SOURCE: Raytec Development Corp.

December 04, 2007 03:05 ET

RAYTEC Options 10 Uranium Properties

VANCOUVER, BC--(Marketwire - December 4, 2007) - Raytec Development Corp. (the "Company") (TSX-V: RAY) (FRANKFURT: XZT) is pleased to announce that it has entered into an agreement to option a total of 10 Uranium properties currently held by the Company in the eastern Athabasca Basin of Saskatchewan. The agreement is with Solitaire Minerals Corp. ("Solitaire") (TSX-V: SLT), and concerns 3 mineral claims totalling 14,415 hectares, known as the "D" block of claims, and 7 mineral claims, known as the "C" block of claims, totalling 3,913 hectares, all located in relative proximity to the Key Lake area of the Athabasca Basin.

The agreement calls for Solitaire to acquire a 100% interest in the D block of claims, subject to a 2.5% Net Smelter Royalty ("NSR") in favour of the original vendors of the property, and a 0.5% NSR in favour of Raytec. In addition, the Company has granted Solitaire an option to earn up to a 50% interest in the Company's "C" block of claims by spending total of $1,000,000 in exploration expenditures prior to November 1, 2010. Solitaire will also retain the right to earn an additional 20% (for a cumulative 70%) interest in the "C" block of claims by spending an additional $1,000,000 in exploration expenditures prior to November 1, 2012. To acquire this, Solitaire must pay to the Company a total of 100,000 shares of Solitaire, and make payment to the Company of $50,000. A finder's fee in accordance with TSX Venture Exchange policy will be payable on this transaction.

About the properties: The properties total 18,328 hectares in area. The "D" parcel is located approximately 40 km's west of the McArthur Lake Uranium Mine, and constitutes a total of 3 contiguous claims. The "C" parcel constitutes a total of 7 non-contiguous claims, and stretch from "C7" which lies approximately 10 km's west of the Cigar Lake Uranium Mine, to "C1", "C2" and "C3" which are located within 25 km's and as close as 8 km's from the Key Lake Uranium Mine, where historical production from 2 mined-out unconformity type uranium deposits once contributed 15% of world uranium production (reference Natural Resources Canada). All of the claims are located within or proximal to the Key Lake - McArthur River and Cigar Lake geological trend. The claims are situated within the Athabasca Basin, underlain by rocks of the Wollaston Domain, which is the favourable geological setting hosting most of the major deposits in the eastern portion of the basin.

During the past year, an airborne VTEM and magnetic survey, performed by GeoTech, was performed over the entire property package, identifying a Priority 1 basement target on the "D" blocks, and identifying Priority 1 shallow targets on 5 of the 7 "C" blocks. In addition, other Priority 2 and 3 targets were identified on both the "C" and "D" blocks. Results of the airborne survey have been compiled and interpreted and have been incorporated into a technical report in compliance with National Instrument 43-101 which has been filed by Raytec on SEDAR.

On behalf of the Board, RAYTEC METALS CORP.

Per:  "Brian Thurston"
     Brian Thurston, B.Sc., President

THE TSX VENTURE EXCHANGE DOES NOT ACCEPT RESPONSIBILITY FOR THE ADEQUACY OR ACCURACY OF THIS NEWS RELEASE

Cautionary note: This report may contain forward-looking statements, particularly those regarding cash flow, capital expenditures and investment plans. Resource estimates, unless specifically noted, are considered speculative. The company has filed a National Instrument 43-101 report on the Key Lake properties. Any and all other resource or reserve estimates are historical in nature, and should not be relied upon. By their nature, forward-looking statements involve risk and uncertainties because they relate to events and depend on factors that will or may occur in the future. Actual results may vary depending upon exploration activities, industry production, commodity demand and pricing, currency exchange rates, and, but not limited to, general economic factors. Cautionary Note to US investors: The U.S. Securities and Exchange Commission specifically prohibits the use of certain terms, such as "reserves" unless such figures are based upon actual production or formation tests and can be shown to be economically and legally producible under existing economic and operating conditions.

Contact Information

  • RAYTEC METALS CORP.
    Suite 1128 - 789 West Pender Street, Vancouver, BC, V6C 1H2
    Tel: (604) 669-9330
    Fax: (604) 669-9335