Uranium Power Corp.
TSX VENTURE : UPC

Uranium Power Corp.

October 28, 2005 11:13 ET

Uranium Power Corp. Announces New Joint Venture Project

VANCOUVER, BRITISH COLUMBIA--(CCNMatthews - Oct. 28, 2005) - Uranium Power Corp. ("Uranium Power") (TSX VENTURE:UPC) and US Energy Corp. (NASDAQ: (Small Cap) "USEG") are pleased to announce the addition of a new project to their existing joint venture portfolio. The new project, Burro Canyon, is located in San Miguel County, Colorado, in the Slick Rock Mining District, at the southern end of the highly productive Uravan Belt. As with the previously announced Sheep Mountain and Breccia Pipes projects, the Burro Canyon project will be a 50:50 joint venture, with Uranium Power Corp. funding the first $500,000 of acquisition and exploration expenditures.

The project consists of 143 unpatented lode-mining claims on BLM land, for a total of approximately 2900 acres.

The structural setting of the area is a syncline that strikes southeast to northwest and plunges to the southeast. Outcroppings of Morrison Formation sandstones and mudstones, Dakota Formation sandstones and Mancos Shale sediments wrap around the northwest nose of the syncline.

Immediately adjacent to the property on the northeast is the Sunday Mine complex, currently owned by International Uranium Corp. This area has produced about 1.5 million pounds of uranium and about 10.0 million pounds of vanadium. According to information assembled by Chris Healey, P.Geo., published reports suggest that an additional resource of 4.0 million pounds U3O8 may be located at the Sunday Mine Group. Immediately adjacent, and to the southwest, the Burro mine has produced over 1.0 million pounds U3O8 and 8.0 million pounds V2O5. Neither mine is in production presently.

In detail the targets are deposits located in the fluvial sediments towards the center of the syncline occurring between the known producers. These targets are confined to the Salt Wash Member of the Morrison Formation.

The joint venture partners are planning an aggressive exploration program. This will consist of data compilation, geological review, and field mapping, followed by a drilling program.

President, Rahoul Sharan states, "Uranium Power Corp. continues with its aggressive uranium exploration programs and is pleased to add Burro Canyon to its growing portfolio of uranium projects with U.S. Energy."

Chris Healey P. Geo., Vice President - Exploration for USEG and a Director of Uranium Power Corp., is the Qualified Person responsible for the technical data presented in this release.

URANIUM POWER CORP.

Rahoul Sharan, President

WARNING: The Company relies on litigation protection for "forward looking" statements. Actual results could differ materially from those described in the news release as a result of numerous factors, some of which are outside the control of the Company.

This news release does not constitute an offer to sell or a solicitation of an offer to sell any of the securities in the United States. The securities have not been and will not be registered under the United States Securities Act of 1933, as amended (the "U.S. Securities Act") or any state securities laws and may not be offered or sold within the United States or to U.S Persons unless registered under the U.S. Securities Act and applicable state securities laws or an exemption from such registration in available.

The TSX Venture Exchange has not reviewed and does not accept responsibility for the adequacy or accuracy of the content of this News Release.

Contact Information

  • Uranium Power Corp.
    Rahoul Sharan
    President
    (604) 689-1810
    (604) 689-1817 (FAX)