Yukon Resources Corp.
OTC Bulletin Board : YUKR
FRANKFURT : YE5

Yukon Resources Corp.

June 02, 2006 09:00 ET

Yukon Resources is Pleased to Announce that it has Initiated a NI43-101F1 Report on its Recently Acquired Quebec Sagar Property which it Holds in a Joint Venture with Virginia Mines

VANCOUVER, BRITISH COLUMBIA--(CCNMatthews - June 2, 2006) - Yukon Resources Corp. (OTCBB:YUKR)(FWB:YE5) -

Hadyn Butler P. Geo and Alan Sexton P.Geo have been retained by Yukon Resources to be independent qualified persons who will author a NI43-101F1 report on the Sagar Property located in northern Quebec. National Instrument 43-101 provides strict standards of disclosure for company mineral projects. A NI43-101F1 report is written by qualified persons and details the technical features of an exchange-approved property of merit.

Yukon Resources is taking this step in preparing a NI43-101F1 report in order to apply for a listing on the Toronto Venture Exchange. This listing will offer Canadian investors a more familiar method of investing in the company.

Kirk McKinnon President & CEO stated, "With the significant amount of high quality quantifiable data that Virginia Mines has provided to Yukon, it is our belief that the writing of the NI43-101F1 report should be completed within the next 6 weeks. The report is designed to qualify the Sagar property as a significant property of merit, and will prepare the Company for an exploration program covering known zones with compelling grades of uranium, gold and copper."

Alan Sexton a principal of GeoVector Management Inc. will initiate some first phase exploration activity in early June. He is familiar with past exploration activity on the Sagar property and will revisit the location to confirm ground data for the NI43-101F1 report preparation.

The Sagar Property

The property occurs in the northwest-trending Romanet Horst on the west side of the Labrador Trough. The significant mineral potential of this geological setting is well demonstrated by the abundance and diversity of uranium-gold showings discovered to date, which range from veins to breccias to shear zones. There is also locally significant sedimentary-hosted copper mineralization.

The most spectacular mineralization is from the Mistamisk boulder field, which contains 150 boulders with values that range up to 474 g/t Au and 0.36% U. The average values of the thirty best mineralized boulders is 50 g/t Au and 0.3% U. Previous work has not determined the source.

Several other uranium-gold showings have been defined on the property, the most significant being:

- Viking showing with grab samples assaying as high as 223 g/t Au and 0.1% U

- Eagle showing with grab samples assaying as high as 5.4 g/t Au and 1% U

- Kish showing with grab samples assaying as high as 1 g/t Au and 1% U.

Significant copper mineralization has also been defined on the property in different geological settings. A drill hole intersected 4.2% Cu over 7.6 meters at the Dehli-Pacific showing within the sheared contact of mafic volcanics and sediments. Sedimentary-hosted copper mineralization is hosted by the 1.5 kilometre long Bacon- Ronsin Horizon. This zone was outlined by the Hollinger North Shore and Exploration Co. in the early 1960's and contains a pre 43-101 defined "mineral resource" of 18Mt @ 0.5% copper.

The above values for grab samples, drill hole intersections and mineral resources were taken from a review of the historical data by GeoVector Management Inc.

Alan Sexton (P.Geo) is the qualified person for all of the technical information contained in this press release.

Financing

Yukon is currently in the process of raising in the order of 5.6 million dollars to fund its exploration programs. Yukon is an emerging exploration company that is rapidly acquiring properties of high potential, with properties in Quebec, Arizona and Finland.

Safe Harbour Statement: Under the Private Securities Litigation Reform Act of 1995: Except for historical information contained herein, the matters discussed in this press release are forward-looking statements that involve risks and uncertainties, including but not limited to economic, competitive, governmental and technological factors effecting the Company's operations, markets, products and prices and other factors discussed in the Company's various filings with the Securities and Exchange Commission.

Contact Information

  • Yukon Resources Corp.
    Carlton Parfitt
    Investor Relations Services
    Toll Free: 1-866-YUKON-96 or 1-866-985-6696
    info@yukonresources.com
    or
    Yukon Resources Corp.
    Kirk McKinnon
    President and CEO
    (416) 364-7024