European Uranium Files Technical Report for the Unkur Copper-Silver Project, Russia
EUROPEAN URANIUM RESOURCES LTD. ("EUU" or the "Company") (TSX-V:EUU) has filed a technical report regarding the Unkur copper-silver project, Russia ("Unkur Report") to support the indirect acquisition of the initial 60% of the Unkur project as announced on March 1, 2016. The Unkur Report was authored by Robin Simpson, MAIG, of SRK Consulting (Russia) Ltd. ("SRK") an independent Qualified Person as defined by NI 43-101.
The highlights of the Unkur Report include:
- The Unkur Project is interpreted as a sediment-hosted stratiform copper deposit type. The copper-bearing horizon has been traced, from historic drill holes, trenches and outcrop, for a length of about 5 kilometers northwest-southeast in the southwest limb of the Unkur Syncline. No material exploration works have yet been conducted by, or on behalf of the Company.
- Eight historical diamond drill holes returned copper samples with grades greater than 0.6% Cu (the grade historically used for defining substantial mineralization). The mean length of these intersections is 13 m and the mean grade is 0.78%. The deepest intersection is 250m down hole. Within the zone of copper mineralization, silver grades were estimated by sampling composites of the copper samples. Average silver grade of these composites was 68.3 g/t. The reliability of these historical results is in doubt though, because of significant core recovery problems: recovery in the mineralized intervals was 65% on average, and as low as 31%. In addition to the poor recoveries, the overall quantity and quality of historical data are insufficient to be the basis for preparing a mineral resource estimation
- Despite the risks and uncertainties arising from data quality, SRK considers that the Unkur Project has a high exploration potential. Continuity of the mineralized horizon has been established over a strike length of at least 5 km, and the extent of this horizon has not yet been closed off, either along strike or down dip. Information from geophysics, and sparse outcrop exposures, implies that the same copper-bearing horizon is also present, several kilometres away, on the northeast limb of the Unkur Syncline.
- Metallurgical testing results of a single 350kg sample of the oxide copper-bearing ore of the Unkur deposit taken in December 24, 2014 indicate that copper and silver can be recovered. Preliminary tests indicate recoveries up to 96% of both copper and silver.
- In the opinion of SRK, the potential of the Unkur Project is sufficient to justify additional exploration, which will also satisfy the minimum exploration expenditure requirements. SRK has proposed a work program to delineate the copper and silver mineralization, estimate mineral resources and prepare an initial mineral resource statement and preliminary economic assessment to meet NI 43-101 disclosure guidelines.
- The overall work program can be divided into phases. The initial phase should comprise 6 to 8 "top priority" holes for approximately 2,800m of drilling, with the objectives of confirming results obtained from historical drilling and of providing geologic information to be used in planning the subsequent phases. The estimated budget for this first phase is approximately C$479,000.
The pending acquisition of the Unkur project is part of a reorganization and restructuring of the Company as described in the March 1, 2016 news release, and all remains subject to Exchange approval of all elements of these transactions on terms acceptable to the parties and the closing of all the transactions is each conditional on the closing of the other.
This release has been reviewed and approved by Robin Simpson, MAIG, an employee of SRK Consulting (Russia) Ltd. and the author of the Unkur Report, who is a Qualified Person as defined by NI 43-101. This release has also been reviewed and approved for the Company by Dorian L. (Dusty) Nicol, President and CEO of the Company, also a Qualified Person as defined in NI 43-101.
EUROPEAN URANIUM RESOURCES LTD.
Dorian L. (Dusty) Nicol, President and CEO
For further information please contact: Doris Meyer, at (604) 536-2711 ext 6, or visit www.euresources.com.
Neither the 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.
This news release contains forward-looking statements that are based on the Corporation's current expectations and estimates. Forward-looking statements are frequently characterized by words such as "plan", "expect", "project", "intend", "believe", "anticipate", "estimate", "suggest", "indicate" and other similar words or statements that certain events or conditions "may" or "will" occur. Such forward-looking statements involve known and unknown risks, uncertainties and other factors that could cause actual events or results to differ materially from estimated or anticipated events or results implied or expressed in such forward-looking statements. Such factors include, among others: the completion of the acquisition of the Unkur Project and the ancillary transactions including the part-and-parcel private placement, the debt settlement and the consolidation and name change. In addition, the actual results of current exploration activities; conclusions of economic evaluations; changes in project parameters as plans to continue to be refined; possible variations in ore grade or recovery rates; accidents, labour disputes and other risks of the mining industry; delays in obtaining governmental approvals or financing; and fluctuations in metal prices. There may be other factors that cause actions, events or results not to be as anticipated, estimated or intended. Any forward-looking statement speaks only as of the date on which it is made and, except as may be required by applicable securities laws, the Corporation disclaims any intent or obligation to update any forward-looking statement, whether as a result of new information, future events or results or otherwise. Forward-looking statements are not guarantees of future performance and accordingly undue reliance should not be put on such statements due to the inherent uncertainty therein.