Nuinsco Begins Uranium Exploration, Schedules Drilling at Prairie Lakeadmin
Nuinsco Resources Limited announced that it has begun a uranium exploration program at its 100% owned Prairie Lake property in northwestern Ontario. Prairie Lake hosts a near-surface historic (non-NI-43-101-compliant) resource of over 180,000 tonnes grading 0.09% U3O8 reported by Nuinsco in the 1970s. Surface exploration has begun and samples have been collected in preparation for a minimum 1,500 metre drill program planned for 2007.
Nuinsco most recently conducted exploration in 2002-2003 when trench sampling provided a peak assay of 0.64% uranium from the “High-Grade Zone.” Historic diamond drilling by Newmont Mining and Nuinsco produced significant intercepts of strong uranium mineralization at “Jim’s Showing,” the High-Grade Zone and in several other areas. At Jim’s Showing, where the entire historic resource is located, DDH P1 returned 0.12% U3O8 over 10.06 metres while 420 metres to the southwest at the High-Grade Zone, DDH P14A produced 0.06% U3O8 over 1.0 metre and trench HG-5 returned 0.07% U3O8 over 8.23 metres. At the “Lake Occurrence,” approximately 150 metres east of Jim’s Showing, sampling from a trench produced 0.045% U3O8 over 3.0 metres.
“Prairie Lake is a fascinating property which is endowed with a wide variety of minerals and which remains largely untested beyond surface prospecting,” said Paul Jones, Nuinsco’s Vice-President, Exploration. “With the spot uranium price running in excess of US$60.00/lb the historic uranium resource at Prairie Lake has a potentially significant value, particularly as it is near surface and easily accessible. Drilling will initially focus on assessing the uranium mineralisation at Jim’s Showing and the High Grade Zone as well as testing several other sites where sampling has demonstrated elevated uranium values.”
Located about 45 kilometres northwest of Marathon, Ontario, Nuinsco’s Prairie Lake property covers the entire Prairie Lake Carbonatite intrusion. The property is easily accessible from the TransCanada Highway and an all weather forest access road. At about 8.8 square kilometres at surface the Prairie Lake Carbonatite intrusion is a huge exploration target that forms a prominent circular hill elevated up to 75 metres above the surrounding terrain. It consists of a number of exotic rock types, notably an ijolite core surrounded by a rim of mixed carbonatite, silicocarbonatite and calcitic ijolite rocks that have intruded Archean biotite-quartz-feldspar paragneiss country rock. It is located in a broad “alkalic-carbonatite” petrologic province which extends north-northeast from Lake Superior, and anomalous uranium mineralization is widespread throughout the intrusion in association with the minerals pyrochlore, uranpyrochlore and betafite.
The 180,000 tonne historic resource, which also grades 0.25% niobium (used in nickel-, cobalt-, and iron-based superalloys for such applications as jet engine components, rocket subassemblies, and heat-resisting and combustion equipment) in addition to 0.09% uranium, occurs at surface near the centre of the Prairie Lake Complex at Jim’s Showing. Drilling has only traced the mineralization to a vertical depth of 80 metres, however the full extent of this zone has not been delimited and high grade uranium bearing float has been found at surface over 450 metres along strike.
Exploration at the Prairie Lake property is being supervised by P.L. Jones, Vice-President Exploration for Nuinsco, who acts as a Qualified Person under National Instrument 43-101.
All resource estimates quoted herein are based on prior data and reports obtained and prepared by previous operators and the Company. The Company has not completed the work necessary to verify the classification of the mineral resource estimates. The Company is not treating the mineral resource estimates as NI 43-101 defined resources verified by a qualified person. The historical estimates should not be relied upon. These properties require considerable further evaluation which Nuinsco’s management and consultants intend to carry out in due course.
About Nuinsco Resources
Nuinsco is a growth-oriented, multi-commodity mineral exploration and development company that is prepared for production and focused on growth through nickel, uranium, copper, zinc and gold exploration and development in world-class mineralized belts in Canada and Turkey. Shares of Nuinsco trade on the Toronto Stock Exchange under the symbol NWI.
FORWARD-LOOKING STATEMENTS: This news release contains certain “forward-looking statements.” All statements, other than statements of historical fact, that address activities, events or developments that Nuinsco believes, expects or anticipates will or may occur in the future are forward-looking statements. Forward-looking statements are often, but not always, identified by the use of words such as “seek,” “anticipate,” “believe,” “plan,” “estimate,” “expect,” and “intend” and statements that an event or result “may,” “will,” “can,” “should,” “could,” or “might” occur or be achieved and other similar expressions. These forward-looking statements reflect the current expectations or beliefs of Nuinsco based on information currently available to Nuinsco. Forward-looking statements are subject to a number of risks and uncertainties that may cause the actual results of Nuinsco to differ materially from those discussed in the forward-looking statements, and even if such actual results are realized or substantially realized, there can be no assurance that they will have the expected consequences to, or effects on Nuinsco. Factors that could cause actual results or events to differ materially from current expectations include, among other things, failure to successfully complete financings, capital and other costs varying significantly from estimates, production rates varying from estimates, changes in world copper, nickel and/or gold markets, changes in equity markets, uncertainties relating to the availability and costs of financing needed in the future, equipment failure, unexpected geological conditions, imprecision in resource estimates, success of future development initiatives, competition, operating performance of facilities, environmental and safety risks, delays in obtaining or failure to obtain necessary permits and approvals from government authorities, and other development and operating risks. 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, Nuinsco disclaims any intent or obligation to update any forward-looking statement, whether as a result of new information, future events or results or otherwise. Although Nuinsco believes that the assumptions inherent in the forward-looking statements are reasonable, 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.
Contacts: Nuinsco Resources Limited Rene Galipeau
Nuinsco Resources Limited Sean Stokes (416) 626-0470 Email: email@example.com