VANCOUVER – The uncovering of significant uranium bearing samples from trenching conducted by previous operators has led Callinan Mines to option 1,581 acres of ground near Snow Lake, Manitoba.
Historic channel samples on the “Dion Lake” claims returned grades of up to 1.7% U3O8 over 3-4 meters. Representative chip sampling from the property returned grades as high as 5.75% U3O8. There is no evidence in the assessment files that this work has been adequately followed up.
The field team sent recently to examine the ground reported abundant uranium staining, as well as quartz hosted sulphides outcropping on surface. A detailed prospecting program has been scheduled for the summer. Additionally, a radio spectrographic airborne survey is being designed to determine and define drill targets.
“There has been an abundant amount of work done on the Dion Lake claims, but not nearly enough drilling,” President Muzylowski stated. “The assessment files clearly show promising work that has yet to be followed up. Once we’ve confirmed our theories about the system and its orientation, we will be very aggressive in following up the considerable body of work that already exists.”
An initial payment of $10,000 and 25,000 shares will be made to the optionee on receipt of regulatory approval. Callinan has the right to earn a 100% interest in the property, subject to a 2% NSR, by paying an additional $90,000 and issuing an additional 75,000 shares by 2010. One half of the NSR royalty can be purchased for $1,000,000.
The option includes the rights to the “Herblet Lake” Claims near Snow Lake. The Herblet Lake claims also show potential for uranium bearing structures based on Government of Manitoba assessment files.
Elliot Lake Uranium Claims
Callinan also intends to begin an exploration program on their 100% owned uranium claims in the Gunterman township of Ontario. Airborne spectrographic data from the Canadian government as well as analysis of satellite imagery has indicated the possible presence of uranium bearing structures. The claims are located west of the previously operating Elliot Lake mine. The operator of the Elliot Lake property, Dennison Mines, last week announced an NI 43-101 compliant historic resource estimate of 205 million lbs of in situ Uranium. Pele Mountain Resources has also recently acquired 12,500 acres of land in the area, and are engaged in active exploration and definition of resources. An additional airborne spectrographic survey will be flown by Callinan over the Gunterman claims in an effort to locate promising drill targets.
The Gunterman township claims are patented claims located near a roadway and infrastructure.
All of Callinan’s exploration programs are overseen by Pat DeVeaux, a qualified person as defined by National Instrument 43-101 who has reviewed and approved the contents of this release.
On Behalf of the Board of Directors,