Rose Petroleum plc

Uranium Exploration Results and Update

6-November-2008

Uranium Exploration Results and Update

  • Positive results at North Wash where 18 exploration drill holes intersect uranium mineralization
  • Drilling at North Wash indicates mineralization of GT* 0.20 or higher at a cut-off grade of 0.05% eU3O8 extends through an area 750 feet (304m) by 3000 feet (914m) (infill drilling required)
  • Second round drilling commences at Happy Jack project, Utah
  • Drilling also initiated as part of the VANE-Uranium One JV, northern Arizona Breccia Pipe District
*Grade-thickness product
 
VANE Minerals Plc today announces exploration drilling results and progress on its uranium projects located in Utah and Arizona. The projects are held by the Company's wholly-owned subsidiary, VANE Minerals (US) LLC.
 
 
NORTH WASH, UTAH
 
 
A drilling program, primarily designed to explore the 1,000-foot-wide (304m) untested area between the main body of mineralization and widely-spaced mineralized holes to the southwest, has returned positive results. Uranium mineralization was encountered in drill holes on each of the drill fences spaced 300 feet apart. The hole spacing is 100 to 200 feet on the fences. Fifteen (15) of the twenty-six (26) holes drilled cut mineralization. Three of the 15 holes reached resource status of a GT (grade-thickness) of 0.20 at a cut-off grade of 0.05% eU3O8. In particular, hole 08-14 with 9.5 feet (2.9m) grading 0.36% eU3O8, was the best hole drilled to date on the property.
 
 
In addition, three holes were drilled in the northeast part of the main body of mineralization, two of which were offset holes located 100 feet north of previous drilling. All holes cut uranium mineralization with one of the northern holes, 08-28, intersecting 5.0 feet grading 0.07% eU3O8.
 
 
The new drilling indicates an area measuring 750 feet (304m) by 3,000 feet (914m) encompassing resource-grade holes which is approximately twice the size of the previously known mineralized area. Additional infill drilling is required to better define the distribution of resource-grade mineralization in the newly defined area. The mineralized trend remains open.
 
 
The North Wash project was originally drilled by Cotter Corporation in the late 1970's. This historic drilling defined approximately 150,000 pounds of U3O8 (non-43-101 compliant) with associated vanadium before drilling was terminated due to the weak uranium market. A uranium to vanadium ratio estimated at 1:5, based on VANE core, indicates that 750,000 pounds of vanadium oxide (V2O5) may be present with the 150,000 pound indicated uranium resource, as announced on 15th January 2007. Vanadium was observed in each of the mineralized holes drilled in the current campaign. Future exploration will incorporate procedures to further assess the vanadium content.
 
 
VANE geologists continue to believe the North Wash project holds the potential for up to 1 million pounds of U3O8 and 5 million pounds of V2O5 (using bottom end historic indicated grades of V2O5).
 
 
 
 
The radiometric log results from Century Geophysical Corporation are listed in the table below:
 
 
 
 
Hole
Date
Depth
Mineralized
Thickness (ft) -
Number
Completed
Drilled(ft)
Interval (ft)
Grade (% eU3O8)
08-01
8/6/08
360
303.0-304.0
1.0 - Min.
08-02
8/12/08
360
309.5-311.0
1.5 - 0.09
08-03
8/14/08
340
 
Barren
08-04
8/16/08
350
 
Barren
08-05
8/17/08
360
 
Barren
08-06
8/19/08
360
 
Barren
08-07
8/20/08
350
 
Barren
08-08
8/26/08
360
 
Barren
08-09
8/27/08
340
303.0-306.0
3.0 - Min.
08-10
8/28/08
350
 
Barren
08-11
8/29/08
320
297.0-298.0
1.0 - 0.08
08-12
9/3/08
330
298.5-299.5
1.0 - 0.52
08-13
9/5/08
330
294.0-297.0
3.0 - Min.
08-14
9/7/08
340
270.5-280.0
9.5 - 0.36
08-15
9/8/08
330
 
Barren
08-16
9/9/08
330
272.0-281.5
9.5 - Min.(0.03)
08-17
9/10/08
330
272.0-273.0
1.0 - 0.05
08-18
9/16/08
340
253.0-255.0
2.0 - Min.
08-19
9/18/08
300
253.5-267.0
14.0 - Min.
08-20
9/19/08
300
 
Barren
08-21
9/21/08
320
280.5-286.5
6.0 - Min.
08-22
9/22/08
310
280.5-282.0
1.5 - 0.19
08-23
9/23/08
300
 
Barren
08-24
10/2/08
300
258.5-260.5
2.0 - 0.05
08-25
10/4/08
290
246.0-251.0
5.0 - Min.
08-26
10/6/08
290
 
Barren
08-27
10/7/08
270
244.5-245.5
1.0 - 0.09
 
 
 
251.5-252.5
1.0 - 0.07
08-28
10/8/08
250
215.5-220.5
5.0 - 0.07
08-29
10/9/08
260
206.5-208.5
2.0 - Min.
 
 
 
226.0-230.0
4.0 - Min.
 
 
 
 
HAPPY JACK, UTAH
 
A second round of drilling is underway to further test areas of mineralization surrounding the Happy Jack mine workings indicated on historic maps.
 
BRECCIA PIPE EXPLORATION, ARIZONA
 
Drilling on the VANE-Uranium One joint venture holdings has commenced.
 
 
Kristopher K. Hefton, Chief Operating Officer VANE Minerals (US) LLC, BSc Geology, who meets the criteria of a qualified person under the AIM Rules - Guidance for Mining, Oil and Gas Companies, has reviewed and approved the technical information contained within this announcement.
 
 
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Commenting today Steve Van Nort, CEO of VANE Minerals, said:
 
"We are encouraged by the results from North Wash and look forward to pushing ahead with further exploration of our uranium portfolio. Drilling has commenced at our Uranium One joint venture and second round drilling is underway at Happy Jack. I look forward to being able to release further results when available. VANE's exploration programs are well funded and I believe our ability to press ahead with work in the current economic environment leaves us well positioned to take advantage of a continued, global, uranium supply shortfall."