Waseco Resources Inc.

June 20, 2005 10:54 ET

Waseco Resources Inc.: Uranium Geophysical Program Underway

TORONTO, ONTARIO--(CCNMatthews - June 20, 2005) - Waseco Resources Inc. (TSX VENTURE:WRI) today announced that field exploration is underway on its 5 properties in the Central Labrador Trough of Quebec. These properties contain more than dozen documented sedimentary and vein related uranium occurrences, accompanied by copper, gold, silver and base metals.

The Company has engaged McPhar Geosurveys Ltd. to carry out radiometric, magnetic, and gravity surveys, over the 105 square kilometre area, as a first step in the identification and localisation of potential large orebodies associated with the known mineralised occurrences.

An estimated 537 land gravity stations, comprising approximately 214 line-km will be surveyed. A helicopter-borne high sensitivity magnetic and multi-channel gamma ray spectrometer survey will also be undertaken over 1,130 line kilometres on a grid of 100m by 1,000m. Each program will take approximately 2 weeks to complete and preliminary results should be available towards the end of July. An integrated interpretation of all of the newly acquired geophysical data, together with the existing geological and geophysical data will then be undertaken and the results reported.

Many of these occurrences were discovered in the uranium boom that took place from 1961-79 by major companies such as Imperial Oil, Uranertz, Eldorado Nuclear and Conwest Exploration. Activities in this region essentially ceased when the price of uranium collapsed. Recent price increases in the metal and a favourable long-term outlook for uranium demand have prompted renewed interest in both the metal and the area being explored.

Three of the five properties being explored are under option to Uranium Mining Corporation plc (formerly Uranium Mines of Canada plc), who have an option to contribute a further $800,000 in order to earn a 75% interest (subject to royalty) in the said properties once these initial programs are completed. Waseco retains a 100% interest, (subject to royalty) in two of the claim blocks.

Waseco is a development stage company with interests in gold, diamonds, uranium and base metals. There are currently 26,961,321 shares issued and outstanding.

Contact Information

  • Waseco Resources Inc.
    Richard Williams
    (416) 364-3123
    (416) 351-8225 (FAX)