Hathor Exploration Limited

Hathor Exploration Limited

May 11, 2011 08:30 ET

Hathor Intersects 42.8 m at 3.26 % U3o8 to Solidify The Potential of the Far East Zone at Roughrider

VANCOUVER, BRITISH COLUMBIA--(Marketwire - May 11, 2011) - Hathor Exploration Limited (TSX:HAT) is pleased to announce the final assay results from the 2011 winter drill program at the Roughrider uranium deposit in the Athabasca Basin, Saskatchewan. The potential for the Far East discovery is solidified by the number and quality of drill hole intersections. Drilling this summer at Roughrider will focus on the potential of the Far East Zone.

A total of 19,244 metres were completed in 49 drill holes during the winter program (Figure 1), of which 17 were completed at Far East for a total of 7,587 m (Figure 2). Fifteen of seventeen holes at Far East intersected uranium mineralization over significant widths. Summary composite grade and thickness data are highlighted below. Complete uranium assays are in Table 1 which follows the figures; complete chemical analyses are provided on the Company's website at www.hathor.ca.

  • MWNE-11-698: 42.8 m at 3.26 % U3O8
    • incl. 6.5 m at 10.47% U3O8
  • MWNE-11-687: 45.5 m at 2.05 % U3O8
  • MWNE-11-683: 40.5 m at 1.12 % U3O8
  • MWNE-11-692A: 21.0 m at 3.42 % U3O8
    • and 4.0 m at 5.00 % U3O8
  • MWNE-11-667: 37.5 m at 1.57 % U3O8
  • MWNE-11-694: 51.0 m at 1.69 % U3O8
  • MWNE-11-696: 12.7 m at 3.10 % U3O8

The Far East Zone is located 40 m east of the East Zone (Figure 2). Based on a robust geological model, delineation of the Far East Zone advanced rapidly following its discovery in February in drill hole MWNE-11-667. Key attributes of the Far East Zone include:

  • Mineralization is continuous for 40 m along strike in a north easterly direction (Figure 2).
  • Mineral zone is thick, with six oblique intersections of greater than 30 m in core length
    (cross section, Figure 3). Apparent thickness averages 20 to 30 metres.
  • Mineralization dips moderately to the northeast, similar to the East Zone, and is continuous for 60 metres in the down-dip dimension (long section, Figure 4)
  • Mineralization is hosted exclusively within basement rocks, including Wollaston Group pelitic gneiss and graphitic pelitic gneiss, and the Roughrider hanging wall and foot wall wedges of granite and granitic gneiss.
  • Overall depth is around 350 m, and generally about 150 m below the unconformity.
  • Mineralization is monometallic, with very low base metal contents and extremely low contents of deleterious elements such as arsenic and selenium (Table 1).
  • Locally massive and semi-massive uranium mineralization in association with pervasive clay and/or hematite alteration (Photo 1 and Photo 2, drill holes MWNE-11-696 and 694).
  • Multiple fluid and fault events evident in mineralization and alteration textures in drill core (Photo 1, MWNE-11-696).

Figure 5 shows the spatial relationship in 3-D between Far East and the original West and East Zones at Roughrider. Mineralization at Far East is open both to the east and to the south, and it represents significant upside to the overall resource potential of the Roughrider uranium deposit. This potential at Far East will be the focus of the upcoming summer drill program at Roughrider.

Winter Program Summary

As previously released, the 2011 winter drill program did not intersect any significant mineralization in reconnaissance holes away from the Roughrider uranium deposit. At the East Zone, infill drill holes contained variable amounts of uranium mineralization. When available, these assays will be incorporated into an updated resource model for the East Zone; a preliminary model based on 2010 data has been developed and is currently being evaluated. Overall, the Company's objective is to complete in the fall of 2011 an updated resource estimate for the Roughrider uranium deposit that will encompass all three currently identified zones, West, East and Far East.

Property Description

The Midwest NortheastProperty is within the main uranium-producing eastern corridor of the Athabasca Basin. The Property comprises 3 claims covering 543 ha. Infrastructure is excellent. The Property is connected to Highway 955 by a 6 km winter road. The property is 8.5 km north of the community of Points North and the Points North commercial airport, the main service hub for northeastern Saskatchewan. It 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.

Terra Ventures Inc. owns a qualified 10% interest in the largest claim on the Property, carried to the completion of a positive feasibility study and announcement of intent for commercial production. Terra and Hathor recently announced (May 9, 2011) execution of a definitive Plan of Arrangement, which remains subject to a number of conditions including, but not limited to, receipt of all regulatory, court and shareholder approvals, and will result in consolidation of 100% ownership of the Roughrider uranium deposit.

Alistair McCready, Ph.D., P.Geo., Hathor's V.P. Exploration with responsibility for all of Hathor's exploration in Saskatchewan, and Michael Gunning, Ph.D., P.Geo, Hathor's President and Chief Executive Officer, are Qualified Persons as defined by National Instrument 43-101 and have reviewed and approved the technical disclosure contained in this news release.

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.

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

Contact Information

  • Hathor Exploration Limited
    Tony Nunziata

    Hathor Exploration Limited
    Kelsea Murray