International Enexco Limited
TSX VENTURE : IEC
OTCQX : IEXCF
FRANKFURT : I6E

International Enexco Limited

April 03, 2014 08:00 ET

International Enexco Intersects 3.73% eU3O8 Over 1.2 Metres Including 11.02% eU3O8 Over 0.3 Metres on the Mann Lake Project, Athabasca, SK

VANCOUVER, BRITISH COLUMBIA--(Marketwired - April 3, 2014) - International Enexco Ltd. (TSX VENTURE:IEC)(OTCQX:IEXCF)(FRANKFURT:I6E) (the "Company" or "Enexco") -

  • New High-Grade Intercept in MN-065, 150 m North of MN-060

  • MN-065 Intersects 3.73% eU3O8 / 1.2 m, including 11.02% eU3O8 / 0.3 m

  • MN-060, Announced March 10, 2014, Intersected 2.31% eU3O8 / 5.1 m, Including 10.92% eU3O8 / 0.4 m

  • MN-065 Indicates Mineralised Trend Minimum 300 m Length

  • Trend Remains Prospective and Open Along 3.1 km Length

International Enexco Ltd. is pleased to report new Mann Lake down-hole gamma survey results for drill hole MN-065, located 150 metres ("m") north of MN-060, returned 1.2 m averaging 3.67% eU3O8, from 689.8 m to 691.0 m, and included a 0.3 m interval, from 690.3 m to 690.6 m, averaging 11.02% eU3O8. When combined with recent Mann Lake results, a minimum length of 300 m of mineralized trend exists between MN-060 and MN-047 within the footwall of the western conductor target. To date, 1.8 km of this unconformity target has been tested with 8 drill holes, and the target remains prospective along its entire length of 3.1 km. Enexco anticipates that a follow up drill program will be conducted in winter 2015 along untested portions of the aforementioned target and on other prospective areas at Mann Lake.

On March 10, 2014, an intersection of newly discovered unconformity mineralization was reported in MN-060. Down-hole gamma survey results in MN-060 intersected 5.1 m averaging 2.31% eU3O8. The intersection included a 0.4 m interval averaging 10.92% eU3O8. The hole represented a new discovery footwall to the western conductor in the northern half of the Mann Lake property and is located 300m south of hole MN-047, which, in 2013, encountered elevated radioactivity at the unconformity between Athabasca basement rocks and overlying sandstones, in an interval averaging 0.27% eU3O8 over 2.0 m. The MN-060 intersection is the best returned in the product of thickness and grade from the Mann Lake property thus far.

Arnold Armstrong, President and CEO of Enexco, commented: "We are extremely excited by the strong mineralized trend between MN-060 and MN-047, as shown by the intercept in MN-065. We now have an unconformity target footwall to the western conductor which extends north 3.1 km from the centre of the property. We are thrilled to have an interest in one of the most prospective areas of the eastern Athabasca Basin, and we look forward to further results from the 2014 drill campaign."

The Mann Lake Uranium Project is located 25 kilometres southwest of the McArthur River mine between the neighbouring Hughes Lake Project (Cameco/AREVA/Anglo Bomarc), the Read Lake Project (Cameco/AREVA), and Denison Mines' 60%-owned Wheeler River Project. The Mann Lake Uranium Project is a joint venture between Cameco (52.5%), Enexco (30%) and AREVA Resources Canada (17.5%) in which Cameco is the operator.

Approximately 50% of the completed winter drill program focused on the footwall of the western conductor, a target with the newly discovered unconformity mineralization in MN-060 (5.1 m of 2.31% eU3O8). Drilling following the March 10, 2014 announcement included an intersection of similar unconformity mineralization in MN-065, located between MN-060 and MN-047.

Table A - MN-065 and MN-060 Intersections

DRILL HOLE

Grade
Calculation
Method

From
(m)

To
(m)

Thick-
ness
(m)
Grade
Cut-off
%
Maximum
Grade
(%U
308)
Average
Grade
(%U
308)

