Forsys Metals Corp

Forsys Metals Corp

March 26, 2007 16:22 ET

Significant Increases for the Valencia Uranium Resource

TORONTO, ONTARIO--(CCNMatthews - March 26, 2007) - Forsys Metals Corp. ("Forsys" or the "Company") (TSX:FSY) is pleased to announce the receipt of an up date of the resource estimation of the 100% owned Valencia uranium deposit, Namibia. This resource estimation is provided to Forsys by Snowden Mining Industry Consultants (Pty) Limited. This estimate forms the basis of the Pre-Feasibility Report due to Forsys shortly.

Table 1: Summary of the Valencia Uranium Mineral Resources

Category Cut-off Tonnes U3O8
U3O8 (kg/t) (millions)(i) (kg/t)
Measured 0.08 15.1 0.16
Indicated 0.08 104.2 0.13
Total Measured
& Indicated(i) 0.08 119.3 0.13
Inferred 0.08 56.3 0.12

(i) The resource is constrained to a depth of 380 m below surface

The total measured and indicated category can be converted to contained pounds in total metric tonnes using the formula: 119.3 Mt x 0.13 kg/t / 0.446 kg/t(i) equals 34.77 million lbs. The above "Measured" category outcrops within the central pit area and it represents the first two years of planned mining.

Overall the resource has increased from the NI 43-101 resource estimation dated 24 October 2005. Changes to the cut-off grade are justified by a number of favourable factors including: simple mineralogy, expected process recovery exceeding 90%, a lack of deleterious minerals and acid consumptive lithologies and the increased price of uranium.

The Company expects the Pre-Feasibility Report to be delivered within the next two to three weeks which outline the mining method, the pit configuration and the method of mineral processing. The study will include a financial analysis with an overall expected accuracy of plus or minus 25% based on reasonable assumptions of technical, engineering, operating, environmental and economic factors.

Management will be hosting a conference call on Tuesday March 27, 2007 at 8:00 am (EST). All interested parties are welcomed to join the call using the following the access:

Moderator: Mr. Wayne V. Isaacs

Local Dial-In Telephone number: (416) 695-5806

North American Toll free dial-in number: (800) 273-9672

International Toll free dial-in number: (800) 3276-6333

Rick Bonner, P. Geol., Exploration Manager of Forsys, is the designated Qualified Person responsible for all of Forsys' exploration programs as well as the person responsible for the contents of this news release.

(i) Berkman, C. D.; The Field Geologists Manual, 4th edition, page 377, published by The Australasian Institute of Mining and Metallurgy, Victoria, Australia, 2001.

Shares Outstanding: 72,841,755

Contact Information

  • Forsys Metals Corp. (in Toronto)
    Duane Parnham
    (416) 601-1286
    Westport Resources Namibian (Pty) Limited
    Mr. Rick Bonner, P. Geol.
    Exploration Manager