WestCan Uranium Corp.

WestCan Uranium Corp.

September 23, 2010 06:00 ET

WestCan Uranium Options Gold Property

VANCOUVER, BRITISH COLUMBIA--(Marketwire - Sept. 23, 2010) - WestCan Uranium Corp ("WestCan") ("the Company") (TSX VENTURE:WCU)(FRANKFURT:IAR), announces the Company has entered into an option agreement with an arm's length Vendor who owns 100% of the Sage Creek Gold Prospect located in the Indian Creek Mining District of Lemhi County, Idaho, USA.

The Sage Creek Gold Prospect lies 5 km to the east of the Kittie Burton/Ulysses Mines, and appears to be a continuation of the same mineralized stratigraphy that produced over 60,000 ounces of gold (Idaho Geological Survey Website) from the mines since 1905. Work was also conducted on the same mineralized horizon on Indian Creek, by Tenneco, Echo Bay, Noranda and FMC Minerals in the late 1980's. Management believes that the Sage Creek Prospect is an example of a stratiform type, iron-formation hosted gold deposit. Iron formation hosted gold deposits often exhibit excellent lateral and down-dip continuity and can be very large. They also tend to have good grades that allow profitable underground mining. Well-known examples of iron formation hosted gold deposits are the Homestake mine in South Dakota that produced over 40 million ounces of gold during its 126-year life, and Goldcorp's Musselwhite mine in Ontario. The target horizon on the Sage Creek property is within 100 metres of surface over a large part of the project area.

Under the terms of the agreement, WestCan will pay the Vendor a cash total of $30,000 over the next 12 months, with a further payment of $20,000 or the value of 15 ounces of gold, (whichever is greater) in 2012, and further payments of $25,000 per year or the value of 15 ounces of gold, (whichever is greater) for the following 3 years. WestCan will also pay an annual 2% royalty to the Vendor, upon the property going into production. 1% of the royalty may be purchased within the first ten years of the agreement, by a cash payment equal to the then value of 1,500 ounces of gold. The remaining 1% royalty may be purchased for a cash payment equal to the then value of 2,000 ounces of gold. All currency is in US dollars.

CEO Chris England stated that "this exciting new acquisition gives WestCan a relatively low-risk exploration prospect with the possibility of developing in-the-ground resources in the near term, at a low cost. It also broadens the company's focus by exposing our shareholders to gold, at a time when the gold price is rising and investor interest is growing rapidly"

On behalf of the Board of Directors

Chris England, President and CEO

WestCan Uranium Corp.

Statements about the Company's future expectations and all other statements in this press release other than historical facts are "forward looking statements". The Company intends that such forward-looking statements be subject to the safe harbours created thereby. Since these statements involve risks and uncertainties and are subject to change at any time, the Company's actual results may differ materially from the expected results.

Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.

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