Vena Resources Inc.

Vena Resources Inc.

October 26, 2009 03:00 ET

Vena Resources Provides Update on Uranium Discovery and Drilling and Announces Private Placement

TORONTO, ONTARIO--(Marketwire - Oct. 26, 2009) - Vena Resources Inc. ("Vena" or the "Company") (TSX:VEM)(LIMA:VEM)(FRANKFURT:V1R) is pleased to announce that as the drill permitting process is in the final stages, Minergia Resources SAC, a company jointly owned by Vena and Cameco Corp., expects drilling to commence mid-November on the Macusani uranium project located in Peru's southeastern Puno Department.

The total program encompasses 11,000 meters of drilling in 71 drill holes and the first phase of this year's program will consist of 35 holes from 29 platforms totaling approximately 5,600 meters and will concentrate on developing inferred resources at the Tantamaco prospect as well as initial testing of the Isivilla prospect. Two other prospects - Calvario Real and Tuturumani - will be tested during the second phase of the drill program. The drilling will be performed by Canchi Perforaciones Peru S.A.C. utilizing two track mounted BBS-18E rigs that have been selected to minimize the environmental impact of the program.

The Tantamaco uranium prospect is located on the northern rim of the Macusani caldera. Uranium mineralization is principally autunite that occurs in fractures and joints within rhyolitic ignimbrites in multiple near surface horizons. The best intersection in the 2008 reconnaissance drilling was 0.2 %U (4.22 lb/t U) over 14.5 meters. The first phase of the drill program will explore an area of 900 meters by 300 meters with holes spaced at 100 meter intervals. The objective is to test the continuity and grade of the mineralization leading to the calculation of an initial open pit reserve.

The second phase of the drill program will continue to expand the testing of the Tantamaco prospect to the south. A plan showing the Tantamaco drill program is posted on the Vena Resources web page at

In a recent development, field crews have discovered uranium mineralization in a porphyritic intrusive on the Santa Rosa property located approximately 80 kilometers southwest of Macusani. Uranium in the form of torbernite and metatorbernite occurs as fracture filling and disseminations in a monzonitic granite intruding Permian volcanics. Detailed scintillometer surveying and surface rock sampling is underway to determine the potential size and grade of the zone.

This press release has been reviewed and approved by David Bent, P.Geo., Vena's Vice President of Exploration and Qualified Person as defined by NI43-101. Vena's exploration and development programs are being supervised by Mr. Bent.

Private Placement

In other news the Company announces that it is completing a brokered private placement with Bryon Securities Ltd. ("Byron Securities") of $3 million through the issuance of 10,000,000 units at a price of $0.30 per unit. Each Unit consists of one common share and one-half common share purchase warrant with each full warrant entitling the holder to purchase one common share at $0.45 per share for a period of 18 months from the closing date. As compensation for their services, Byron Securities will be paid a cash commission of 6.5% and will be issued agent's compensation warrants for a period of 18 months with an exercise price of $0.30 per share. The Company plans to close the private placement as soon as possible.

The private placement is subject to regulatory approvals and the securities issued will be subject to a four-month hold period. The net proceeds of this private placement will be used for several drill programs (Esquilache gold/silver project, Azulcocha underground zinc mine) as well as M&A opportunities and general working capital. These new funds will complement the current funding already agreed by Cameco of $10 million dedicated to Uranium exploration and by Glencore's of $2.75 million for the drill program at Azulcocha West.

For further information on Vena Resources, please visit the Company website at

Statements in this press release regarding the Company's business which are not historical facts are "forward-looking statements" that involve risks and uncertainties, such as estimates and statements that describe the Company's future plans, objectives or goals, including words to the effect that the Company or management expects a stated condition or result to occur. Since forward-looking statements address future events and conditions, by their very nature, they involve inherent risks and uncertainties. Actual results in each case could differ materially from those currently anticipated in such statements.

Shares Outstanding: 80,534,281

Fully-Diluted: 88,775,408

The TSX does not accept the responsibility for the adequacy or accuracy of this release.

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