Strateco Resources Inc.

Strateco Resources Inc.

January 31, 2006 10:47 ET

RSC Provides Update on its High Potential Uranium Properties In Quebec, Canada

MONTREAL, QUEBEC--(CCNMatthews - Jan. 31, 2006) - Strateco Resources Inc. (TSX VENTURE:RSC)(US SEC Registration # 0-49942) is pleased to provide an update regarding the progress of field work on the high potential Matoush uranium property located in the Otish Mountains, northern Quebec and the planification of exploration program on its Mont-Laurier Uranium property.

On the Matoush project, construction of the permanent camp is nearly completed so is the 74 kilometres of line-cutting. The UTEM-3 ground geophysical survey, which will be performed by Lamontagne Geophysics Ltd., is scheduled to start on February 2, 2006. The deep penetrating electromagnetic survey will allow to detect conductive and therefore reductive units at the basement sediments unconformity. This geophysical method of common usage in the Athabasca basin will be tested for the first time in the Otish Mountains based on the public recorded field work.

An aggressive diamond drilling program is expected to begin by the end of February 2006 following the geophysical survey. A drilling contract has already been signed with Major Drilling Group International Inc.

Exploration conducted by Uranerz Exploration and Mining in the early 1980s before uranium prices tumbled indicated excellent potential on the Matoush property. Uranerz only explored a 900-metre section of the Matoush structure, which has been traced over a distance of 3,900 metres on the property. The drilling performed by Uranerz was spaced at about 200 metres. Hole AM-15, which returned 0.95 % U3O8 over 16 metres, an highly significant drill intercept by any standards, will serve as a starting point for exploration of the property by Strateco. Some drilling targets have already been outlined.

The two adjacent properties consisting in the Matoush 51% option and Eclat 100% option acquired earlier in 2005 by Strateco are located immediately and contiguous north to the mining giant Cameco Corporation claims.

On its very promising Mont-Laurier Uranium property located immediately south of Nova Uranium (NUC) in Mont-Laurier area, Quebec, Strateco is getting ready to initiate an intensive exploration program. A contract with Fugro Airborne Surveys Corporation has already been signed for an airborne magnetic and spectrometric survey. The survey is scheduled to take place at the beginning of June 2006. Fugro will fly the survey with a Cessna 404 Titan II aircraft which has been used successfully for this type of survey.

Line spacing for this survey totalling 1,250 line-km will be 100 metres. The survey altitude will vary between 100 and 120 metres above ground level.

The survey will be immediately followed by ground follow-up of selected targets. A minimum of 2,500 metres diamond drill program will be conducted during the summer and fall 2006.

Ground work prior to drilling will include ground scintillometre survey, stripping trenching, blasting and sampling.

Exploration is expected to be concentrated within the 8-kilometre under-explored gap in the north-central portion of this highly promising property which has previously obtained values of 11.8 lb/ton U3O8 to 0.7 lb/ton U3O8.


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