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Mega Uranium Ltd.
211 Yonge Street, Suite 502
Toronto, Ontario, Canada
2007 News Releases
Mega Outlines 2007 Uranium Program
April 10, 2007
- Total programme to exceed $40 million in 2007
- Mega to spend $27 million on its uranium projects in Australia, Canada, Argentina, Bolivia, Colombia and Mongolia.
- Joint Venture partner, Cash Minerals Ltd., set to spend an additional $15 million on exploration of jointly-owned properties in the Wernecke Mountains, Yukon.
- A total of approximately 65,000 metres of RC/diamond drilling is planned.
Toronto, Ontario, Canada, April 10, 2007 – Mega Uranium Ltd. (TSX: MGA) (“Mega”) announces that it has set a total 2007 budget of $27.1 million for its worldwide uranium projects in Australia, Canada, Argentina, Bolivia, Colombia and Mongolia. In addition, its joint venture partner, Cash Minerals Ltd. (TSXV: CHX), has announced a $15 million exploration budget for properties held by Mega and Cash Minerals Ltd. in the Yukon. The proposed 2007 exploration programmes in Mega’s worldwide uranium properties will include approximately 65,000 metres of reverse circulation/diamond drilling.
The largest component of Mega’s 2007 budget, comprising approximately 65% of the total, will be spent in Australia in various programmes, including:
- Prefeasibility studies of Mega’s Ben Lomond and Lake Maitland resources.
- A 10,000 metre drilling programme in the Georgetown Project, Queensland, to investigate targets highlighted by the recent airborne magnetics-radiometrics survey, in the vicinity of Mega’s Maureen resource and elsewhere in the project area.
- Some 5,000 metres of drill testing on a north-south trending uraniferous shear zone in the Oasis Project, Queensland, in which drill intersections in 2006 included 10 metres @ 0.12% U3O8 and 7 metres @ 0.17% U3O8.
- 4,000 metres of drilling in the Kintyre Rocks Project, Western Australia, to test targets located some 6 kilometres west-southwest of Rio Tinto Ltd’s 79 million pounds U3O8 Kintyre resource.
- 7,000 metres of drilling to test various targets in South Australia and Northern Territory.
In Canada, Mega’s proposed total expenditure of $4 million will include a 3,000 metre drilling programme on Titan Uranium Inc.’s properties in the Thelon Basin, Nunavut, in which Mega is earning a 51% interest. In addition, joint venture partner Cash Minerals Ltd. has commenced its 2007 exploration programme in Mega’s properties in the Wernecke Mountains, Yukon. The planned $15 million programme will include a total of approximately 30,000 metres of drilling in several target areas with potential for uranium mineralisation of the iron oxide-copper-gold-uranium (IOCGU), unconformity-related and structurally-controlled styles.
Mega’s $4 million Canadian programme does not include amounts to be spent on the properties held by Monster Copper Corporation, which is currently the subject of a takeover offer from Mega, nor expenditures to be made on properties to be acquired from Santoy Resources Ltd., as announced on April 3, 2007.
In South America, Mega’s planned $4.3 million expenditure will include 4,500 metres of drilling in Argentina in the Patagonia Project, Chubut Province, to investigate targets located five kilometres east of the Cerro Solo uranium resource, and also in the Sierra Cuadrada prospect area, located 130 kilometers southeast of Cerro Solo.
In Mongolia, where Mega is earning a 51% interest in properties held by Red Hill Energy Inc., the $0.95 million programme will include a planned 1,250 metres of drilling in the Jargalan property.
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, Canada, Argentina, Bolivia, Colombia and Mongolia. 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 Ben Lomond, Maureen and Lake Maitland, are subject to State policies which presently prohibit the mining of uranium.
This press release contains disclosure that constitutes “forward-looking information” within the meaning of applicable Canadian securities legislation. All statements in the press release other than statements of historical fact, may be “forward-looking”. Forward-looking statements are often, but not always, identified by the use of words such as “seek”, “anticipate”, “budget”, “plan”, “continue”, “estimate”, “expect”, “forecast”, “may”, “will”, “project”, “predict”, “potential”, “possible”, “targeting”, “could”, “might”, “should”, “believe”, and similar words suggesting future outcomes or statements regarding an outlook. Forward-looking statements in this press release include, but are not limited to, those with respect to our exploration activities, including our expectations regarding the discovery potential of our properties, the potential mineralization and resources of our properties, and government regulation of our mining operations.
Forward-looking statements involve known and unknown risks, uncertainties and other factors which may cause the actual results, performance or achievements of Mega to be materially different from any future results, performance or achievements expressed or implied by such forward-looking statements. Such risks and factors include, but are not limited to, risks related to our international operations and joint venture operations, uncertainties associated with the outcome of our current exploration activities, changes in project parameters as our plans continue to be refined, uncertainties associated with estimating mineral resources, changes in environmental and other regulations in the jurisdictions in which we operate, including the absence of change to the current Australian uranium mining policy, delays in obtaining governmental approvals or financing, economic and market factors which would limit the availability of capital, the availability of technical expertise and equipment, and fluctuations in commodity prices, as well as those other risks and factors discussed in the section entitled “Description of the Business – Risks” in our annual information form for our fiscal year ended September 30, 2006 and in our other filings with certain of the Canadian securities regulatory authorities, which are available to the public at www.sedar.com. Although we have attempted to identify for the reader important factors that could cause actual results to differ materially, there may be other factors that cause results not to be as anticipated, estimated or intended. We believe that the expectations reflected in the forward-looking statements are reasonable but no assurance can be given that these expectations will prove to be correct. Accordingly, readers are cautioned not to place undue reliance on the forward-looking statements. Forward-looking statements speak only as at the date on which they are made and we do not undertake to update any forward-looking information that is in this press release or otherwise contained in our public disclosure documents as a result of new information or the occurrence of future events or circumstances, except as required by law.
For further information, please contact:
Mega Uranium Ltd.
Richard Patricio, VP Corporate and Legal Affairs
T: (416) 643-7630