Strateco Resources Inc.

Strateco Resources Inc.

July 12, 2005 12:41 ET

Strateco Resources Options a New Uranium Property in the Otish Mountains

MONTREAL, QUEBEC--(CCNMatthews - July 12, 2005) - Strateco Resources Inc. (TSX VENTURE:RSC) (US SEC registration # 0-49942) ("Strateco") announced today the signing of a letter of intent with Vija Ventures Corporation ("Vija") granting Strateco an option to acquire a 100% interest in the Eclat property, a uranium prospect in the Otish Mountains of northern Quebec.

The Eclat property comprises 90 claims covering a total of 4,787 hectares. Vija owns a 100% interest in the property.

This high-potential uranium property borders on the Matoush property to the north, where Strateco owns an option on a 51% interest (see press release dated May 3, 2005), and on ground recently staked to the south by Cameco, the world's largest publicly traded uranium producer.

The Eclat property lies in the southern extension of the Matoush structure, delineated by Uranerz over a distance of 3,900 metres using ground VLF surveys in the early 1980s. Drilling carried out by Uranerz clearly revealed strong uranium potential. Hole AM-15 returned a grade of 0.95 % U3O8 over an impressive 16-metre width at a vertical depth of 220 metres.

"We seized the opportunity to option this strategically-located property," said Guy Hebert, President of Strateco. "It leaves us very well placed to explore the Matoush structure, which is highly significant and seems to continue for at least two kilometers on the Eclat property. The intersection of 16 meters at nearly 1.0% U3O8 is major by any standards. This structure is a high priority target in our uranium portfolio."

The agreement calls for Strateco to acquire its 100% in the Eclat property by making payments totalling $150,000 over four years, including $7,000 on signature of the agreement and $7,000 on the first anniversary, and by funding a total of $500,000 in exploration over four years and issuing 600,000 common shares of Strateco over three years. The property is also subject to a 2% NSR royalty.

Management is very pleased with this agreement, which should increase the Company's visibility in this relatively unexplored area with untapped uranium potential.

Mr. Jean-Pierre Lachance, geologist, is the qualified person as defined by National Instrument 43-101. He has more than 25 years of experience in mining exploration.

A map is available at the following address:


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