LEXAM EXPLORATIONS INC.
TSX VENTURE : LEX
PINK SHEETS : LEXEF
FRANKFURT : D2Q

LEXAM EXPLORATIONS INC.

December 16, 2008 09:00 ET

Lexam Explorations Inc: Otish Uranium Project Exploration Update

TORONTO, ONTARIO--(Marketwire - Dec. 16, 2008) - LEXAM EXPLORATIONS INC. (TSX VENTURE:LEX)(PINK SHEETS:LEXEF)(FRANKFURT:D2Q) and its partner Golden Valley Mines Ltd. (TSX VENTURE:GZZ) are pleased to announce that their drilling program has successfully intersected additional near surface uranium mineralization at the Otish Uranium Project, located in north-central Quebec, Canada. The best result graded 0.051% U3O8 over 2.64 m, including a higher grade section assaying 0.138% U3O8 over 0.12 m in hole GRCO-08-22.

To date, sixty-nine (69) holes totaling 2,808 metres of diamond drill core have been completed on the property. The objective of the drill program was to confirm and expand the historical documented uranium mineralization. Drill results obtained thus far have accomplished these objectives and identified higher-grade mineralization previously not seen in historical drilling. Results from six (6) holes are included in this release, and results are currently pending for an additional twenty-seven (27) holes.

South Zone (Riviere Cheno Ouest)

The results in this press release include six holes (GRCO-08-21 to GRCO-08-26 inclusive) from the South Zone. For details of the program and previously released assay results including the high-grade intersection grading 0.42% U3O8 over 2.4 m in GRCO-08-17, including 1.63% U3O8 over 0.6 m and 2.02% U3O8 over 0.4 m, please refer to our November 3, 2008 press release.

At the South Zone, U3O8 mineralization occurs within a basal sequence of Proterozoic-aged sedimentary rocks associated with an angular unconformity separating lower Archean-aged rocks. Five (5) of the six (6) drill holes reported herein, successfully intersected the mineralized zone.

Increasing and higher grade U3O8 mineralization is well developed and concentrated down stratigraphy to the angular unconformity, within the basal section of mixed coarse and fine-grained conglomeratic greywacke and greywacke beds. U3O8 mineralization is not only confined to the sedimentary sequence, but can also extend downwards below the angular unconformity within a distinctive regolith unit representing highly altered Archean basement rocks, or concentrated solely in these altered rocks.

Results from the six (6) holes drilled in this area (approximately true widths) are:



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Hole From To Width U3O8 Mineralized Zone
Number (m) (m) (m) (%) (Unconformity-associated)
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GRCO-08-21 18.83 21.00 2.17 0.012 Basal sediment mineralized interval

GRCO-08-22 18.20 20.84 2.64 0.051 Basal sediment mineralized interval

GRCO-08-23 21.18 23.59 2.41 0.030 Basal sediment mineralized interval

Including 21.18 21.49 0.31 0.108

GRCO-08-24 18.82 23.54 4.72 0.015 Basal sediment mineralized interval
Including 18.82 20.31 1.49 0.170
Including 21.13 23.54 2.41 0.150

GRCO-08-25 19.67 21.49 1.82 0.033 Basal sediment mineralized interval

GRCO-08-26 No significant results
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About Lexam

Lexam Explorations is a North American based energy exploration company. The company is advancing the Baca Project located in south-central Colorado, USA, which is 75% owned by Lexam and 25% by ConocoPhillips and has an option to earn 50% interest in Golden Valley Mines' Otish Basin uranium project located in Quebec, Canada.

CAUTIONARY STATEMENT

Michael P. Rosatelli, M.Sc., P. Geo, Vice-President, Exploration for Golden Valley Mines Inc., is a Qualified Person (as such term is defined in National Instrument 43-101-Standards of Disclosure for Mineral Projects), and is responsible for the geological information presented herein.

Sample handling consists of shipping one half of split BTW drill core samples to Activation Laboratories Ltd. in Ancaster, Ontario for sample preparation and analyses. Uranium analysis is performed using the delayed neutron counting (DNC) method. A multi-element (37) Inductively Coupled Plasma-Optical Emission Spectrometry (ICP-OES) is performed as well on all samples. Where uranium values exceed the upper limit of 1%, samples are re-assayed using X-ray fluorescence (XRF). All reported values in this press release are uncut and composite intervals are reported as length along the core axis.

Some of the statements contained in this release are "forward-looking statements". Such forward-looking statements involve known and unknown risks, uncertainties and other factors that may cause our actual results, performance or achievements to differ materially from the anticipated results, performance or achievements expressed or implied by such forward-looking statements. Factors that could cause actual results to differ materially from anticipated results include risks and uncertainties such as: ability to raise financing for further exploration and development activities; risks relating to estimates of reserves, deposits and production costs; extraction and development risks; the risk of commodity price fluctuations; political, regulatory and environmental risks; and other risks and uncertainties in the reports and disclosure documents filed by Lexam from time-to-time with Canadian securities regulatory authorities. The Company disclaims any intention or obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise. The complete third quarter report including management's discussion and analysis, financial statements and notes can be found on our Company's website at www.lexamexplorations.com and on SEDAR at www.sedar.com.

Contact Information

  • Lexam Explorations Inc.
    Stefan M. Spears
    (647) 258-0395 or Toll Free: 1-866-441-0690
    (647) 258-0408 (FAX)
    or
    Lexam Explorations Inc.
    Ian J. Ball
    (647) 258-0395 or Toll Free: 1-866-441-0690
    (647) 258-0408 (FAX)
    Email: info@lexamexplorations.com
    Website: www.lexamexplorations.com
    or
    Corporate Head Office
    Lexam Explorations Inc.
    99 George Street, 3rd Floor
    Toronto, ON M5A 2N4