SOURCE: Bayswater Uranium Corporation

May 12, 2008 07:45 ET

Bayswater Commences Major Drilling Program on Its Anna Lake Uranium Project in the Central Mineral Belt of Labrador

20,000 Metres of Drilling to Expand Anna Lake Uranium Discovery and Test Multiple Targets

VANCOUVER, BC--(Marketwire - May 12, 2008) - Bayswater Uranium Corporation (TSX-V: BAY) is pleased to report that drilling has commenced on its Anna Lake Uranium Project located in the Central Mineral Belt of Labrador. A program of 20,000 metres of drilling is planned to evaluate the depth potential of the Anna Lake deposit, discovered in 2007, and to test numerous step out targets along an 11 km favourable structural corridor northeast of the deposit.

The Company has contracted Cartwright Drilling Ltd. based in Goose Bay, Labrador to undertake the drilling. Two heli-portable rigs are currently collared on the main Anna Lake Zone. The 2008 program has been designed to further delineate and expand the uranium mineralization intersected during 2007.

The Anna Lake uranium deposit, as outlined by drilling in 2007, has been delineated over a 600 meter strike length, to a vertical depth of 230 meters and remains open in all directions. Significant results of the 2007 program can be found in press releases dated October 29th and December 10th, 2007. Compilation and assessment of drill results, including 3D-modelling, have identified two potentially higher grade plunging zones on the north and south ends of the deposit that will be aggressively tested down-plunge and laterally to determine their continuity at depth and lateral extent. A drill pattern of 100 meter vertical and lateral step outs is planned-which has the potential to significantly increase the size and possibly the grade of the Anna Lake Deposit. The known mineralized zones will be tested to depths of at least 500m. In addition, some fill-in drilling may be undertaken. Preparation of a NI 43-101 compliant resource calculation is planned upon completion of this phase of drilling.

Additionally, reconnaissance drill testing of high priority targets (See press release dated November 27, 2007) identified by detailed ground and airborne work along the favourable 11 km corridor will also be initiated. Currently, a total of eight high priority targets have been outlined outside of the main Anna Lake discovery area within this corridor. These targets have been prioritized based on the correlation of data from geological interpretation and results of grid surveys completed in 2007. These surveys comprised airborne and ground magnetics, airborne electromagnetics and multi-element soil geochemical sampling, from which selected areas were evaluated with soil gas hydrocarbon analyses, as well as radon gas sampling and induced polarization surveying. Additional ground follow-up, including detailed geologic mapping and expansion of the various grid controlled surveys will be carried out prior to reconnaissance drilling in order to assist in detailing drill targets. Grid surveys are expected to begin next week with the commencement of ground spectral induced polarization work.

The Company's exploration activities are conducted under the supervision of George M. Leary, M.Sc. P. Eng. (BC), President of the Company, and Victor Tanaka, B.Sc. P.Geo. (B.C.), Chief Operating Officer of the Company. Both are qualified persons under NI 43-101. George Leary is the qualified person responsible for the technical information in this news release.

About the Labrador Central Mineral Belt

The Central Mineral Belt of Labrador, Canada, located approximately 135 kilometers north of Goose Bay, has a long history of uranium and base metals exploration. Uranium was first discovered in the belt in the 1950s. With further exploration in the 1960s and 1970s and rising uranium prices, exploration in the region increased significantly and several uranium deposits were discovered including the Kitts, Michelin, Inda, Nash, Rainbow and Moran Lake deposits by Brinco. Today, exploration activity in the region is highlighted by resource drilling at the Michelin and Jacques Lake deposits by Aurora Energy Resources Inc. (TSX: AXU); at the Moran Lake deposit by Crosshair Exploration & Mining Corp. (TSX-V: CXX); and at the Two-Time Zone by Silver Spruce Resources Inc. (TSX-V: SSE). Collectively, over 145 million pounds of NI 43-101 compliant uranium resources have been reported in the Central Mineral Belt by Aurora, Crosshair and Silver Spruce, a figure that is expected to increase significantly in the coming years through increases to existing resources, as well as new uranium discoveries. Bayswater Uranium is the largest landholder in the Central Mineral Belt with interests in 2,376 sq km of strategic landholdings; Aurora controls about 900 sq km and Crosshair approximately 700 sq km. Bayswater is aggressively exploring several uranium targets within its landholdings with the objective of establishing a significant NI 43-101 compliant resource at its Anna Lake discovery and in making additional uranium deposit discovery's.

About Bayswater Uranium Corporation -- The Super Junior™ Uranium Company

Bayswater Uranium Corporation is a rapidly growing international uranium exploration and development company. As the only uranium company to have major landholdings in each of Canada's most important producing and exploration regions -- the Athabasca Basin, the Central Mineral Belt, and the Thelon Basin -- Bayswater is a leader in uranium exploration in Canada, the world's largest producer of uranium. The Company also owns several advanced uranium properties in the United States that are being fast tracked to feasibility and production. Bayswater combines a balanced portfolio of exploration and development projects with the uranium expertise of its technical and managerial teams. The result is a Super Junior™Uranium Company with the share liquidity and market capitalization to provide value to both the retail and institutional investor. To capitalize on the strong growth of the nuclear industry and to continue to add shareholder value, Bayswater plans to focus on the development of its resource properties and to evaluate early stage projects for further discoveries. Other acquisition opportunities will continue to be assessed all with a corporate vision of building a major international uranium company. Bayswater is listed on the TSX Venture Exchange under the symbol "BAY." The Company's website is www.bayswateruranium.com.

On behalf of the Board of:

BAYSWATER URANIUM CORPORATION

George M. Leary
President

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

Contact Information

  • For further information contact:

    John Gomez
    Manager, Investor Relations
    Telephone: (604) 687-2153