Hathor Exploration Limited
TSX : HAT

Hathor Exploration Limited

September 06, 2011 07:00 ET

Hathor Intersects 42 m of 2.95% U3O8 at Far East Zone as Roughrider Continues to Grow

VANCOUVER, BRITISH COLUMBIA--(Marketwire - Sept. 6, 2011) - Hathor Exploration Limited (TSX:HAT) ("Hathor" or the "Company") is pleased to provide an update on the 2011 summer drill program at the Far East Zone of the Roughrider Uranium Deposit in the Athabasca Basin, with new data from 10 drill holes (MWNE-11-701B to 710). Drill Hole 707 is highlighted:

  • Two separate intervals of 42 m of 2.95% U3O8 and 6.5 m of 11.31% U3O8
  • Combined drill hole GT (grade x thickness) of 200, the highest GT to date on Far East, and the 12th highest GT of the nearly 400 drill holes completed on the entire deposit so far.

The Far East Zone continues to produce an intensity in mineralization and alteration that surpasses the Company's expectations; it is a material development in the overall mineral resource potential of the Roughrider Uranium Deposit. Furthermore, it is open both east along strike and southeast up-dip from the most intense mineralization intersected to date.

Table 1 presents highlights of the composited assay data from seven drill holes. A complete list of composited assay data are provided in Table 2. Previous mineralized intersections from the Far East Zone are summarized on page 1 of the Company's news release dated July 26, 2011.

Table 1: Composited Assay Data Highlights.

DDH From
(m)
To
(m)
Grade
(U3O8 %)
Thickness
(m)
GT
MWNE-11-701B 333.00 394.00 1.78 61.00 108.86
MWNE-11-702 320.50 324.00 2.74 3.50 9.58
MWNE-11-702 338.50 350.50 2.65 12.00 31.81
MWNE-11-702 393.50 394.00 15.70 0.50 7.85
MWNE-11-703 336.00 370.00 3.34 34.00 113.70
MWNE-11-703 382.00 385.00 7.31 3.00 21.94
MWNE-11-704 354.50 371.50 0.78 17.00 13.28
MWNE-11-704 378.00 383.50 1.17 5.50 6.44
MWNE-11-707 343.00 385.00 2.95 42.00 123.72
MWNE-11-707 398.50 405.00 11.31 6.50 73.52
MWNE-11-709 355.00 358.50 14.50 3.50 50.74
MWNE-11-709 428.00 428.50 15.80 0.50 7.90
MWNE-11-709 435.50 436.50 11.88 1.00 11.88
MWNE-11-710 332.50 390.00 1.92 57.50 110.40
GT – Grade x Thickness; Based on a cut-off of 0.05% U3O8. All intervals are core lengths.

The 3D geological model for Far East Zone outlines an approximate geometry of 95 m (length) by 35 m (width), with an average thickness of 33.0 m. The weighted average grade and average grade of all
assays received to date are 2.25 and 2.90% U3O8 respectively. Density measurements range from 1.97 to 5.04 g/cm3, with an average of 2.42 g/cm3 for 500 samples.

Assays are pending for 8 drill holes from the Far East Zone, including MWNE-11-712A and MWNE-11-715, which intersected totals of 9.10 m and 7.00 m of off-scale radioactivity, respectively. Drill hole MWNE-11-715 intersected 2.8 m (269.0 to 271.8 m) of continual off-scale radioactivity, manifest in drill core as massive pitchblende mineralization, with average measured dry bulk density of 4.24 g/cm3 for the interval 369.5 to 371.0 m.

Mineralization between the East and Far East Zones is not included within the current outline of either zone. This represents further potential for the overall mineral resource of the Roughrider Uranium Deposit, as emphasized in the NI 43-101 compliant report completed for the East Zone in June, 2011 and filed on SEDAR.

2011 Summer Program Summary

The 2011 summer drill program utilized two drill rigs for approximately nine weeks. A total of 9,600 metres were completed in 20 drill holes; 19 were at the Far East Zone. Figure 1 shows spatial relationship of the three mineralized zones at the Roughrider Uranium Deposit (West, East, and Far East) with drill holes colour-coded on the basis of grade x thickness value (GT). Figure 2 shows the spatial distribution of drill holes at the Far East Zone, with drill holes colour-coded on the basis of GT value. Figure 3 is a cross section depicting Line 125E (±10 m). Figure 4 shows examples of mineralization styles from the drill holes reported in this news release.

