KELOWNA, BC, Dec. 12, 2014 /CNW/ - Northern Uranium Corp. (TSXV : UNO) ("Northern Uranium" or, the "Company") is pleased to announce that it has earned a 50% interest in the North West Manitoba property from Canalaska Uranium Ltd. ("Canalaska").

UNO Earns 50% Interest

As per the option agreement signed with Canalaska, Northern Uranium was required to issue a total of 4,500,000 shares and 2,250,000 warrants to Canalaska as well as incur $3,200,000 in expenditures on the property.  Northern Uranium has now met these requirements and has earned a 50% interest in the project.

The next milestone in the agreement provides Northern Uranium with the right to earn a 70% interest in the project through the expenditure of $2,800,000 on the project, and the issuance of 2,500,000 shares and 1,250,000 warrants to Canalaska.  The expenditures must be incurred within two years.

Upon earning the 70% interest Northern Uranium has the right to acquire an 80% interest in the project through additional expenditures on the project and the issuance of shares and warrants to Canalaska.

RAB Drilling

Northern Uranium is pleased to report that the RAB drilling is continuing on the project.  A second hole (MG14RB-0011A) has reached bedrock.  It was drilled approximately 19 meters to the northwest of the previously announced hole on November 21, 2014.  Semi-pelite bedrock was intersected at approximately 14 meters and drilling continued to 19.5 meters.  Similar to the first hole elevated contents of biotite rich semi-pelite bedrock, which is a known host of uranium was intersected at a depth of approximately 14 meters and drilling continued to a depth of 19.5 meters.  Composite samples were collected from the drill cuttings every 1.5 meters. These samples were analyzed using an Iso Cart 85 gamma ray spectrometer which detects Uranium 232, 234, 235 and 238 as well as Lead 210, Bismuth 214 and Radium 226.  Analysis of the samples determined that there was an increase in Uranium 232, 234, 235, 238 as well as Lead 210, Bismuth 214 and Radium 226 isotopes at or just below the till-bedrock contact. Uranium 234 and 238 as well as Lead 210 and Radium 226 are mobile and therefore could have travelled up structural zones from an uranium source detected by the gravity low and elevated radon values in a favourable semi-pelite bedrock source.

Based on these positive results a third hole (MG14RB-0012A) is now underway.  This hole is being drilled a further 33 meters to the north west from the second hole.  It is currently at 16.5 meters in overburden.

Diamond Drilling

The Company has now expanded its drill program with the addition of a diamond drill rig.  This drill is testing a strong radon anomaly which is coincident with a strong gravity low at the north end of Maguire Lake.  The hole is inclined at -60 degrees towards the northwest.  At the time of writing the hole is at 27 meters in overburden.

Northern Uranium's geologists consider the Maguire Lake area to be highly prospective for uranium mineralization and look forward to the continued drilling results.

The technical information and results reported here have been reviewed by Chad Ulansky, PGeo, a qualified person under National Instrument 43-101, who is responsible for the technical content of this release.

Forward Looking Statements

Some of the statements contained herein may be forward-looking statements which involve known and unknown risks and uncertainties.  Without limitation, statements regarding potential mineralization and resources, exploration results, and future plans and objectives of the Company are forward looking statements that involve various risks.  The following are important factors that could cause the Company's actual results to differ materially from those expressed or implied by such forward looking statements: changes in the world wide price of mineral commodities, general market conditions, risks inherent in mineral exploration, risks associated with development, construction and mining operations, the uncertainty of future profitability and the uncertainty of access to additional capital. There can be no assurance that forward-looking statements will prove to be accurate as actual results and future events may differ materially from those anticipated in such statements.  The Company undertakes no obligation to update such forward-looking statements if circumstances or management's estimates or opinions should change. The reader is cautioned not to place undue reliance on such forward-looking statements.

Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.

SOURCE Northern Uranium Corp.

Copyright 2014 Canada NewsWire

Northern Uranium (TSXV:UNO)
Historical Stock Chart
From Oct 2024 to Nov 2024 Click Here for more Northern Uranium Charts.
Northern Uranium (TSXV:UNO)
Historical Stock Chart
From Nov 2023 to Nov 2024 Click Here for more Northern Uranium Charts.