GT
(m x %)
MN-065 Equivalent %U308
Gamma (High Flux Probe)
689.8 691.0 1.2 0.10 15.3 3.67 4.4
(includes) 690.0 690.7 0.7 1.00 15.3 6.51 4.2
(includes) 690.3 690.6 0.3 5.00 15.3 11.02 3.3
MN-060
(March 10, 2014 announcement)
Equivalent %U308
Gamma (High Flux Probe)
687.6 692.7 5.1 0.10 12.77 2.31 11.78
(includes) 689.2 690.6 1.4 1.00 5.12 2.26 3.16
(includes) 691.2 691.6 0.4 1.00 12.77 10.92 4.37
(includes) 689.2 691.9 2.7 1.00 12.77 4.20 11.34
(1) eU3O8 is the radiometric equivalent uranium from a total gamma down-hole probe calibrated using an algorithm calculated from the comparison of probe results. True widths of mineralized intervals have not yet been determined or geochemical analyses performed to support the probe data.
(2) Average grades are composited from 5 centimetre intervals.
Table B 2014 Winter Program Statistics
Drill
Hole
Grid
Line
Results Collar
Elevation
(m ASL)
Dip/Az OB
(m)
UC
Depth
(m)
UC
Elevation
(m ASL)
Total
Metreage
(m)
Central Conductor Tests
MN-053 L62+00N Weak alteration at UC 535.0 -65° / 280° 6.3 570.9 28.4 734.0
MN-054 L32+00N No significant radioactivity 537.1 -70.0° / 280° 9.9 545.2 24.5 749.0
MN-059 L32+00N Elevated radioactivity 50 m down dip from MN-036 533.9 -76.5° / 280° 11.9 497.3 49.0 848.0
MN-062 L10+20N Variably bleached below UC 536.9 -62.0° / 280° 10.1 545.7 42.1 707.0
Western Conductor Tests
MN-056 L65+70N No significant radioactivity 530.7 -63.5° / 270° 27.8 520.8 62.5 638.0
Footwall to Western Conductor Tests
MN-055 L41+00N Lost hole 530.0 -64.0° / 280.0° 90.0 --- --- 293.7
MN-057 L47+09N Brecciation and clay gouge above UC 569.0 -65.0° / 280° 102.2 712.9 -82.4 754.2
MN-060 L42+25N 2.31% eU3O8 over 5.1 m above UC 556.3 -63.5° / 280° 166.2 691.8 -80.9 770.0
MN-060-01 L42+25N Wedge off MN-060 elevated radioactivity to 750 cps SPP2 above UC 556.3 -68.5° / 264.6° --- 676.3 -76.3 410.0
MN-061 L50+00N Elevated radioactivity up to 600 cps SSP2 below UC 569.0 -67.5° / 280° 99.0 686.9 -76.1 743.0
MN-063 L56+00N Minor strong bleaching above UC 555.9 -65.0° / 280° 117.1 672.6 -63.5 725.0
MN-064 L38+00N Lost hole 560.1 -64.0° / 280° --- --- --- 111.0
MN-065 L42+80N 3.67% eU3O8 over 1.2 m above UC 559.5 -66.0° / 280° 63.0 690.4 -80.6 743.0
MN-066 L38+00N Elevated radioactivity up to 350 cps SSP2 above UC 566.7 -68.0° / 282° 106.9 686.4 -80.2 782.0
Western Margin Test
MN-058 L53+25N Strong hematite above UC 551.8 -73.0° / 280° 31.6 700.5 -117.3 830.0
UC = unconformity
OB = overburden
Total 9,837.9

To view Map 1-Mann Lake Property and Map 2-Intercepts, please visit the following link: http://media3.marketwire.com/docs/IEC-040314-maps.pdf

In all, the 2014 winter program totalled 13 holes and 9,838 metres drilled. Results for the holes completed on the footwall of the western conductor target, including MN-047, drilled in 2013, are listed below in order from south to north. Geochemical results for all drill holes in the 2014 program are still pending.

  • MN-066, 300 m south of MN-060, encountered strong bleaching in the basal sandstone accompanied by weak pyrite and elevated radioactivity associated with faulting approximately 13 m above the unconformity. Below the unconformity, the basement is granitic with a significant hydrothermal overprint to 723.0 m. Faulting in the sandstone, weak pyrite and the hydrothermally altered basement are consistent with the mineralized drill holes to the north.

  • MN-060, encountered alteration and faulting through the basal sandstone with mineralization present immediately above the unconformity. Uranium occurs as disseminations and moderate to strong pyrite and chlorite clay alteration above the unconformity from 687.6 m to 692.7 m with 2.31% eU3O8 over 5.1 m. Grains of niccolite, veins of pyrite, and agglomerations of pyrrhotite and galena are proximal to stronger concentrations of uranium mineralization. Grades from down hole probe suggest the best mineralization occurs in the area of lost core from 689.0 m to 692.0 m.

