August 13, 2008
Uranium Energy Corp to Commence Drilling at Nichols Project in South Texas
AUSTIN, Texas, Aug. 13 /PRNewswire-FirstCall/ -- Uranium Energy Corp (AMEX: UEC; the "Company") is pleased to announce the finalization of drilling plans for the Company's 100%-owned Nichols Project in Karnes County, Texas. The plan calls for 30 exploration holes for a total of approximately 18,000 feet of drilling. Permitting has been submitted and approved by the Texas Railroad Commission, Division of Surface Mining. Development of the Nichols Project aligns with the Company's plan to establish satellite facilities for its advanced Goliad ISR Uranium Project. Drilling at Nichols is scheduled to commence next week.
The Nichols Project consists of 900 acres, and is located within the heart of the historic Karnes County uranium mining district. Karnes County is immediately adjacent to Goliad County, the site of the Company's Goliad ISR Project. The Nichols Project was originally explored by Texaco Uranium (now ChevronTexaco), and reportedly contains an historic resource of 1.2 million pounds of e-U(3)O(8). Uranium Energy's initial assessment of the historic data, the property and regional geology at Nichols indicates an excellent opportunity to expand on the resource work performed by Texaco. Following completion of the drilling program, the Company plans to have an independent Technical Report prepared under NI 43-101 guidelines.
The foregoing historical resource estimate for the Nichols Project was completed prior to the implementation of NI 43-101 standards. Given the quality of the historic work, the Company believes the resource estimate to be relevant, however a qualified person has not completed sufficient work to classify the historic mineral resources as current mineral resources, and the estimate should not be relied upon.
Data reviewed to date, including Texaco data, and geophysical logs from oil wells in the immediate area of the deposit, indicate that the historic mineralization lies within the Tertiary-age Jackson Formation, and occurs at an average depth of 440 feet. Historic reports in the Company's possession indicate that Texaco Uranium had planned to recover the uranium at the Nichols site using In-Situ Recovery (ISR) mining methods.
Harry Anthony, Chief Operating Officer, stated, "Strategically, the Goliad ISR Project is central to a great number of uranium resource sites in South Texas. Nichols is the Company's first project that may become a satellite development site with the capacity to feed material for processing at the central plant. This is one reason this drilling program is exciting for the Company. Several additional nearby sites are under review for near-term drilling."
The technical information in this news release has been prepared in accordance with the Canadian regulatory requirements set out in National Instrument 43-101 and reviewed by Clyde L. Yancey, P.G., Vice President-Exploration for Uranium Energy Corp, a qualified person under NI 43-101.
About Uranium Energy Corp
Uranium Energy Corp is a US-based resource company with the objective of becoming a near-term ISR uranium producer in the United States. Utilizing its extensive information library of historic uranium exploration and development work, the Company has acquired and is advancing uranium properties throughout the southwestern US. A Draft Mine Permit was recently issued for the Company's lead project, the Goliad ISR Uranium Project in south Texas. Operational management is comprised of pre-eminent uranium mining and exploration professionals whose collective experience in this industry gives the Company ongoing uranium mine-finding and mine development expertise.
Stock Exchange Information: American Stock Exchange Symbol: UEC Frankfurt Stock Exchange Symbol: U6Z WKN: AOJDRR ISN: US916896103 Safe Harbor Statement
This news release contains forward-looking statements within the meaning of Section 27A of the United States Securities Act of 1933, as amended, and Section 21E of the United States Securities and Exchange Act of 1934, as amended. Statements in this news release, which are not purely historical, are forward-looking statements and include any statements regarding beliefs, plans, expectations or intentions regarding the future. These statements involve risks and uncertainties which could cause actual results to differ materially from those in the forward-looking statements contained herein. Such risks and uncertainties may include, but are not limited to, the impact of competitive products, the ability to meet customer demand, the ability to manage growth, acquisitions of technology, equipment or human resources, the effect of economic and business conditions, the ability to attract and retain skilled personnel and factors outside the control of the Company. These forward-looking statements are made as of the date of this news release, and the Company assumes no obligation to update the forward-looking statements or to update the reasons why actual results could differ from those projected in the forward-looking statements. Although the Company believes that the beliefs, plans, expectations and intentions contained in this news release are reasonable, there can be no assurance those beliefs, plans, expectations or intentions will prove to be accurate. Investors should consider all of the information set forth herein and should also refer to the risk factors disclosed in the Company's periodic reports filed from time-to-time with the United States Securities and Exchange Commission. This news release shall not constitute an offer to sell or the solicitation of an offer to buy nor shall there be any sale of these securities in any jurisdiction in which such offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of any such jurisdiction.
Uranium Energy Corp
CONTACT: North America: Investor Relations, Uranium Energy Corp., TollFree: (866) 748-1030, Fax: (512) 535-0832, E-mail: [email protected]