U3O8 Corp.

U3O8 Corp.

June 17, 2008 09:00 ET

U3O8 Corp. Reports First Uranium Mineralization in the Accori Target Area

Accori North and Aricheng South areas lie on a single 10 km long structure

TORONTO, ONTARIO--(Marketwire - June 17, 2008) - U3O8 Corp. (TSX VENTURE:UWE), a Canadian uranium exploration company, reports significant uranium results from the first phase of scout drilling in the Accori target area in the Kurupung Batholith, near the Roraima Basin in Guyana. Furthermore, magnetic data show that the mineralization in Accori North C lies on the same 10 kilometre long structure as mineralization in the Aricheng South area. These findings raise the possibility that other parts of the structure are mineralized and further exploration will focus on the gap between the Aricheng South and Accori North areas.

"For the first time, U3O8 Corp. has demonstrated a structural link between uranium mineralized zones located kilometres apart in the Kurupung Batholith," said Dr. Richard Spencer, U3O8 Corp's President and CEO. "The recognition of this structural framework is an important development that advances U3O8 Corp. from a situation of essentially following up on Areva's prior discoveries to more predictive exploration whereby the location of mineralization in one structure may be used to identify prospective sectors in another."

Dr. Spencer continued, "In addition, these results validate U3O8 Corp's exploration concept that multiple uranium-bearing veins in the basement of the Roraima Basin form part of a structural network that may contain a total resource of meaningful size - and that is analogous to the historic Beaverlodge district that lies adjacent to the Athabasca Basin in Saskatchewan."

Four structures have been drilled in the Accori target area: Accori North A, Accori North B, Accori North C and Accori South (Figure 1). The assay results reported here are from the Accori North C zone.

Accori North C

The four bore holes drilled at Accori North C defined the uranium-bearing structure over a distance of 250 metres and mineralization is open along strike and down dip. Uranium mineralization in the Accori North C target lies within an east-southeast - to east - trending breccia zone in close proximity to a diabase dyke (Figure 2). The diabase dyke may have reduced the hydrothermal fluids thereby contributing to the precipitation of uranium. The uranium mineralized zone varies from 5 metres to 33 metres wide and is enclosed by an alteration assemblage of albite, chlorite and specular haematite. Significant uranium intercepts from the drilling at Accori North C are listed in Table 1.

Table 1. Summary of significantly mineralized intercepts cut in the first four holes drilled on the Accori North C structure. Total metreage drilled in the four holes was 681 metres.

Bore hole data Interval Grade
Total From To Interval Estimated U3O8 U3O8
Hole Depth (m) (m) (m) true width % lb/st
(m) (m)
61.5 68.0 6.5 5.4 0.061 1.2
ACCON-C-001 130.70 -----------------------------------------------------
74.0 79.5 5.5 4.6 0.068 1.4
151.7 20.5 29.0 8.5 7.0 0.800 1.6
ACCON-C-002 Including 28.0 29.0 1.0 0.8 0.258 5.2
111.5 121.0 9.5 7.9 0.109 2.2
33.0 36.0 3.0 2.5 0.074 1.5
187.8 -----------------------------------------------------
102.0 135.5 33.5 27.8 0.083 1.7
ACCON-C-003 ----------------------------------------------------------------
Including 116.0 129.5 13.5 11.2 0.112 2.2
Including 124.5 129.5 5.0 4.1 0.145 2.9
ACCON-C-004 211.0 51.0 56.0 5.0 4.1 0.056 1.1
Note: lb/st is an abbreviation for pounds per short ton. 1 short ton equals
2,000lbs or 0.907 metric tonnes.

Magnetic Data Provide Predictive Exploration Approach

Magnetic data from the airborne geophysical survey flown by U3O8 Corp. show that the Kurupung Batholith is cut by magnetic anomalies that are arranged in open "S"-shaped curves, termed sigmoids (Figure 3). These sigmoidal zones extend from the magnetic anomaly that defines the shear zone on the southwestern margin of the Kurupung Batholith to the complex array of shear zone-related anomalies on its northeast margin. These sigmoid-bounded blocks formed as a result of rotation of relatively rigid blocks within a right-lateral shear couple.

