaims any intent or obligation to update any forward-looking statement, whether as a result of new information, future events or results or otherwise. Forward-looking statements are not guarantees of future performance and accordingly undue reliance should not be put on such statements due to the inherent uncertainty therein.
To view the drill hole location map titled "Kriskova,2012, Metallurgical Drilling Program", please click on the following link:
http://www.usetdas.com/images/europeanuraniummap.jpg