Uranium Power Corp. (TSX VENTURE: UPC) is pleased to announce that the NI 43-101 Mineral Resource Estimate, recently completed by Scott Wilson Roscoe Postle Associates, Inc. (Scott Wilson RPA) for the Sheep Mountain Property, Wyoming, has been filed on SEDAR (www.sedar.com). The study reports Inferred Mineral Resources of 4.56 MT grading 0.17% eU3O8 (15.6 M lbs contained eU3O8), contained in the Sheep 1 and 2 deposits. In addition Scott Wilson RPA reports that additional Historical Estimates totaling 6.5 million pounds eU3O8 are located in the North Gap area, approximately one mile north of the Sheep Mountain mines.
The Sheep Mountain project, which includes the Sheep Mountain 1 and 2 deposits as well as the North Gap area, is a joint venture between UPC and U.S. Energy Corp. (NASDAQ: USEG) and Crested Corp. (OTCBB: CBAG) d/b/a USECC.
Summary of Estimates (million pounds eU3O8) Previously Reported October 2006 -------------------- -------------------- Area Historic NI 43-101 Historic NI 43-101 -------- --------- -------- --------- Sheep 1 and 2 8.6 0 0 15.6 North Gap 0 0 6.5 0
As previously reported by UPC, sxr Uranium One Inc. ("Uranium One") is currently negotiating to acquire all the uranium assets of UPC's partner, USECC. Uranium One is also in negotiations to acquire the Wyoming uranium assets of Rio Tinto Energy America (RTEA), which include the Sweetwater Mill. This mill is located about 30 miles by road south of the Sheep Mountain property. The Sheep Mountain mines are currently fully permitted for production.
The Qualified Person for the NI 43-101 compliant Mineral Resource estimate of the Sheep Mountain project is David W. Rennie, P. Eng., Consulting Geological Engineer in the Vancouver, BC office of Scott Wilson RPA.
The Historical Mineral Resource estimates in the North Gap area have not been previously reported by UPC. These estimates were prepared before implementation of National Instrument 43-101, recent independent verification of the data has not been performed and UPC has not completed sufficient exploration work to verify the historical estimates. UPC does not treat the historical estimates as NI 43-101 defined resources verified by a qualified person and they should not be relied on.
Update on Exploration Activities:
UPC is also pleased to provide this update regarding on-going exploration activities on the Green River South and Breccia Pipes projects. Both of these projects are 50:50 joint ventures with USECC.
Green River South:
Drilling will commence on the Green River South project within the next two weeks. Five core holes are planned on the Sahara deposit to provide samples to validate earlier drilling, and to allow the determination of the disequilibrium status of the mineralization. Following this drilling, 10-15 rotary holes will be drilled to follow-up on targets identified from drilling completed by a previous operator on the project lands.
On the Breccia Pipes project in Arizona, land acquisition activities are continuing. Over the past several months, a total of 215 claims have been acquired, either by staking or by option. These claims add approximately 4,400 acres to the existing land position, covering about 20 new potential breccia pipe targets. This continues the commitment the joint venture partners have to the discovery of potential mill feed for USECC's Shootaring Canyon Mill in southern Utah.
Chris M. Healey, P. Geo, a Director of UPC is the Qualified Person responsible for the technical information contained in this release.
Rahoul Sharan, President of UPC commented "With UPC now having an independently determined quantifiable mineral resource and given that Uranium One is in negotiations to acquire both UPC's 50% partner in the Sheep Mountain Project and the nearby fully permitted Sweetwater Mill, the project is clearly making significant advances. UPC will be meeting with its joint venture partners in order to conclusively determine the next step that will be taken to achieve production from the defined inferred mineral resource at Sheep Mountain."
URANIUM POWER CORP.
Rahoul Sharan, President
WARNING: The Company relies on litigation protection for "forward looking" statements. Actual results could differ materially from those described in the news release as a result of numerous factors, some of which are outside the control of the Company.
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Uranium Power Corp.
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