URSA Major Minerals Incorporated
TSX : UMJ

URSA Major Minerals Incorporated

November 24, 2010 09:02 ET

URSA Major Minerals' Initial Drilling Results Indicate High Grade Nickel-Copper-Platinum Group Metals at Nickel Offsets Property, Sudbury Area

TORONTO, ONTARIO--(Marketwire - Nov. 24, 2010) -

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URSA Major Minerals Incorporated ("URSA Major") (TSX:UMJ) is pleased to announce initial results from the 2010 drilling program at the past-producing Nickel Offsets Mine, located in Foy Township, 40 km northwest of Sudbury, Ontario. The program includes approximately 2,582 meters of diamond drilling over seven holes and new borehole EM surveys to follow up on massive sulphide targets identified in the 2009 work program. Assay results confirm the presence of high-grade nickel, copper and platinum group metals. Since optioning the Nickel Offsets Property in 2008, URSA has undertaken two diamond drill programs totalling 4,389 meters in 12 holes. Assay results have been received for three holes in the 2010 drill program.

Hole U15-10 is of particular interest, intersecting 2.89 meters of nickel-rich massive sulphides grading 2.90% nickel, 0.97% copper, 0.16% cobalt, 0.94 g/t platinum, 1.28 g/t palladium, and 0.11 g/t gold. Hole U15-10 also intersected an additional 2.0 meters of platinum group metal mineralization grading 3.04 g/t platinum, 2.00 g/t palladium, 0.82 g/t gold, with 0.07% nickel and 0.37% copper in disseminated sulphides in the footwall of the nickel-rich massive sulphides.

The intersections in hole U15-10, at a down hole depth of 140 meters, are down plunge from the mineralized number 2 lens that was mined at the number 1 shaft. Holes U15-6 and 7 were drilled to test a bore-hole EM conductor target up-dip from the number 4 lens. Holes U15-8, 9, 11 and 12 did not intersect visually significant sulphides, but are being carefully examined for potential precious metal bearing disseminated sulphides. Sampling with respect to these holes is currently in progress.

Diamond Drill Hole (DDH) Location and Assay Summary

DDH Drill Collar Location Az & Incl. From: To: Length: Ni Cu Co Au Pt Pd
  UTM NAD83   (m's) (m's) (m's) (%) (%) (%) (g/t) (g/t) (g/t)
U15-06 0481183E/ 5178266N 025/ -50° 274.62 276.24 1.62 0.41 0.47 0.02 0.46 0.43 0.30
U15-07 0481183E/ 5178266N 025/ -55° 359.08 360.39 1.31 0.64 0.60 0.02 0.06 0.18 0.24
U15-10 0481706E/ 5178441N 205/ -47° 142.01 144.90 2.89 2.90 0.97 0.16 0.11 0.94 1.28
And     146.65 148.65 2.00 0.07 0.37 0.00 0.82 3.04 2.00

Richard Sutcliffe, URSA Major's CEO commented, "Our current drill program at Nickel Offsets is part of URSA Major's commitment to maintain an active exploration program to expand our resources. The program is now funded from positive cash flow from the mining operation at Shakespeare. We are seeing both high-grade massive sulphides and platinum group metal concentrations in disseminated sulphides at Nickel Offsets. Interestingly, the concentrations of platinum group metals were not identified while the property was in production during the 1940's and 1950's. The Foy Offset Dyke exhibits similar types of mineralization to other major offset dykes in the Sudbury Basin. Going forward, we will continue to test for the extensions of the massive sulphide lenses and for disseminated mineralization on this past producing property."

Drilling to date indicates that the previously mined number 2 and 4 ore lenses were probably truncated by a fault structure that parallels the strike of the offset dyke and mineralization. URSA Major has contracted Crone Geophysics to conduct bore-hole time-domain EM surveys of the recently drilled holes to target new massive sulphide lenses. The results of bore hole information and current drilling will be compiled into a 3-dimensional model to generate geological and geophysical targets for the next round of drilling.

The Nickel Offsets Property consists of twelve contiguous patented mining claims and five unpatented mining claims covering a total of 358 ha (884 acres). The highly prospective Nickel Offsets property is located 15 km northeast of Vale's Coleman Mine and Xstrata Nickel's Strathcona mill. The Foy Offset Dyke is one of four major nickel and copper mineralized offset dykes in the Sudbury Basin. Nickel-Copper-PGE mineralization on URSA Major's Nickel Offsets Property is typical of that hosted by quartz diorite offset dykes in the Sudbury mining camp. Examples include the significant deposits at Vale's North and South Mines hosted by the Copper Cliff offset dyke; Vale's Totten deposit under development in the Worthington offset dyke and Quadra FNX's recent discovery on its Victoria project, also hosted in the Worthington offset dyke. URSA Major has successfully utilized diamond drilling and bore-hole EM geophysics to target nickel-copper sulphide mineralization which also carries high-grade platinum group metal values.

URSA Major has an option to earn a 70% interest in the property from United Reef Limited (TSXV:URP). (See March 6, 2008 press release for the terms of the option agreement.) The historical pre-production resource at the Nickel Offsets Mine (pre NI 43-101 – see below) was 359,000 tons grading 1.9 % Ni and 1.45 % Cu (Nickel Offset Mines Limited Annual Report 1940). Between 1943 and 1957, the Nickel Offsets Mine, produced 208,551 tons of nickel and copper ore with reported recoveries of 4.56 million lbs of nickel and 3.32 million lbs of copper. Historical underground exploration and mining development at the Nickel Offset Mine included 1,599 feet of shaft sinking, approximately 10,000 feet of drifting and 3,980 feet of raising on nine levels at the No. 1 Mine and 1,056 feet of shaft sinking, approximately 6,000 feet of drifting and 410 feet of raising on five levels in the No. 2 Mine.

About the Company

URSA Major is a Canadian mining and exploration company holding significant NI 43-101 compliant nickel and copper reserves and resources in two nickel sulphide projects in Ontario. The Company is focused on increasing production from its nickel and copper operation in Sudbury, Ontario, and growing its nickel, copper and platinum group metal resources through exploration and development.

NI 43-101: A qualified person has not done sufficient work to verify the historical pre-production resource estimate at the past producing Nickel Offsets Property. These historic estimates predate NI 43-101, are not compliant with current definitions, have not been verified by the company and consequently should not be relied on by investors. The historical estimates are provided as an indication of historically reported grades. Significant further exploration and engineering work is required to determine if this mineralization may be considered as economic.

Harold Tracanelli, P.Geo., is the qualified person for the drill program. Samples were analyzed by Accurassay Laboratories, in Thunder Bay, Ontario. Gold, platinum and palladium have been analyzed using fire assay techniques with an atomic absorbsion finish. Copper, nickel and cobalt were determined using multi-acid digestion with an atomic absorption finish.

Address: 8 King Street East, Suite #1300, Toronto, Ontario, Canada M5C 1B5
 
Symbol & Exchange: UMJ – TSX

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

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