| Tue 27 Dec 2005, 8:37 | | sxr Uranium One Inc - Waterfound Project Drilling |
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SXR
SXR
sxr Uranium One Inc - Waterfound Project Drilling Results
sxr Uranium One Inc
(Formerly Southern Cross Resources Inc.)
(Incorporated in Canada)
(Registration number: 15096422420)
Share code on the JSE: SXR ISIN: CA8429021089
Share code on the TSX: SXR ISIN: CA8429021089
("SXR")
WATERFOUND PROJECT DRILLING RESULTS
* Expanded drilling program completed
* Initial analytical results encouraging
* Uranium at unconformity confirmed
* Strong enrichment of other metals normally associated with
uranium
* Strong boron halo present that is also an indicator of uranium
* Additional drilling warranted
sxr Uranium One Inc. (SXR) is pleased to announce results from
drilling recently completed by Pitchstone Exploration Ltd.
("Pitchstone") at the Waterfound Project. Significant uranium
mineralization was encountered from this initial diamond drilling
program. A total of 2,714 m of drilling was completed in five holes
and initial analytical results are available for 27 samples taken
from radioactive zones in holes WF02 and WF03. sxr Uranium One is
funding the Waterfound Project and is earning a 50% interest in five
of Pitchstone"s seven Athabasca Basin projects.
Anomalous Mineralization
In hole WF02, a 2.8 m core interval straddling the unconformity
averages 94 ppm uranium including 338 ppm (0.04 % U3O8) over a 0.39
m interval of sandstone immediately above the unconformity, which is
at a depth of 441.3 m. The background uranium content in basal
Athabasca Group sandstone is typically 5.0 ppm or less. Uranium in
WF02 is accompanied by a strong enrichment in other metals,
including cobalt to 26 ppm, copper to 135 ppm, nickel to 189 ppm and
vanadium to 161 ppm. Analytical results also indicate strong boron
enrichment, both within the uraniferous zone (to 910 ppm) and higher
in the hole (to 295 ppm). Anomalous uranium (to 22 ppm), nickel (to
87 ppm) and boron (to 136 ppm) were also reported in samples in
proximity to the unconformity from hole WF03.
Holes WF02 and WF03 were drilled 700 m apart along the strike of a
six kilometer long conductive zone (see News Release 05.05, Nov. 23,
2005). Considering the small size of Athabasca uranium deposits,
the extremely wide spacing between these holes indicates an
extensive zone of alteration and metal enrichment. In addition to
boron enrichment, alteration noted during core logging includes
chloritization, silicification, bleaching, hematitization and
moderate clay alteration.
Analytical results for samples collected in all holes for
geochemical study, as well as samples from a 0.2 m radioactive zone
in WF05, are not yet available. No radioactivity was detected in
holes WF01 or WF04.
Significant Waterfound Features
The coincidence of anomalous geological and geochemical features in
proximity to the basal Athabasca Group unconformity is considered
important due to a similar association at many Athabasca uranium
deposits. Important features documented at Waterfound include:
1. significant uranium enrichment
2. anomalous copper, nickel, cobalt and vanadium
3. an alteration halo that includes boron enrichment,
chloritization, silicification, bleaching, hematitization and
moderate clay alteration
4. a thick sequence of graphite-pyrite-garnet-cordierite pelitic
rocks immediately below Athabasca Group sandstone in four of
five holes drilled.
Future Exploration
Strong metal enrichment and favorable alteration intersected over a
large area has significantly upgraded the Waterfound Project and
additional drilling is warranted.
The Waterfound project is situated in the eastern Athabasca Basin,
Saskatchewan. The drilling at Waterfound is the first phase of an
8,600 m program by Pitchstone and sxr Uranium One that will test
targets at the Darby and Candle Projects beginning in January .
E.A.G. (Ted) Trueman, P.Eng., P.Geo., is the Qualified Person for
the purposes of NI 43-101 with respect to the technical information
in this news release. Sample preparation and analyses were done by
SRC Geoanalytical Laboratories of Saskatoon. A partial digestion
with chemical analyses (fluorimetry) was used for uranium
determinations.
sxr Uranium One
sxr Uranium One began trading on the JSE and the TSX on 19th
December 2005. sxr Uranium One was formed through the reverse take
over of Southern Cross Resources Inc by Aflease Gold and Uranium
Resources Ltd.
Forward-looking statements
This announcement contains certain forward-looking statements.
These forward-looking statements are subject to a variety of risks
and uncertainties which are beyond SXR Uranium One"s ability to
control or predict (including among others regulatory and
shareholder approval and market fluctuations), which could cause
actual events or results to differ materially from those anticipated
in such forward-looking statements. Readers should not place undue
reliance on forward-looking statements.
Notice to Investors
This announcement does not constitute an offer to sell or an
invitation to purchase or subscribe for any securities.
For more information call:
Don Falconer + 1 416 6713341
John Fraser + 27 82 331 7330
Date: 27/12/2005 08:37:51 AM Produced by the JSE SENS Department