Mineralization in the Accori North C and Aricheng South lies on one of the sigmoidal magnetic anomalies in the Kurupung Batholith (Figure 3). This observation is significant in that:

- There is a possibility that uranium mineralization may occur elsewhere along the 10 kilometre length of the sigmoidal structure on which the Accori North C and Aricheng South areas lie - any such mineralization is likely to be arranged in mineralized shoots interspersed with low grade areas;

- Other sigmoidal structures may be mineralized in the same way as the Accori North-Aricheng South sigmoid. Consequently, radiometric anomalies that lie on sigmoidal structures will be prioritized for further exploration; and

- Observations on the location of mineralization within one sigmoid can be used to predict the location of mineralization within other sigmoids in the same structural system. An understanding of mineralization in the Accori North-Aricheng South sigmoid should assist in identifying other mineralized sectors of adjacent sigmoidal structures.

Please note: Figure 1 is available on the Marketwire website at the following link: http://media3.marketwire.com/docs/uwe0617a.pdf

Please note: Figure 2 is available on the Marketwire website at the following link: http://media3.marketwire.com/docs/uwe0617b.pdf

Please note: Figure 3 is available on the Marketwire website at the following link: http://media3.marketwire.com/docs/uwe0617c.pdf

There has been insufficient exploration to define a mineral resource on the company's properties and it is uncertain if further exploration will result in the target being delineated as a mineral resource.

Quality Assurance & Quality Control

Diamond drilling at Accori produced NQ (47.6 millimetre diameter) core. The core was halved with a diamond saw on site and half core samples were delivered to ACME Laboratory's preparation facility in Georgetown, Guyana. Sample blanks and certified standards were inserted at an average frequency of 1 per 25 samples. Sample pulps were then shipped by ACME to their analytical facility in Vancouver, BC, Canada, for analysis for uranium by ICP-MS after hot, four-acid digestion.

Richard Cleath (M.Sc.), U3O8 Corp's Vice President, a Qualified Person within the definition of that term in National Instrument 43-101 of the Canadian Securities Administrators, had overall responsibility for all aspects of target selection and drilling of the Accori targets. Mr. Cleath has supervised the preparation of, and verified the technical information in this release.

About U3O8 Corp.

U3O8 Corp. is a Canadian uranium exploration company based in Toronto, Canada. Currently focused on exploration in the Roraima Basin area of Guyana, South America, U3O8 Corp.'s primary business objective is to explore, develop and acquire uranium projects in the Americas. The Company is well funded with over $18 million held solely in cash and Canadian chartered bank-backed Guaranteed Investment Certificates. At current rates of exploration expenditure, the company expects to be funded up until 2010.

U308 Corp. has exclusive uranium exploration rights in an area covering approximately 1.3 million hectares that straddles the edge of the Roraima Basin in Guyana. The company is advancing a two-pronged exploration strategy that includes:

- Exploration for multiple uranium-bearing structures within structural systems in the basement adjacent to the Roraima Basin with the concept that the individual veins could potentially aggregate to a significant total resource; and

- Exploration for unconformity-style uranium deposits at the base of the Roraima Basin, which are similar to those of the prolific Athabasca Basin in Saskatchewan.

For further information on U3O8 Corp's properties, please refer to the technical report prepared for the company by Dahrouge Geological Consulting Ltd. and dated September 15, 2006 as amended and restated December 12, 2006, available on SEDAR at www.sedar.com and on the company's website www.u3o8corp.com. Potential quantity and grade are conceptual in nature.

Forward-Looking Statements

Certain information set forth in this news release may contain forward-looking statements that involve substantial known and unknown risks and uncertainties. These forward-looking statements are subject to numerous risks and uncertainties, certain of which are beyond the control of U3O8 Corp., including, but not limited to, the impact of general economic conditions, industry conditions, volatility of commodity prices, risks associated with the uncertainty of exploration results and estimates, currency fluctuations, dependence upon regulatory approvals, the uncertainty of obtaining additional financing and exploration risk. Readers are cautioned that the assumptions used in the preparation of such information, although considered reasonable at the time of preparation, may prove to be imprecise and, as such, undue reliance should not be placed on forward-looking statements.


Basic shares outstanding: 23,057,700

Fully diluted shares outstanding: 25,281,000

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