Alberta Star Development Corp.
OTC Bulletin Board : ASXSF

Alberta Star Development Corp.

July 07, 2005 09:30 ET

Alberta Star Purchases the Glacier Lake Iron Oxide Copper, Gold, Silver, Uranium Claims in the Port Radium Uranium Belt

VANCOUVER, BRITISH COLUMBIA--(CCNMatthews - July 7, 2005) - Tim Coupland, President and CEO of Alberta Star Development Corp. (TSX VENTURE:ASX)(OTCBB:ASXSF), listed on the TSX Venture Exchange (ASX) and on the OTCBB (ASXSF), is pleased to announce that the company has agreed to purchase a 100% interest in 2,425.26 hectares (5,990.40 acres) called the Glacier Lake Mineral properties located at Port Radium in the Northwest Territories from four individuals.


Alberta Star has agreed to purchase a 100% interest in five mineral claims, subject to a 2% net smelter returns royalty ("NSR"), in the Glacier Lake Mineral claims (5,990.40 acres) by paying $30,000 and issuing 360,000 shares, conditional on TSX Venture Exchange acceptance for filing. Alberta Star may purchase half of the NSR for a one time payment of one million dollars.


The Glacier Lake claim block consists of four contiguous claims located one-half kilometre southeast of Port Radium on the east side of Great Bear Lake Northwest Territories and 423 miles north of the city of Yellowknife, and consists of 2,425.26 hectares (5,990.40 acres). The mineral tenure covers hundreds of known or recorded silver, copper, cobalt, REE, uranium occurrences in Proterozoic rocks that correlate with rocks of other IOCG deposits worldwide (Olympic Dam in western Australia, Kiruna Belt of Sweden). The Glacier Lake claims are located beside and within two past producing silver and uranium mines, the Echo Bay Mine (23,779,178 ounces of silver) and the Port Radium, Eldorado Mine (15 million pounds of uranium, 8 million ounces of silver). The Eldorado formerly mined pitchblende (uranium plus copper, nickel, lead and polonium) at Port Radium commencing in 1933. The Eldorado Mine was owned by the El Dorado Mining and Refining Ltd., a federal crown company formed to supply uranium for the Manhattan Project. The principle Echo Bay mine shaft and adits (Silver, Copper, Cobalt, Uranium) are situated on the Echo claim, now forming part of the Glacier Lake claim-block. The property also contains a fully operational all-season airstrip and base camp situated at Glacier Lake. The Glacier Lake property and surrounding area covers extensive alteration zones including large intensely altered gossans that can be traced for over one kilometer in length and over 200 meters in width. The South McTavish Arm Region is a mineral rich portion of the Great Bear Magmatic Zone, as evidenced from past mineral production records from Port Radium, Contact Lake, Bonanza and El Bonanza silver and uranium mines. This is the northern extension of the same mineral belt that hosts Fortune Minerals NICO Gold deposit. These large scale deposits are of a class that includes the 2 Billion Tonne Olympic Dam iron oxide, copper, gold, silver, REE and uranium (IOCG) deposits.

The continuing search for IOCG deposits has gained momentum in Canadian mineral exploration due to their large size potential and polymetallic grades of mineralization, including sizeable amounts of uranium. Alberta Star continues to amass a number of large contiguous advanced stage polymetallic/uranium IOCG properties with archived precious metal, uranium drill data and complete advanced stage datasets in Canada's Northwest Territories.

Preparations for an aggressive summer exploration program using advanced geophysical survey methods capable of highlighting centers of IOCG mineralization/alteration, as well as uranium mineralization has already commenced.

Alberta Star has adopted a strategy which will allow the company to focus on the development of the Glacier Lake property, as a uranium asset, as part of a long term strategy to take advantage in the growth of in the U.S. and world-wide electrical energy demand. Over the next decade, uranium supply is expected to fall short of demand and the current production shortfall is expected to be more than 300 million pounds. The current spot price for uranium is $29.00 US per pound. Dr. Hamid Mumin, Ph.D., P. Eng., is the qualified person responsible for the Glacier Lake project.


Alberta Star further announces that it has granted incentive stock options on 2,000,000 common shares in its capital stock, exercisable for up to three years at a price of $0.20 per share.


Alberta Star is a Canadian mineral exploration company that identifies, acquires and finances advanced stage exploration projects in Canada. Alberta Star is focused in the discovery of base and precious metals and uranium.


Investors are welcomed to contact Mr. Allan Feldman, Alberta Star's in-house Investor Relations and Corporate Communications Specialist, for all corporate updates at (604) 948-9663.


Tim Coupland, President & CEO

Dr. H. Mumin Ph.D., P.Eng is the qualified person for the Glacier Lake project.

This News Release includes certain "forward looking statements" within the meaning of the United States Private Securities Litigation Reform Act of 1995. Without limitation, statements regarding potential mineralization and resources, exploration results, and future plans and objectives of the Company are forward looking statements that involve that involve various degrees of risk. The following are important factors that could cause Alberta Star's actual results to differ materially from those expressed or implied by such forward looking statements: changes in the world wide price of mineral commodities, general market conditions, risks inherent in mineral exploration, risks associated with development, construction and mining operations, the uncertainty of future profitability and the uncertainty of access to additional capital.

The TSX Venture Exchange does not accept responsibility for the adequacy or accuracy of this News Release.

Contact Information

  • Alberta Star Development Corp.
    Tim Coupland
    President and CEO
    (604) 681-3131
    (604) 801-5499 (FAX)