VANCOUVER, BRITISH COLUMBIA--(Marketwire - Nov. 18, 2010) - David H. Brett, President and CEO, Pacific Bay Minerals Ltd. (TSX VENTURE:PBM) ("Pacific Bay" or the "Company") reports that private company UrAmerica Ltd has defaulted on its option to acquire a 60% interest in Pacific Bay's 300 square kilometre uranium property in Chubut Province, Argentina which is located 20 km east of the 15.4 million lb. U3O8 Cerro Solo Deposit (0.47% U3O8). After giving UrAmerica ample time to cure it's defaults, the Company terminated the agreement. Pacific Bay now owns 100% of the property which is underlain by the favourable Los Adobes formation that hosts several uranium deposits in the region, including the Cerro Solo deposit, owned by Argentina's National Commission of Atomic Energy (CNEA).
Pacific Bay plans to use part of the proceeds from its recently announced financing for an exploration program during the first quarter of 2011, the optimal time to work in the area. A number of potential partners have expressed exploration interest in the property.
The Cerro Solo uranium camp has been actively explored recently by several major, junior and state mining companies. In 2009 Argentina's National Commission of Atomic Energy (CNEA) undertook an aggressive drilling campaign designed to define the Cerro Solo resource prior to feasibility and environmental studies that are now underway. Press reports indicate an additional 10,000-metre program is now underway and that CNEA intends to have its feasibility and environmental studies completed prior to 2012. With Argentina's new Attucha II nuclear power plant proceeding, the government has made it a priority to secure a reliable domestic supply of uranium.
Active exploration companies in the region include Cameco (under an agreement with Calypso Resources), U3O8 Corp of Toronto (who recently acquired all the Argentine uranium assets of Mega Uranium), UrAmerica, and Wealth Minerals. Including Pacific Bay's 100% owned Regalo property, the Company now controls 100% of 682 square km (682,000 hectares) of favourable ground in the Cerro Solo Uranium Camp.
"Pacific Bay is now better positioned in a uranium camp that is becoming a lot more active," said Pacific Bay CEO David H. Brett. "Pacific Bay believes this area of Chubut Province, Argentina, is one of the better places in the world to be exploring for Uranium right now."
The technical information contained in this news release has been reviewed and approved Doug Blanchflower, P.Geo., a consultant to the Company and a Qualified Person under policy NI 43-101.
Pacific Bay Minerals Ltd.
David H. Brett, MBA
President & CEO
The TSX Venture Exchange has not reviewed and does not accept responsibility for the adequacy or accuracy of this news release.