Drill holes MWNE-11-701B and MWNE-11-710, supplemented by drill holes MWNE-11-695 and MWNE-11-700 that were released previously, provide the first complete drill fence (Line 120E) of assays from the summer drilling (Figure 3).

Drill holes MWNE-11-702 and MWNE-11-703 are infill drill holes on Lines 90E and 100E, respectively.

Drill holes MWNE-11-705, MWNE-11-706 and MWNE-11-708 contain variable radioactivity and intermittent uranium mineralization but are not included within the margins of the Far East Zone as currently defined (see Figure 2).

Drill holes MWNE-11-704 and MWNE-11-707 are from Line 130E (see Table 1 for intersections). Drill hole MWNE-11-712B is up-dip on the same line and intersected 9.10 m of of-scale radioactivity (see news release dated August 15, 2011). Assays are pending for this drill hole.

Drill holes MWNE-11-711 and MWNE-11-715 are not reported herein because assays are pending. These drill holes intersected 1.8 and 7.0 m of off-scale radioactivity respectively (see news releases dated July 26 and August 15, 2011).

Sample Analysis and QAQC

Samples were analyzed for U3O8 at the Geoanalytical Laboratories of the Saskatchewan Research Council (SRC). The facilities used for the analysis operate in accordance with ISO/IEC 17025:2005 (CAN-P-4E). The samples were analyzed using ISO/IEC 17025:2005-accredited U3O8 method. The samples were analyzed for a suite of other base metal elements including nickel, cobalt, copper and lead by ICP-ES. Dry bulk density determinations were carried out by Hathor staff on the drill core.

Field and laboratory of select samples show good reproducibility. Full details of the Company's QAQC program are documented in the NI43-101 compliant report completed for the East Zone in June, 2011 and available on SEDAR.

All mineralized drill hole intersections are reported as down-hole intervals, not true thickness. True thicknesses are determined within the context of 3D geological models used for exploration and resource modeling.

Midwest Northeast Property

The Midwest Northeast Property ('the property'), which contains the Roughrider Uranium Deposit, is located within the main uranium-producing eastern corridor of the Athabasca Basin. The Property comprises 3 mineral leases covering 598 ha. Infrastructure is excellent. The property is connected to Highway 905 by a 6 km winter road. The property is 8.5 km north of Points North, the main service hub, including airport, for northeastern Saskatchewan. The property is within 25 km of operating uranium mine, mill and tailings facilities established at Rabbit Lake and McClean Lake during the past 35 years of production in the Athabasca.

Subsequent to the successful acquisition of Terra Ventures Inc. (see news release dated August 5, 2011), Hathor owns 100% of the Midwest Northeast Property and the Roughrider Uranium Deposit.

Continued No Action to Cameco's Hostile and Predatory Offer

On August 30, 2011 Cameco Corporation made an unsolicited all cash take-over bid offer for Hathor at a price per Hathor common share of C$3.75. Hathor's closing share price on the TSX on Friday, September 2, the last day of trading before this news release, was C$4.13.

The Board of Directors of Hathor, together with its legal and financial advisors, is assessing Cameco's offer. The Company continues to urge its shareholders not to respond to the Cameco offer until the Company has formally responded to the offer and makes available to shareholders information on the economic parameters for Roughrider, continued assays from the recently completed drill program at Far East Zone, and also insights into the strategic nature of the Athabasca Basin in the global uranium industry and how that relates to the value of the Roughrider uranium deposit.

Hathor will formally respond to the Cameco offer no later than September 14th, 2011.

Alistair McCready, Ph.D., P.Geo., Hathor's V.P. Exploration, and Michael Gunning, Ph.D., P.Geo., Hathor's President & Chief Executive Officer, are Qualified Persons as defined by National Instrument 43-101 and have reviewed and approved the technical disclosures in this news release.

For more information on Hathor, please visit the Company's website at: www.hathor.ca

