URSA Major Minerals Incorporated

URSA Major Minerals Incorporated

December 08, 2006 12:22 ET

URSA Major Minerals Incorporated Announces New Near-Surface Nickel Results From Trenching and Drilling at the Shining Tree Nickel-Copper Project, Sudbury Area, Ontario

TORONTO, ONTARIO--(CCNMatthews - Dec. 8, 2006) -

This press release is not for distribution to any U.S. news wire service or for dissemination in the United States.

URSA Major Minerals Incorporated (URSA Major)("UMJ")(TSX VENTURE:UMJ) is pleased to announce that recent drilling has continued to extend the mineralization at the Shining Tree nickel-copper project, located 110 km north of Sudbury, Ontario. The company completed a 7 hole, 980 meter, drill program on the Shining Tree Project in November 2006. Five drill holes successfully extended the resource and two holes tested new exploration targets on the property. In addition, the Company has completed channel sampling from surface mineralization which was exposed by trenching in June 2006.

Assay results for base metals have been received from the first hole (U12-09) and from the trench samples. The drilling has continued to define significant widths of near-surface nickel-copper mineralization including higher-grade intersections in the footwall of the deposit. Drill hole U12-09 which tested the mineralized zone below the limits of the 2005 drilling, returned grades of 0.76% nickel and 0.43% copper over 19.8 meters from 206.6 to 226.4 meters. This intersection included 6.6 meters of 1.12% nickel and 0.60% copper.

The channel sampling has confirmed significant mineralization in recently excavated trenches. In trench 1, the mineralized zone was exposed beneath 2 to 3 meters of overburden. In this trench, a 5.0 meter channel sample graded 1.05% nickel and 0.66% copper. Prior to trenching, the mineralization at the Shining Tree Project was not exposed. The surface mineralization exposed in the trench is open. The Company is currently in the process of completing baseline environmental studies to permit a bulk sample at this location.

The Company anticipates that all assay results for the program will be available early in 2007. Drill core was split and sampled at a nominal length of 1.0 meter. Blanks, standards and quarter-duplicate samples were inserted into the sample stream prior to shipment to SGS-XRAL Laboratories in Toronto, Ontario. Copper, nickel and cobalt are being determined using ICP with multi-acid digestion while platinum, palladium, and gold are being determined using fire assay techniques.

As reported in February 2006, Shining Tree has an Indicated Resource of 1.02 million tonnes grading 0.71 % nickel, 0.36 % copper plus an Inferred Resource of 1.49 million tonnes grading 0.67 % nickel and 0.36 % copper at a cut off value of 0.30% nickel equivalent. Based on operating the Shining Tree project as a satellite to the Shakespeare project, and using metal price assumptions from the Shakespeare feasibility study, Micon International Limited has identified an in-pit diluted resource of approximately 398,000 tonnes at a grade of 0.68% nickel and 0.33% copper.

National Instrument 43-101

Mr. Harold Tracanelli, P.Geo. is the qualified person for the Shining Tree and Shakespeare drilling programs. Mr. Rob Carter, P.Eng., of Wardrop Engineering Inc. is the qualified person for the Shining Tree resource estimate and Mr. Reno Pressaco, P.Geo., of Micon is the qualified person for the Shining Tree economic assessment.

This release was prepared by management of the Company who takes full responsibility for its contents.

Some statements contained in this release are forward-looking and, therefore, involve uncertainties or risks that could cause actual results to differ materially. Such forward-looking statements include comments regarding mining and milling operations, mineral resource statements and exploration program performance. Factors that could cause actual results to differ materially include metal price volatility, economic and political events affecting metal supply and demand, fluctuations in mineralization grade, geological, technical, mining or processing problems, exploration programs and future results of exploration programs, future profitability and production.

The TSX Venture Exchange has not reviewed and does not accept responsibility for the adequacy or accuracy of this news release.

Contact Information

  • URSA Major Minerals Incorporated
    Richard Sutcliffe, Ph.D., P.Geo
    President & CEO
    (416) 864-0615
    (416) 864-0620 (FAX)
    URSA Major Minerals Incorporated
    Chris Chadder, C.A.
    (416) 864-0615
    (416) 864-0620 (FAX)
    Email: info@ursamajorminerals.com
    Website: www.ursamajorminerals.com
    URSA Major Minerals Incorporated
    Gus Garisto
    Investor Relations
    Cell: (416) 805-3106