Energy Metals Corporation
February 23, 2005 09:01 ET
Energy Metals Corporation Adds 5 Uranium Deposits And 39.5 Million Pounds In The Great Divide Basin, Wyoming
NEWS RELEASE TRANSMITTED BY CCNMatthews
FOR: ENERGY METALS CORPORATION
TSX VENTURE SYMBOL: EMC
FEBRUARY 23, 2005 - 09:01 ET
Energy Metals Corporation Adds 5 Uranium Deposits And
39.5 Million Pounds In The Great Divide Basin, Wyoming
VANCOUVER, BRITISH COLUMBIA--(CCNMatthews - Feb. 23, 2005) - Energy
Metals Corporation (the "Company") (TSX VENTURE:EMC) is pleased to
announce the staking of twelve Uranium properties containing more than
30.5 million pounds of U3O8 in the Great Divide Basin in Wyoming. The
Company has also obtained data which increases the historical resources
of three previously acquired properties in the Great Divide Basin by 9
million pounds of U3O8.
Since its initial discovery in Wyoming in 1951, uranium has been
produced from four basins or districts within the state consisting of
the Powder River Basin, the Great Divide Basin, the Shirley Basin and
the Gas Hills area. Minor production has come from other areas in the
state. Peak uranium production reached 12 million pounds per year in
1980 declining to less than 2 million pounds per year during the last
few years of depressed uranium prices.
Wyoming mines have produced in excess of 200 million pounds of U3O8 and
the state has been ranked number one in the United States in U3O8
(yellowcake) production since 1994. Wyoming is expected to maintain its
position as the premier U.S. uranium producer in the years to come in
light of its known uranium reserves and reasonable permitting and
Great Divide Basin Company Staking:
The Company has staked five properties in the Great Divide Basin in
Wyoming. The following table sets forth the claim block names, the
former owner, and the historic resource figures as indicated on a
uranium resource map of the basin which was compiled in 1981 by Rocky
Mountain Energy, then a subsidiary of the Union Pacific Railroad.
Claim Blocks Previous Operator Historical Resource
AC OPI-Western 9.0mm lbs. U3O8
JK Kerr McGee 3.5mm lbs. U3O8
OZ Union Energy 2.0mm lbs. U3O8
DW Conoco-Texas-Gulf 12.0mm lbs. U3O8
EC Teton 4.0mm lbs. U3O8
With these additions to the Company's resource base in the Great Divide
Basin, the Company now controls historical resources of 68.8 million
pounds of U3O8 (news releases dated October 25, 2004 and February 18,
2005 disclosing 29.3 million pounds of this historical resource estimate
along with the resources and adjustments listed below of 9.0 million
pounds) and more than 17 square miles or 10,880 acres of unpatented
federal mining claims. The Company now controls over 60% of the Great
Divide Basin's known and previously identified resources thought to be
amenable to the ISL process.
In addition to these blocks with reported historical resource numbers,
the Company has staked seven other areas which do not have historical
resource estimates but which host known uranium mineralization in the
Great Divide Basin.
The Rocky Mountain Energy resource compilation cited above has also
provided reported historical resource estimates for previously acquired
properties located in the Great Divide Basin (news release dated October
25, 2004) as follows:
Claim Blocks Name Historical Resource
SM Western Sheep Mountain 3.0mm lbs. U3O8
RF Twin Buttes 5.0mm lbs. U3O8
The Twin Buttes property is located 18 miles due east of the Company's
JAB property (news release dated October 25, 2004). The historical
reports indicate that this 680 acre property has seen several hundred
closely spaced drill holes drilled on it. The Twin Buttes property was
most recently held by Cameco through the 2000 assessment year.
The Western Sheep Mountain property, approximately 14 miles north of the
Company's Antelope property, (news release dated October 25, 2004 )
encompasses 480 acres and is adjacent to past uranium producing
properties. The Western Sheep Mountain property was held through
assessment year 2003 by U.S. Energy Corp.
In addition, the JAB property (news release dated October 25, 2004) was
previously announced to contain a historic resource of over 3 million
pounds. Further historic data evaluation conducted during the
preparation of the National Instrument 43-101 report accepted for filing
by the TSX Venture Exchange on February 17, 2005 has shown a historic
resource of 4 million pounds.
All of these properties, with the exception of the Sheep Mountain West
property, are thought to be amenable to the ISL extraction method
All resource estimates quoted herein are based on data and reports
obtained and prepared by previous operators and information provided by
the State. The Company has not completed the work necessary to verify
the classification of the mineral resource estimates. The Company is not
treating the mineral resource estimates as National Instrument 43-101
defined resources verified by a qualified person. The historical
estimates should not be relied upon. These properties will require
considerable further evaluation which the Company's management and
consultants intend to carry out in due course.
The Company is a Canadian listed company involved in developing
resources to power the 21st century. The Company has adopted a corporate
strategy to focus on the acquisition and development of uranium assets
in politically favorable and mining-friendly jurisdictions within the
United States to take advantage of the continuing growth in the U.S. and
worldwide of demand for electrical energy. This increasing consumption
is occurring at a time when uranium mine supplies are dwindling and
inventories are being depleted.
The Company is targeting advanced projects in Wyoming that are amenable
to "in situ leach" (ISL). ISL or "in situ leach" mining was pioneered in
Wyoming utilizing water wells and oxygen fortified groundwater to mine
the uranium in place. Many consider it to be the safest, and most
environmental friendly uranium mining method in the world.
The Company is also actively advancing conventional and ISL
opportunities for uranium properties in the State of Utah.
ON BEHALF OF THE BOARD OF DIRECTORS
OF ENERGY METALS CORPORATION
Paul Matysek, M.Sc., P.Geo.
President, CEO and Director