TRIGON EXPLORATION CANADA LTD.
Transmitted by CNW Group on : September 25, 2006 07:00
Trigon Acquires Second Large-Scale Utah Uranium Project
KELOWNA, BC, Sept. 25 /CNW/ - Trigon Exploration Canada Ltd. (TSXV: TEL)
announced today that it has entered into a Lease and Option agreement ("the
Agreement") to acquire 628 mining claims and 3 state leases ("the Property")
in the Henry Mountains of southeastern Utah.
The Property consists of two claim blocks ("North Henry" and "South
Henry") covering approximately 14,000 acres south of the town of Hanksville.
Uranium resources in this region are hosted in the basal sand units of the
Salt Wash member of the upper Jurassic Morrison Formation. The Salt Wash is
the primary source of uranium/vanadium ores on the Colorado Plateau.
The North Henry claims extend over a 15-kilometre length of Morrison
Formation outcrop, just north of the adjoining Congress property held by
Energy Metals Corporation. North Henry includes down dip extensions of several
near-surface uranium deposits accessed by adits and workings between 1947 and
1962. Limited drilling of North Henry by prior operators intersected uranium
mineralization ranging from 1 to 2 feet thick, grading 0.09 to 0.33 percent
U(3)O(8).
The South Henry claims are northwest of the adjoining Bullfrog property,
held by International Uranium Corporation, just north of its Tony M mine which
is currently under redevelopment with production anticipated next spring.
South Henry is centered about 15 kilometres north of the Ticaboo uranium mill.
Sidney Himmel, President and CEO of Trigon, said: "The Henry Mountains
area has recently seen a considerable increase in uranium exploration and mine
development. We are pleased to have secured a substantial property position
there, underscoring our commitment to develop a portfolio of drill-tested
uranium properties in past-producing districts of the southwestern United
States. As with our nearby Marysvale property, the Henry Mountains property is
capable of hosting large-scale uranium deposits and we are moving to rapidly
establish work programs there to assess that potential."
Terms of the Agreement require Trigon to issue 500,000 shares to Future
Energy LLC and E. John McDonald and Associates LLC ("the Vendors") upon the
completion of a detailed Lease and Option Agreement, the completion of due
diligence in respect of the claims, and the approval of securities regulators.
Trigon will conduct a work program with cumulative expenditures of at least
US$750,000 by August 1, 2007. At its option, Trigon may buy the Property by
issuing an additional 500,000 shares to the Vendors on or before August 1,
2007.
About Trigon Exploration Canada Ltd.
Trigon Exploration Canada Ltd. is a uranium exploration and development
company focused on the advanced-stage Marysvale Project in central Utah,
within a region that has produced nearly one billion pounds of uranium. Trigon
has recruited a highly-qualified team of internal and consulting uranium
exploration experts to direct its efforts at Marysvale and elsewhere in North
America. Trigon also holds a portfolio of high-potential diamond exploration
properties within a wholly-owned subsidiary. Trigon stock trades on the TSX
Venture Exchange under the symbol "TEL". There are 34,905,919 shares of Trigon
outstanding, 44,753,029 fully-diluted.
Should you wish to receive Company news via email, please email
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The TSX Venture Exchange has not reviewed and does not accept
responsibility for the adequacy or accuracy of this release. This release
includes certain statements that may be deemed "forward-looking statements".
All statements in this release, other than statements of historical facts,
that address future developments that the company expects to occur, are
forward-looking statements. Although the company believes the expectations
expressed in such forward-looking statements are based on reasonable
assumptions, such statements are not guarantees of future performance and
actual results or developments may differ materially from those in the
forward-looking statements. Factors that could cause actual results to differ
materially from those in forward looking statements include market prices,
exploitation and exploration successes, and continued availability of capital
and financing and general economic, market or business conditions. Investors
are cautioned that any such statements are not guarantees of future
performance and actual results or developments may differ materially from
those projected in the forward-looking statements. The Company does not assume
any obligation to update or revise its forward-looking statements, whether as
a result of new information, future events or otherwise.
%SEDAR: 00021118E
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/For further information: please visit www.trigonexploration.com or
contact: Sidney Himmel, President and Chief Executive Officer, Trigon
Exploration Canada Ltd., Tel: (250) 317-3624, Email:
sidney.himmel@trigonexploration.com; Jeanny So, Broker Relations Specialist,
CHF Investor Relations, Tel: (416) 868-1079 x225, Email: jeanny@chfir.com/ |
