Mega Uranium Ltd.

Mega Uranium Ltd.

September 25, 2007 10:15 ET

Mega Uranium and Santoy Commence New Phase of Drilling at Mustang Lake, Central Mineral Belt, Labrador

TORONTO, ONTARIO--(Marketwire - Sept. 25, 2007) - Mega Uranium Ltd. ("Mega") (TSX:MGA) is pleased to announce the start of its Phase 3 drilling program on the Mustang Lake property in the Central Mineral Belt of Labrador. Work on the property is part of a 50:50 joint venture with Santoy Resources Ltd (TSX VENTURE:SAN) in which Mega is the operator.

A minimum of 2,000 m of drilling (nominally 10 holes) is planned to test extensions of the mineralized zone intersected in hole SP-06-10 (9.11 metres grading 0.12% U3O8), which is similar to the average grade at Aurora Energy's Michelin deposit located 8 km to the south west.

Following the previous phase of drilling, structural fieldwork identified northeast-trending structures (shear zones) containing shallowly southwest-plunging lineations in the vicinity of known uranium mineralization. This led to an interpretation that the mineralization in SP-06-10 is hosted by a significant structure and plunges to the southwest, as does mineralization at the Michelin deposit.

Drilling is being conducted in accordance with NI 43-101 and with the Mineral Exploration Standards implemented by the Nunatsiavut government. Mega is including regular standards and locally obtained blanks in its sample submissions, and implementing stringent chain of custody procedures. Comprehensive procedures are in place to ensure that no contamination of the environment occurs.

Other programs in the Central Mineral Belt

A program of water sampling from small streams, ponds and seepage zones on the Bruce River property (Santoy JV) as well as Gravelly River, West MicMac and West Michelin properties (Mega Uranium 100%) has been completed. A total number of 2404 samples were collected with an average sample density of nine per square kilometre.

Most results are pending, however initial results have delineated anomalies (high concentration relative to background) which are being field checked. Property-scale geochemical data (both water and lake sediment) has shown a good spatial correspondence with known mineralized zones on the Aillik East property (Mega Uranium 100%, see Monster Copper Corp February 20, 2007 news release).

A program of geological mapping and prospecting continues on the Aillik East property.

The Qualified Person, as defined by National Instrument 43-101, responsible for review of this news release is Michael Downes, Ph.D., P.Geo., Vice-President North America, Mega Uranium Ltd.


Mega Uranium Ltd is a Toronto-based mineral resources company with a focus on uranium properties in Australia, Canada, Cameroon, Argentina, Bolivia, Colombia and Mongolia. Further information on Mega can be found on the company's website at Mega Uranium's Australian uranium properties, including without limitation Ben Lomond, Maureen and Lake Maitland, are subject to State policies which presently prohibit the mining of uranium.

Contact Information

  • Investor Relations:
    Mega Uranium Ltd.
    Richard Patricio, VP Corporate and Legal Affairs
    (416) 643-7630
    Media Relations:
    Mega Uranium Ltd.
    Wanda Cutler, Director of Corporate Communications
    (416) 860-1717