Dr. Michael H. Gunning, President & CEO

Hathor Exploration Limited

This press release contains "forward-looking information" within the meaning of applicable Canadian securities legislation. Such forward-looking information concerns Hathor's anticipated operations in future periods, planned exploration and development of its properties, and plans related to its business and other matters that may occur in the future. This information relates to analyses and other information that is based on expectations of future performance and planned work programs. Statements concerning mineral resource estimates may also be deemed to constitute forward-looking information to the extent that they involve estimates of the mineralization that will be encountered if a mineral property is developed. Forward-looking information is subject to a variety of known and unknown risks, uncertainties and other factors which could cause actual events or results to differ from those expressed or implied by the forward-looking information, including, without limitation: exploration hazards and risks; risks related to exploration and development of natural resource properties; uncertainty in Hathor's ability to obtain funding; precious and base metal price fluctuations; recent market events and conditions; risks related to the uncertainty of mineral resource calculations and the inclusion of inferred mineral resources in economic estimation; risks related to governmental regulations; risks related to obtaining necessary licenses and permits; risks related to Hathor's business being subject to environmental laws and regulations; risks related to Hathor's mineral properties being subject to prior unregistered agreements, transfers, or claims and other defects in title; risks relating to competition from larger companies with greater financial and technical resources; risks relating to Hathor's inability to meet its financial obligations under agreements to which it is a party; ability to recruit and retain qualified personnel; and risks related to Hathor's directors and officers becoming associated with other natural resource companies which may give rise to conflicts of interests. This list is not exhaustive of the factors that may affect Hathor's forward-looking information. Should one or more of these risks and uncertainties materialize, or should underlying assumptions prove incorrect, actual results may vary materially from those described in the forward-looking information. Hathor's forward-looking information is based on the reasonable beliefs, expectations and opinions of management on the date the statements are made and Hathor does not assume any obligation to update forward-looking information if circumstances or management's beliefs, expectations or opinions change, except as required by law. For the reasons set forth above, investors should not place undue reliance on forward-looking information. For a complete discussion, please refer to Hathor's Annual Information Form and unaudited financial statements and MD&A for its most recently completed financial year on SEDAR at www.sedar.com.

To view Figure 1 accompaning this press release, please click on the following link: http://media3.marketwire.com/docs/hat96a.jpg

To view Figure 2 accompaning this press release, please click on the following link: http://media3.marketwire.com/docs/hat96b.jpg

To view Figure 3 accompaning this press release, please click on the following link: http://media3.marketwire.com/docs/hat96e.jpg

To view Figure 4 accompaning this press release, please click on the following link: http://media3.marketwire.com/docs/hat96d.jpg

Table 2: Complete Composited Assay Data for Holes in this Release.
GT– Grade x Thickness; Based on a cut-off of 0.05% U
3O8. All intervals are core lengths.

