Pancontinental Uranium Corporation
TSX VENTURE : PUC

Pancontinental Uranium Corporation

September 10, 2009 03:00 ET

Pancontinental Uranium Corporation: Pancon's Northern Territory, Australia Uranium Prospects Enhanced by New Chilling Exploration Data

VANCOUVER, BRITISH COLUMBIA--(Marketwire - Sept. 10, 2009) - The prospects of large uranium deposits within Pancontinental Uranium Corp.'s (TSX VENTURE:PUC) Chilling Project in the Northern Territory have been enhanced by new exploration data.

Geoff Eupene, Pancon Director and JV partner, Crossland Uranium Mines' CEO said, "The recent geological mapping program by Crossland geologists of the Fish River Valley, about 120 kilometres south of Darwin, is complete. The mapping was done in July and August and has revealed significant new information about the geological setting, which, Crossland believes enhances the prospectivity of the southern portion of the Company's flagship Chilling Project area for large uranium deposits."

A 32 sq km "window" area of poor bedrock outcrop to the east of the Soldiers Creek Granite in the Fish River Valley in the recently granted EL22738, has not previously been mapped. Crossland has now revised the interpretation of this setting based on recent field mapping and geophysical patterns. There are extensive outcrops of tightly folded, fine grained siliceous sediments, with associated dolomite outcrops in several places. These are very similar to silicified carbonates and dolomitic shales that are present in the Pine Creek Orogen around the Rum Jungle district, and also in association with uranium mineralisation at the Alligator Rivers Uranium Field, particularly at the Ranger No1 Orebody.

The siliceous outcrops are commonly brecciated, with an iron rich matrix, and are often close to the projected plane of the Proterozoic unconformity surface. Click here to view photo: http://www.marketwire.com/library/20090909-800rock.jpg

Crossland has concluded that the 32 sq km window is occupied by Lower Proterozoic metamorphosed sediments. Because of the nature of the rock types present, it is likely that the metasediments are from lower portions of the Pine Creek Orogen succession that are more favourable for the development of uranium mineralisation.

"Almost all uranium production from the Northern Territory has come from these lower portions of the Orogen stratigraphic sequence," Mr. Eupene said.

"Crossland therefore considers that these findings are an important development that enhances the favourability of the Chilling project area generally, and the southern portion in particular," he said.

The geological setting of the area is summarized in the geological sketch map of the Fish River Prospect. Click here to view map: http://www.marketwire.com/library/20090909-800fish.jpg. There are several priority radiometric anomalies associated with this zone. Three of these had previously been related to "ironstones" along a faulted contact of the Soldiers Creek Granite called the Fish River Fault. The new interpretation of the setting is that these are radioactive breccias associated with the silicified sediments. More detailed information on the setting will be revealed by drilling.

Crossland is following up this interpretation with detailed stream sediment sampling, soil lines over the favourable horizons, and a ground based spectrometer survey of an extensive zone within the window. This work is well advanced, and crews are working to complete it before the wet season commences.

OTHER PROSPECTS IN THE CHILLING PROJECT

A program of air core drilling to unoxidised bedrock will commence during September. Elsewhere at Chilling, plans are being made to drill two core holes at targets generated from last year's drilling at the March Fly Prospect, with the aim of extending the mineralised zone. Additionally, follow up of anomalies in the Muldiva and Fletchers Gully areas, and the Mema Granite window, all to the north of the Fish River Valley, will commence within the next two weeks.

Crossland has received the preliminary results from the Airborne EM collaboration with Geoscience Australia over its detailed areas in ELs24557, 25076 and 25078. This, along with the regional GA survey that surrounds these detailed survey areas, which should become available to Crossland in late September, will permit Crossland to target potentially uranium- bearing structures at the unconformity beneath the Tolmer Group cover. Drilling at these targets should commence in the 2010 season.

About Pancontinental Uranium Corporation

Pancontinental Uranium Corporation ("Pancon") is a Canadian-based company focused on uranium discovery and development. Through a joint venture with Crossland Uranium Mines Limited (ASX:CUX) ("Crossland") of Australia, Pancon has established one of the strongest management teams in the uranium industry. This management and operating team has unparalleled experience from exploration, through development to operations, and includes people who were instrumental in the discovery of two of the largest uranium deposits in the world. Pancon holds an impressive exploration portfolio with projects in prolific, mining friendly districts. Active exploration is ongoing at four Australian projects which include Chilling, Charley Creek, Kalabity and Crossland Creek. The Chilling project has the potential to host a mirror image of a portion of the renowned Alligator Rivers Uranium Field containing the large Jabiluka, Ranger and Koongarra deposits. Pancon is earning a 50% interest in this significant uranium project portfolio through the joint venture with Crossland through the expenditure of A$8 million. Pancon and Crossland are also pursuing exploration beyond Australia through international subsidiary company, Crosscontinental Uranium Limited, and immediate plans include formulating an exploration program in Burkina Faso.

ON BEHALF OF THE BOARD OF DIRECTORS

Rick Mark, President & CEO

Cautionary Language and Forward Looking Statements

This press release may contain "forward-looking statements", which are subject to various risks and uncertainties that could cause actual results and future events to differ materially from those expressed or implied by such statements. Investors are cautioned that such statements are not guarantees of future performance and results. Risks and uncertainties about the Company's business are more fully discussed in the Company's disclosure documents filed from time to time with the Canadian securities authorities.

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.

Contact Information

  • Pancontinental Uranium Corporation
    Richard Mark
    President and CEO
    604-986-2020 or 1-866-816-0118
    or
    Pancontinental Uranium Corporation
    Keith Patey
    Director of Communications
    604-986-2020 or 1-866-816-0118
    604-986-2021 (FAX)
    www.PanconU.com