Uranium Energy Corp
OTC Bulletin Board : URME

Uranium Energy Corp

November 14, 2006 09:23 ET

Uranium Energy Corp Acquires Two Uranium Properties in New Mexico; Initiates Permitting To Start Drilling Shortly

AUSTIN, TEXAS--(CCNMatthews - Nov. 14, 2006) - Uranium Energy Corp (OTCBB:URME)(FWB:U6Z)(BERLIN:U6Z) is pleased to announce the acquisition of two uranium properties in New Mexico: West Ranch, with an historic resource of 1.5 million pounds of uranium, and Laguna Trend.

Both acquisitions were identified by analysis of the Company's historical exploration databases, and acquired by staking. The Company holds 100% interest in both properties. Uranium Energy has opened an exploration and development office in Albuquerque, NM, and anticipates additional acquisitions in uranium rich New Mexico soon.

West Ranch

The West Ranch Project consists of approximately 2,500 acres made up of lode mining claims and private leases in northwestern New Mexico, on the northwest end of the historically uraniferous Ambrosia Lake trend of the Grants Uranium District. The property was drilled by United Nuclear Corporation and more recently, by Kerr McGee. Historical wide-spaced drilling across the property indicates the presence of several northwest-southeast trending uranium mineralized zones within the Morrison Formation at average depths of 800 feet.

Within a 20-acre area of the West Ranch Project, previous close-spaced drilling confirmed the presence of an open-ended ore trend containing approximately 1.5 million pounds of uranium at an average thickness of 7.5 feet and an average grade of 0.172%, an average Grade-Thickness (GT) of 1.29. This resource information is based on the analysis of 35 historical drill holes from Company databases.

Uranium Energy Corp has initiated exploration permitting for the West Ranch Project with the State of New Mexico and the U. S. Bureau of Land Management. A drilling program is planned to confirm historical mineral intersections and to expand the historically indicated ore zone. Initial analysis indicates that the West Ranch resource may consist of redistributed ore, and may be amenable to In-Situ Leach (ISL) uranium extraction technology.

Laguna Trend

Uranium Energy Corp's Laguna Trend Project consists of 800 acres of lode claims on Bureau of Land Management land in northwestern New Mexico. The claim block is on-trend and several miles northeast of the historically-producing St. Anthony, Jackpile, Paguate, and L-Bar uranium deposits. Northeast of the Company's claim block is Kerr McGee's (now Anadarko Petroleum's) uranium deposit, Rio Puerco, and Conoco's Bernabe uranium deposit. Both of these deposits are yet to be developed.

Acquisition of the Laguna Trend claim block by Uranium Energy Corp was driven by intense analysis of the Morrison Nuclear database, which includes drilling data indicating significant uranium mineralization in the Westwater Canyon Member of the Morrison Formation where the Company's Laguna Trend claim block is located. This property was most recently held by Kerr McGee (now Anadarko Petroleum). Uranium Energy Corp has initiated exploration permitting for the Laguna Trend Project.

According to the U.S. Department of Energy, New Mexico holds 40% of the nation's proven uranium reserve, or 340 million pounds, second only to Wyoming. This does not include probable resources or resources yet to be discovered. The Company's establishment of a strong presence in New Mexico is in keeping with its strategy of becoming a near term uranium producer in the United States, and now provides a third opportunity to participate in an advanced stage uranium development project, in addition to the Company's current drilling programs in Texas and Wyoming.

About Uranium Energy Corp

Uranium Energy Corp (OTCBB:URME) is a US-based junior resource company focused on uranium exploration and development in the United States. The Company has a mission to acquire historical uranium resources that can quickly be developed into producing uranium mines. Its management is comprised of veteran mining and exploration professionals eminent in the field of uranium, whose collective experience in the mining industry, and specifically in the uranium mining sector, gives the Company substantial uranium mine-finding and uranium mine development expertise. Uranium Energy Corp is well positioned to capitalize on the world's current significant alternative energy boom. Visit www.uraniumenergy.com for more information.

Safe Harbor Statement

This news release contains forward-looking statements within the meaning of Section 27A of the United States Securities Act of 1933, as amended, and Section 21E of the United States Securities and Exchange Act of 1934, as amended. Statements in this news release, which are not purely historical, are forward-looking statements and include any statements regarding beliefs, plans, expectations or intentions regarding the future. These statements involve risks and uncertainties which could cause actual results to differ materially from those in the forward-looking statements contained herein. Such risks and uncertainties may include, but are not limited to, the impact of competitive products, the ability to meet customer demand, the ability to manage growth, acquisitions of technology, equipment or human resources, the effect of economic and business conditions, the ability to attract and retain skilled personnel and factors outside the control of the Company. These forward-looking statements are made as of the date of this news release, and the Company assumes no obligation to update the forward-looking statements or to update the reasons why actual results could differ from those projected in the forward-looking statements. Although the Company believes that the beliefs, plans, expectations and intentions contained in this news release are reasonable, there can be no assurance those beliefs, plans, expectations or intentions will prove to be accurate. Investors should consider all of the information set forth herein and should also refer to the risk factors disclosed in the Company's periodic reports filed from time-to-time with the United States Securities and Exchange Commission. This news release shall not constitute an offer to sell or the solicitation of an offer to buy nor shall there be any sale of these securities in any jurisdiction in which such offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of any such jurisdiction.

Contact Information

  • Contact North America
    Uranium Energy Corp
    Investor Relations
    Toll Free: 1-877-676-7183 or (512) 721-1022
    (512) 721-1023 (FAX)
    Email: info@uraniumenergy.com
    Website: www.uraniumenergy.com
    Contact Europe
    International Market Trend AG
    +41.43.888.67.09 (FAX)