Shoreham Resources Ltd.

Shoreham Resources Ltd.

March 27, 2007 15:51 ET

Shoreham Options Ontario Uranium Property from Rampart Ventures Ltd.

TORONTO, ONTARIO--(CCNMatthews - March 27, 2007) - David Bending, P. Geo., President and CEO of Shoreham Resources Ltd. (TSX VENTURE:SMH), is pleased to announce that the Company has optioned the Bear Head Lake Uranium Property from Rampart Ventures Ltd. (TSX VENTURE:RPT). The option agreement grants Shoreham the right to earn a 70% working interest, subject to a 2% NSR payable to an underlying vendor, in Rampart's 3 claim, 64 Unit, 1,024 hectare Bear Head Lake property located in the Setting Net Lake and Favourable Lake areas of northwestern Ontario in close proximity to Shoreham's Favourable Lake Property (December 28, 2005 News Release).

The Bear Head Lake property covers prospective uranium targets which were previously explored in 1955 through 1977 including a reported 29,871 feet of drilling by Kerr Addison Mines Limited and Dolores Branch Resources in 1977. Uranium is reported to occur in pegmatite bearing zones, altered granitoid rocks and migmatites along a major structural break called the Bear Head Lake Fault. Shoreham's field programs are scheduled to commence during the second quarter of 2007, with grid work, radiometric surveys, geological studies and synthesis of historic data including drilling results and evaluation of all existing pre-National Instrument 43-101 resource estimates. Subsequent drilling programs will be planned to advance these targets to meet current NI43-101 reporting standards and will be coordinated with similar activity scheduled to occur at the nearby Favourable Lake Project area.

Under the terms of the signed Letter of Agreement, which is subject to regulatory approval and incorporation into a more comprehensive definitive Agreement, Shoreham has the option to earn a 70% interest in the Bear Head Lake Property by paying $10,000 upon closing of the agreement and an additional $20,000 annually on February 1 of 2008, 2009, and 2010. Shoreham has the right to make these payments in either cash or Shoreham shares. Shoreham is also required to spend a cumulative total of $700,000 on exploration activities on the property by August 15, 2011 of which $100,000 is to be spent by August 15, 2008. Rampart retains a right of first refusal on any offer to acquire Shoreham's rights under this agreement. The property reverts 100% to Rampart if Shoreham does not complete its 70% earn in. The cost to acquire additional property within a defined area of interest will be included as qualified expenditures during the earn-in period under the agreement.

Shoreham may terminate the agreement provided that Shoreham is current in its obligations to Rampart and the claims are in good standing. Exploration programs will be conducted by Shoreham subject to review and approval by Rampart management.

Shoreham Resources Ltd. is a Canadian resource company listed on the TSX Venture Exchange as "SMH".

The TSX Venture Exchange has not reviewed and does not accept responsibility for the adequacy or accuracy of this news release.

Contact Information

  • Shoreham Resources Ltd.
    David Hammond
    Director & CFO
    (416) 867-1101
    (416) 867-1222 (FAX)