• E-mail
• Print
• Comment
• Font Size
• Digg
• del.icio.us
• Discuss article

Nuinsco Begins 5,000 Metre Drill Program at Diabase Peninsula Uranium Property

Posted on: Monday, 29 October 2007, 12:00 CDT

Nuinsco Resources Limited ("Nuinsco" or the "Company") (TSX: NWI) (www.nuinsco.ca) today announced that a minimum 5,000 metres of diamond drilling, to follow up on previous positive exploration results, has begun on the Company's Diabase Peninsula uranium property in Saskatchewan's Athabasca basin.

"We're finally over the significant hurdle of getting a rig and crew on site and drilling," said Nuinsco's President, Paul Jones. "Now we can focus on the task of following up on the results of our previous work that demonstrates that the Diabase Peninsula property is a premier uranium exploration project as acknowledged by the Northern Prospector magazine which late last year ranked the property as the second most prospective in the Athabasca Basin."

Nuinsco began a comprehensive exploration program in 2005 that has included 4,671 metres of drilling in ten widely spaced drill holes. The drill results have identified a project area that is clearly geochemically anomalous with respect to uranium and other key indicator elements both in the Athabasca sediments and the underlying graphite- and sulphide-bearing basement rocks. This drilling, along with the presence of numerous uranium-prospective structures interpreted from both local and property-wide geophysical surveys, confirms the excellent potential of the property to host unconformity-style uranium mineralization.

Notable results from the work to date include:

- The combination of uranium-arsenic-nickel-cobalt-magnesium oxide identified in several drill holes, which is typical of a number of the mines in the Athabasca district and points to the presence of some form of unconformity-style mineralization nearby.

- The presence of clay alteration (illite-kaolin), another distinct indicator of the passage of hydrothermal fluids capable of transporting uranium mineralization.

- High uranium/lead ratios, which suggest upward leakage of uranium-bearing hydrothermal fluid into the sediments.

- The interpreted presence, identified by more than 100 metres of vertical offset of the unconformity between drill holes ND-05-01 and ND-06-01, of possibly reactivated northwest-southeast oriented faults that cross-cut the trend of the sulphide-graphite mineralized Cable Bay Shear Zone. Such a "step-up" in the unconformity can act as a trap where uranium-bearing fluids pool to create the high-grade "Super Deposits" found in the Athabasca Basin.

About the Diabase Peninsula Property

The 21,900 hectare Diabase Peninsula Property encompasses coincident, highly prospective alteration and geophysical signatures which are indicative of possible uranium mineralization. Located on the western shore of Cree Lake, approximately five kilometres north of the southern boundary of the Athabasca Basin where sediment cover is relatively thin, the Diabase Peninsula property overlies the graphite-bearing Cable Bay Shear Zone which is considered to be an important potential host for uranium mineralization in this part of the Athabasca Basin.

Nuinsco is the operator, holds an approximate 70% interest in the project, and is partnered with Trend Mining Company of Denver, Colorado (OTCBB: TRDM). The project is being supervised by C.A. Wagg, P.Geo. Manager of Canadian Exploration for Nuinsco, who acts as QP under National Instrument 43-101.

About Nuinsco Resources

Nuinsco is a growth-oriented exploration company focused on advancing its uranium, copper, gold and zinc assets in world-class mineralized belts in Canada and Turkey. In addition to its property holdings, Nuinsco owns approximately 22% of the outstanding common shares of Victory Nickel Inc. (TSX: NI) and approximately 10% of the outstanding common shares of gold and copper producer Campbell Resources Inc. (TSX: CCH) and is developing its first operating mine, the high-grade Corner Bay copper project, in conjunction with Campbell. Along with cash flow from Corner Bay, these investments have the potential to finance the Company's exploration programs in order to minimize dilution to shareholders going forward. 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 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 or Sean Stokes (416) 626-0470 Email: admin@nuinsco.ca Website: www.nuinsco.ca

SOURCE: Nuinsco Resources Limited

Source: MARKET WIRE

More News in this Category