  • MN-060-1, a wedge hole off MN-060, encountered the unconformity at 676.2 m with a 30 m horizontal offset from the intercept in MN-060. Faulting and alteration are similar to the intercept in MN-060. Slightly elevated radioactivity occurs in local clay alteration above the unconformity.

  • MN-065, 150 m north of MN-060 and MN-060-1 and 150 m south of 2013 MN-047, encountered alteration and faulting in the basal sandstone with mineralization present immediately above the unconformity. Mineralization consists of disseminations, agglomerations and semi-massive pitchblende in strongly bleached, pyritic and chloritic altered sandstone with an intercept of 3.67% eU3O8 over 1.2 m.

  • MN-047, drilled in 2013, returned geochemical results from composite samples in the sandstone with strongly anomalous uranium values throughout the sandstone section and a weighted partial average of 7 ppm from 300.0 m to 693.3 m. The basal 23.3 m of the sandstone section returned a weighted partial average of 74.52 ppm from 670.0 m to 693.3 m. Boron values were also elevated locally. Significant core loss occurred at the unconformity where down hole probe returned two mineralized intervals of 0.7 m of 0.11% eU3O8, from 693.8 m to 694.5 m, and 2.0 m of 0.27% eU3O8, from 696.0 m to 698.0 m.

  • MN-057, 300 m north of MN-047, encountered faulting in the lowermost 20 m of the sandstone section with brecciation, local clay gouge, and pyrite. The granitic basement showed locally weak hydrothermal alteration followed by moderate to strong brick-red hematite staining.

  • MN-061, 300 m north of MN-057, encountered alteration and faulting immediately above the unconformity. Elevated radioactivity was found immediately below the unconformity in hydrothermally altered pelite. The basement rocks consist of an assemblage of altered pelite followed by weakly faulted graphitic pelite ending in fresh granite.

  • MN-063, 600 m north of MN-061, encountered only minor strong bleaching and no significant faulting above the unconformity. The basement consists of paleoweathered to fresh granite.

The C conductor on the Mann Lake property consists of three geophysical conductors designated the eastern, central and western conductors, which form a 6 km section of an anomalous regional trend. The unconformity target intersected in MN-060, MN-065 and MN-047, occurs on the footwall (west) of the western conductor within the northern half of the Mann Lake property. A presentation on the Mann Lake Uranium Project can be found on the Company's website.

Qualified Person

William Willoughby, Ph.D., P.E. is the Company's Qualified Person for the purposes of National Instrument 43-101 and has prepared or supervised the preparation of the disclosure of any scientific and technical information contained in this news release.

About Mann Lake Uranium Project

The Mann Lake Uranium Project is located in the heart of what is indisputably the most prolific and highest grade uranium region in the world, the Athabasca Basin in Saskatchewan. The project lies 25 kilometres southwest of Cameco's McArthur River Mine and 20 kilometres northeast of Cameco's Millennium deposit. High-grade mineralization was intersected during the 2006 drill program in MN-013 which intersected 7.12% U3O8 over 0.25 metres and 5.53% U3O8 over 0.4 metres.

About International Enexco Ltd.

International Enexco Ltd is a North American exploration and development company focused on the feasibility stage Contact Copper Project in northern Nevada and the Mann Lake and Bachman Lake Uranium Projects located in Saskatchewan's prolific Athabasca basin. Enexco holds a 30% interest in the Mann Lake Uranium Project and a 20% interest in Bachman Lake Uranium Projects. The Mann Lake Project is a joint venture with Cameco (52.5%), operator, and AREVA (17.5%), two of the world's largest uranium companies.

On behalf of the Board of Directors

G. Arnold Armstrong, President & CEO

Certain information regarding the Company including management's assessment of future plans and operations, may constitute forward-looking statements under applicable securities laws and necessarily involve risks associated with mining exploration and development, volatility of prices, currency fluctuations, imprecision of resource estimates, environmental and permitting risks, access to labour and services, competition from other companies and ability to access sufficient capital. Although the Company believe the expectations expressed in such forward-looking statements are based on reasonable assumptions, such statements are not guarantees of future performance and actual results or developments may differ materially from those in the forward-looking statements. Readers are cautioned that mineral resources that are not mineral reserves do not have demonstrated economic viability. Mineral exploration and development of mines is an inherently risky business. For more information on the Company and the risks and challenges of its business, investors should review their annual filings that are available at www.sedar.com.

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

Contact Information