2007 News Releases
Mega Fast Tracks Lake Maitland Development Studies
February 15, 2007
- Commencement of scoping study to identify the preferred processing option
- Review of infrastructure requirements and potential socio-economic benefits to start in near future
- Program to upgrade current resource underway
- Team of uranium experts formed to oversee works program
Toronto, Ontario, Canada, February 15, 2007 – Mega Uranium Ltd. (MGA-TSX) (“Mega”) is pleased to announce that its wholly-owned subsidiary, Mega Redport Pty Ltd, is fast tracking development studies of its 100% owned Lake Maitland Uranium Project in Western Australia. Lake Maitland, located 130km southeast of Wiluna in the Eastern Goldfields region, contains a NI43-101 compliant Inferred Resource of 32.7 million tonnes @ 0.03% U3O8 (23.7 million pounds U3O8). The resource is amenable to low cost open cut mining as it occurs as a single, coherent, flat-lying mineralized layer, 1 to 3 metres thick, only 1-2 metres below surface. Only minimal portions of the resource will require blasting in the mining process.
As shown in Figure 1 below, Lake Maitland is favourably located with respect to mine development as it occurs in a region with operating gold and nickel mines and has access to nearby infrastructure including gas pipelines, power, roads and airports.
Mega’s VP-Project Development, Peter McNally, has appointed a dedicated team of experts to undertake a scoping study of Lake Maitland in order to evaluate the project economics and the key tasks involved in mine development.
The proposed scoping study is designed to:
- Determine the preferred processing option.
- Evaluate ore leaching options.
- Undertake a preliminary review of process water and waste management options.
- Commence key environmental studies.
- Evaluate infrastructure requirements
- Progress discussions with Native Title groups
Mega Chairman and CEO, Sheldon Inwentash, commented: “Mega is progressing development studies at Lake Maitland in order to be in a position to proceed quickly to a mining proposal should there be a change in the current policy on uranium mining. We are committed to the Australian uranium industry and to the development of our quality uranium resources in Western Australia and Queensland. These resources will be developed and managed by a world-class technical team, which has more than 50 years combined uranium experience in Australia”.
Other evaluation studies underway at the Lake Maitland Project include metallurgical test work, site development and access options, infrastructure and service requirements, and a broad review of socio-economic issues and regulatory requirements.
Mega is also developing a community consultation process to identify and address a broad range of issues that are likely to be raised in the mine permitting process. In addition, the company has commenced a dialogue with Indigenous communities with a view to early implementation of partnership arrangements for the development of business opportunities.
The expert team working on the project includes geologists, process chemists, metallurgists, engineers and research groups that have extensive experience in the uranium industry both in Australia and overseas.
Fig 1. Lake Maitland Uranium Project Area and Surrounds
Stewart Taylor, Mega’s President and Qualified Person under NI43-101, is responsible for this release and has verified the contents disclosed.
About Mega Uranium
Mega Uranium Ltd is a Toronto-based mineral resources company with a focus on uranium properties in Australia, Argentina, Mongolia, Colombia, Bolivia and Canada. Further information on Mega can be found on the company’s website at www.megauranium.com . Mega Uranium’s Australian uranium properties, including without limitation the Ben Lomond, Maureen and Lake Maitland properties, are subject to state policies which presently prohibit the mining of uranium.
This news release contains forward-looking statements within the meaning of the “safe harbour” provisions of the Private Securities Litigation Reform Act of 1995 and applicable Canadian securities laws. These forward-looking statements are subject to risks and uncertainties and other factors that may cause Mega’s results to differ materially from expectations. These include risks relating to market fluctuations, property performance and other risks, including those set forth in Mega’s annual information form and other public disclosure documents filed with certain Canadian securities regulatory authorities and available at www.sedar.com. These forward-looking statements speak only as of the date hereof. Mega Uranium disclaims any intent or obligation to update these forward-looking statements except as otherwise required by law and cautions investors from placing undue reliance on forward-looking statements. Mega does have an ongoing obligation to disclose material information as it becomes available.
For further information, please contact:
Mega Uranium Ltd.
Richard Patricio, VP Corporate and Legal Affairs
Telephone: (416) 643-7630