Hudson Resources Inc.
TSX VENTURE : HUD

Hudson Resources Inc.

August 11, 2009 09:00 ET

Hudson Exploration Program Delineates Three High Grade Rare Earth Drill Targets

VANCOUVER, BRITISH COLUMBIA--(Marketwire - Aug. 11, 2009) - HUDSON RESOURCES INC. ("Hudson") (TSX VENTURE:HUD) is pleased to provide assay results from the first phase of the 2009 exploration program on the company's Rare Earth Element (REE) project in Greenland. The program, which included radiometric surveys, rock and stream sediment sampling and mapping, successfully delineated three exceptional REE targets within the Sarfartoq Carbonatite Project. The Company will commence drilling of these targets in early September. The Project is owned 100% by Hudson.

The three high grade prospects, known as ST40, ST1 and ST19, all lie within the outer ring structure of the Sarfartoq Carbonatite. The outer ring structure is approximately 50km in circumference and remains largely unexplored.

Assay highlights of the 163 rock samples, taken from outcrop and sub-crop, include the following:

- Prospect ST40 assays averaged 3.6% TREO, including 1.8% neodymium oxide (Nd2O5) and 417ppm europium oxide (Eu2O3)

- Prospect ST19 assays averaged 2.5% TREO over the core of the anomaly

- 25% of all samples assayed between 1.0% and 8.9% TREO (5 samples assayed between 5.0% and 8.9% TREO)

- 50% of all samples returned anomalous REE assays (above 0.25% TREO)

TREO is defined as the sum of all 14 REEs plus yttrium, expressed in oxide form. A compilation of significant assay results will be made available on Hudson's web site.

James Tuer, President of Hudson, commented on the results as follows: "We are very pleased with the assay results which have outlined three high grade REE targets of significant size. These initial results support our belief that the Sarfartoq Carbonatite Project has excellent potential to host numerous REE prospects. These assays not only exceed the historical data but they have also identified several new REE targets, which warrant further exploration. We will commence drilling in September, with a focus on rapidly evaluating the three primary REE targets."

A summary of the three primary target areas is as follows:

ST40 - is a well-defined radiometric anomaly measuring approximately 1000m by 250m. At the heart of the anomaly, nine sub-crop rock samples were collected within an area measuring 125m by 100m. Seven of the samples produced assays ranging from 2.5% to 5.3% TREO. The seven samples averaged 1.8% Nd2O5 (neodymium oxide) and 417ppm Eu2O3, (europium oxide) which are atypically high amounts for REE projects. The REE distribution of lanthanides for the seven sub-crop samples are: neodymium 46% greater than cerium 20% greater than praseodymium 8% greater than lanthanum 5%. The neodymium levels are highly elevated compared with typical levels of 10% to 15% found in other deposits. The minerals hosting these elements are currently being investigated.

Neodymium is one of the more valuable rare earths, as it is a key component in neodymium-iron-boron super magnets used in motors for wind turbines, hybrid cars, and other green technologies. Neodymium oxide currently trades for approximately US$15/kg. Similarly, europium is amongst the least abundant of the rare-earth elements and is a critical component in flat panel display technology. Europium oxide currently trades for around US$500/kg.

Two rock samples located 1000m and 1400m west of ST40 (roughly half way between ST40 and ST1) averaged 0.9% TREO. These samples are intriguing because they also contain an average of 1.4% niobium oxide (Nb2O5). This area is predominantly under cover but warrants further exploration to determine potential continuity of mineralization between the two prospects. Niobium oxide currently trades for approximately US$25/kg.

ST1 - is a 1000m by 500m radiometric anomaly located 3km west of ST40. Both anomalies appear to be related and four samples taken between the two prospects yielded highly anomalous assays from 0.5% to 2.0% TREO. Within the ST1 anomaly, 49 individual widely spaced samples were collected. The TREO averaged 0.6%. Within a 250m by 150m sub-area, 15 samples averaged 1.0% TREO. The REE distribution is as follows: cerium 45% greater than neodymium 25% greater than lanthanum 15% greater than praseodymium 6%. The neodymium oxide proportion is twice the typical REE concentration, which is important since it is a more valuable REE mineral than either cerium or lanthanum.

ST19 - is located on the southern extension of the outer ring structure approximately 10km south of ST1 and ST40. It lies within a large radiometric anomaly approximately 2500m by 500m along a valley with excellent rock exposure. A 450m by 125m sub-area produced some of the highest REE assays of the program. The fifteen outcrop samples collected within this sub-area averaged 2.5% TREO. The best 6 samples averaged 5.4% TREO, including an average of 173ppm Eu2O3. The two highest samples from the program were found here. Located 110m apart, these samples contained 8.9% and 8.5% TREO. The REE distribution is as follows: cerium 47% greater than lanthanum 27% greater than neodymium 15% greater than praseodymium 5%.

The Sarfartoq Carbonatite Complex is one of the largest carbonatite complexes in the world with approximate dimensions of 13 X 8km. It is located near tidewater and adjacent to excellent potential hydroelectric sites.

All samples were processed by ALS Chemex in Vancouver, BC. The samples were analysed by lithium metaborate/tetraborate fusion prior to acid dissolution and ICP-MS, being ALS sample method ME-MS81H.

Dr. Peter Le Couteur reviewed this press release and is a qualified person under National Instrument 43-101. Dr. Le Couteur was on site and managed the sampling and shipping of the samples to Vancouver.

ON BEHALF OF THE BOARD OF DIRECTORS

James Tuer, President

This news release contains forward-looking statements regarding ongoing and upcoming exploration work and expected geology, geological formations and structures. Actual results may differ materially from those anticipated in these statements.

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

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