SOURCE: Bayswater Uranium Corporation

November 16, 2006 14:09 ET

Bayswater Discovers Twelve Uranium Targets in South Thelon Basin

VANCOUVER, BC -- (MARKET WIRE) -- November 16, 2006 -- Bayswater Uranium Corporation (TSX-V: BAY) reports that twelve strong to moderate conductors have been identified on the Thelon UNR and CL Properties located in the South Thelon Basin, NWT, by an extensive airborne electromagnetic (EM) and magnetic survey completed during the summer. Conductors associated with fault structures are key features associated with high-grade unconformity-type uranium deposits such as McArthur River and Cigar Lake in the Athabasca Basin, 350 kilometres south.

The survey consisted of 9,022 line-kilometres of deep penetrating, electromagnetic (EM) and magnetic surveying utilizing Fugro Airborne Surveys' proprietary MEGATEM II system. Most of the Thelon UNR and CL Properties were covered by the survey at 400 metre line spacing. Based on these positive results, follow-up ground geophysical surveys are planned this winter to define 2007 drill targets.

Victor Tanaka, Chief Operating Officer of Bayswater, commented, "We are encouraged by the survey results which show that ten of the twelve conductors are located within relatively shallow parts of the basin and two in an area with a Kiggavik-style geologic setting marginal to the basin. Most of the conductors appear to be spatially associated to basement fault structures as interpreted from the magnetic survey."

Thelon UNR Property - Ten Conductors Identified in Favourable Regions

On the 1,363,378 acre Thelon UNR Property in the south Thelon Basin, 7,641 line-kilometres of survey was flown at 400 metre line spacing. Ten conductive responses ranging in strike length from 1 to 3 kilometres were identified in the southeast portion of the survey area on the eastern side of the Thelon Basin. Several other features are still at the interpretive stage to determine their conductivity.

Two of the conductors are in basement rocks marginal to the sandstone basin in similar geologic settings to Cogema's Kiggavik Trend uranium deposits, which are located marginal to the eastern side of the North Thelon Basin. No previous exploration is recorded in the area of the two conductors identified by the survey.

The remaining eight conductors delineated, lie within the basin where depth to the unconformity (target host area for high-grade uranium deposits) is interpreted to be less than 100 metres. Previous work by several companies during the 1969 - 1985 era, in parts of the area surveyed, did not focus on electromagnetic conductors and no drilling is recorded in the assessment files. A number of the conductors detected appear to occur where the regional northeasterly geological structural trend is intersected by prominent east-west magnetic breaks, interpreted to be cross-cutting basement faults.

The Thelon UNR Property is subject to an agreement with Uranium North Resources Corp. whereby Bayswater may earn an 80% interest in the uranium rights of the property.

Thelon CL Property - 8 Kilometre-Long Conductive Trends Delineated Along Major Fault Structure

At Bayswater's 100% owned 98,429 acre Thelon CL property located near the western margin of the south Thelon Basin, 1,381 line-kilometres of survey was flown at 400 metre line spacing. Two parallel conductive trends, each approximately 8 kilometres long, were identified along a segment of the north-northeasterly trending Howard Lake Structural Break that extends northward from the adjacent Boomerang uranium property being explored by Cameco Corporation (TSX: CCO) and Uravan Minerals Inc. (TSX-V: UVN).

In 1981, Gulf Minerals drilled four holes into widely spaced portions of these two conductors, which at the time were not recognized as part of large-scale electromagnetic trends. Two holes did not reach the unconformity and a third drilled to test a magnetic anomaly, intersected an intrusive body; thus the region's prospectiveness for uranium was not determined. Importantly, the fourth hole intersected a sharp radioactive peak of 370 counts per second at the unconformity, which is at a depth of 255 metres. Little significance was attributed to this hole by Gulf despite the fact that the hole was located on the basis of locally elevated radon gas and radioactivity at surface.

The Thelon CL Property covers an accumulation of radioactive sandstone boulders over an area measuring 15 km by 15 km that coincides with a portion of the Howard Lake Structural zone. The CL Property is located between the Thelon UNR property and the Boomerang property.

Interpretation and Exploration Plans

Bayswater geologists interpret the detection of these untested conductors as an important step towards the potential discovery of high-grade unconformity-type uranium deposits such as McArthur River and Cigar Lake in the Athabasca Basin. In the Athabasca Basin, the relationship of conductors at the unconformity along structural breaks in the basement is well established. The Thelon Basin is considered by many geologists to be analogous to the Athabasca Basin, the primary difference being that due its more remote location, the Thelon Basin did not receive the intensity of exploration activity received by the Athabasca Basin during and since the last uranium boom which ended in the in the early 1980's.

Bayswater plans to conduct ground geophysical surveys this winter over the conductors to precisely delineate drill targets for summer 2007 testing. As well, additional MEGATEM II airborne surveys are planned this winter for the balance of Bayswater's extensive landholdings located internally within the South Thelon Basin; whereas, radiometric and magnetic surveys with follow-up prospecting are planned next summer over landholdings marginal to the South Thelon Basin. As previously reported, an extensive follow-up prospecting program and ground geophysics to identify drill targets is planned next summer over airborne radiometric targets identified this year on the Company's landholdings in the North Thelon Basin.

Further information about Bayswater's South and North Thelon Basin Uranium Projects is available from the Company's at www.bayswateruranium.com.

The Company's exploration activities are conducted under the supervision of George M. Leary, M.Sc. P. Eng. (BC), President of the Company, and Victor Tanaka, B.Sc. P.Geo.(B.C.), Chief Operating Officer of the Company. Both are qualified persons under NI 43-101. Victor Tanaka is the qualified person responsible for the technical information in this news release.

About the Thelon Basin, NWT/NU, Canada

Located in the Northwest Territories and Nunavut, Canada, the Thelon Basin represents an under-explored, major sandstone basin that shares many geological characteristics with the Athabasca Basin, approximately 350 km to the south in Saskatchewan. Numerous high-grade unconformity-style uranium deposits have been identified within the Athabasca Basin, and mining of these deposits currently generates approximately one third of the world's uranium production. Similarities between the Athabasca and Thelon Basins include the age and character of favorable host and basement rocks, major structural features, and, importantly, known occurrences of unconformity-hosted uranium mineralization. The most advanced uranium deposits in the Thelon Basin area are Cogema's Kiggavik, Andrew Lake and END deposits (the Kiggavik Trend), host to approximately 131 million pounds of contained U3O8. Bayswater Uranium is the largest landholder in the Thelon Basin; the Company's interests in 3.6 million acres in the North and South Thelon Basin comprises approximately one-third of the available exploration land in the Basin.

About Bayswater Uranium Corporation - The Super Junior TM Uranium Company

As the only uranium explorer to have major landholdings in each of Canada's most important producing and exploration regions -- the Athabasca Basin, the Central Mineral Belt, and the Thelon Basin -- Bayswater Uranium Corporation is well positioned to be a market leader in uranium exploration. Bayswater combines the experience of its technical and managerial teams with a large, highly prospective and diverse property base. The result is a Super JuniorTM Uranium Company with the share liquidity and market capitalization to provide value to both the retail and institutional investor. For further information visit www.bayswateruranium.com.

On behalf of the Board of:

BAYSWATER URANIUM CORPORATION

George M. Leary
President


The TSX Venture Exchange has not reviewed and does not accept responsibility for the adequacy or accuracy of the contents herein.

Contact Information

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