DDH From
(m)
To
(m)
Grade
(U3O8 %)
Thickness
(m)
GT
MWNE-11-701B 228.50 231.00 0.06 2.50 0.14
MWNE-11-701B 326.50 327.00 0.11 0.50 0.05
MWNE-11-701B 329.50 330.50 1.55 1.00 1.55
MWNE-11-701B 333.00 394.00 1.78 61.00 108.86
comprising 333.00 350.00 1.12 17.00 19.08
comprising 350.00 352.00 0.01 2.00 0.02
comprising 352.00 385.00 2.64 33.00 87.22
comprising 385.00 387.50 0.01 2.50 0.03
comprising 387.50 394.00 0.39 6.50 2.51
MWNE-11-701B 398.50 399.00 5.96 0.50 2.98
MWNE-11-701B 403.50 404.00 0.07 0.50 0.03
MWNE-11-702 309.50 310.00 0.07 0.50 0.03
MWNE-11-702 311.50 315.50 0.78 4.00 3.11
MWNE-11-702 320.50 324.00 2.74 3.50 9.58
MWNE-11-702 332.00 332.50 0.06 0.50 0.03
MWNE-11-702 335.00 336.50 1.61 1.50 2.41
MWNE-11-702 338.50 350.50 2.65 12.00 31.81
MWNE-11-702 352.50 353.50 3.19 1.00 3.19
MWNE-11-702 356.50 357.50 0.06 1.00 0.06
MWNE-11-702 374.50 375.50 2.36 1.00 2.36
MWNE-11-702 383.00 384.00 0.06 1.00 0.06
MWNE-11-702 388.00 388.50 0.05 0.50 0.03
MWNE-11-702 393.50 394.00 15.70 0.50 7.85
MWNE-11-702 396.00 396.50 0.30 0.50 0.15
MWNE-11-703 235.00 236.50 0.11 1.50 0.17
MWNE-11-703 240.00 241.00 0.06 1.00 0.06
MWNE-11-703 331.50 333.00 0.11 1.50 0.17
MWNE-11-703 336.00 370.00 3.34 34.00 113.70
comprising 336.00 338.50 2.05 2.50 5.12
comprising 338.50 340.50 0.01 2.00 0.02
comprising 340.50 358.50 5.41 18.00 97.41
comprising 358.50 360.50 0.01 2.00 0.02
comprising 360.50 365.00 1.37 4.50 6.17
comprising 365.00 367.00 0.00 2.00 <0.01
comprising 367.00 370.00 1.65 3.00 4.95
MWNE-11-703 373.50 374.00 0.46 0.50 0.23
MWNE-11-703 379.50 380.00 1.15 0.50 0.58
MWNE-11-703 382.00 385.00 7.31 3.00 21.94
MWNE-11-704 335.50 344.50 0.34 9.00 3.02
MWNE-11-704 347.50 348.00 0.16 0.50 0.08
MWNE-11-704 354.50 371.50 0.78 17.00 13.28
MWNE-11-704 374.50 375.50 0.09 1.00 0.09
MWNE-11-704 378.00 383.50 1.17 5.50 6.44
MWNE-11-704 423.00 423.50 0.33 0.50 0.16
MWNE-11-704 431.50 432.00 0.21 0.50 0.11
MWNE-11-704 445.50 446.00 0.13 0.50 0.07
MWNE-11-704 447.50 448.00 0.10 0.50 0.05
MWNE-11-705 365.50 369.00 0.11 3.50 0.39
MWNE-11-706 310.00 311.50 0.16 1.50 0.24
MWNE-11-706 320.00 321.50 0.09 1.50 0.13
MWNE-11-706 325.50 326.50 1.01 1.00 1.01
MWNE-11-707 224.00 224.50 0.07 0.50 0.03
MWNE-11-707 227.50 230.50 0.09 3.00 0.27
MWNE-11-707 325.00 325.50 0.08 0.50 0.04
MWNE-11-707 330.50 332.00 0.27 1.50 0.40
MWNE-11-707 334.50 339.00 0.17 4.50 0.77
MWNE-11-707 343.00 385.00 2.95 42.00 123.72
comprising 343.00 357.50 0.44 14.50 6.37
comprising 357.50 359.50 <0.01 2.00 <0.01
comprising 359.50 385.00 4.60 25.50 117.34
MWNE-11-707 392.50 395.50 0.56 3.00 1.67
MWNE-11-707 398.50 405.00 11.31 6.50 73.52
MWNE-11-708 321.00 321.50 5.46 0.50 2.73
MWNE-11-709 334.50 337.00 0.34 2.50 0.84
MWNE-11-709 340.50 346.50 0.70 6.00 4.21
MWNE-11-709 349.50 352.00 0.38 2.50 0.95
MWNE-11-709 355.00 358.50 14.50 3.50 50.74
MWNE-11-709 360.50 361.00 0.34 0.50 0.17
MWNE-11-709 377.00 377.50 1.10 0.50 0.55
MWNE-11-709 381.00 385.00 0.52 4.00 2.06
MWNE-11-709 428.00 428.50 15.80 0.50 7.90
MWNE-11-709 431.50 433.00 2.29 1.50 3.43
MWNE-11-709 435.50 436.50 11.88 1.00 11.88
MWNE-11-709 449.50 452.00 0.22 2.50 0.54
MWNE-11-709 455.50 456.00 0.91 0.50 0.46
MWNE-11-709 462.50 465.00 0.06 2.50 0.16
MWNE-11-709 488.50 489.50 0.19 1.00 0.19
MWNE-11-710 319.50 220.00 0.13 0.50 0.06
MWNE-11-710 249.00 250.00 0.32 1.00 0.32
MWNE-11-710 296.00 296.50 0.08 0.50 0.04
MWNE-11-710 320.00 320.50 0.06 0.50 0.03
MWNE-11-710 332.50 390.00 1.92 57.50 110.40
comprising 332.50 335.50 0.43 3.00 1.29
comprising 335.50 337.50 0.01 2.00 0.02
comprising 337.50 374.50 2.63 37.00 97.31
comprising 374.50 376.50 0.02 2.00 0.04
comprising 376.50 381.00 1.47 4.50 6.62
comprising 381.00 383.00 <0.01 2.00 <0.01
comprising 383.00 390.00 0.76 7.00 5.32
MWNE-11-710 395.50 396.50 0.50 1.00 0.50
MWNE-11-710 398.00 399.00 2.23 1.00 2.23
MWNE-11-710 422.50 424.50 0.12 2.00 0.25

Neither the TSX nor its Regulation Services Provider (as that term is defined in the policies of the TSX Exchange) accepts responsibility for the adequacy or accuracy of this release.

Contact Information

  • Hathor Exploration Limited
    Tony Nunziata
    403-560-7040

    Hathor Exploration Limited
    Kelsea Murray
    604-684-6707
    www.hathor.ca