FOR: URAVAN MINERALS INC.
CDNX SYMBOL: UVN
MAY 29, 2001 - 09:28 EDT
BHP Diamonds Inc. and Uravan Minerals Inc. Form Joint
Venture for the Rottenstone PGM-Ni-Cu Project:
Exploration to Commence Immediately
CALGARY, ALBERTA--In a signed letter agreement (the "Agreement")
dated May 24, 2001, Uravan Minerals Inc. ("Uravan") and BHP
Diamonds Inc. ("BHP") a part of BHP Minerals entered into an
option agreement whereby BHP can earn up to a 70% interest in the
Rottenstone PGM-Ni-Cu property by incurring $4,300,000 in
exploration expenditures.
The Agreement is a staged earn-in in which BHP can earn an initial
60% interest by incurring $2,300,000 in exploration expenditures
on the Rottenstone property over four years. An additional 10%
interest can be earned by incurring a further $2,000,000 in
exploration expenditures during the fifth year of the Agreement
after which a joint venture is formed.
The Rottenstone PGM-Ni-Cu Property, located in northern
Saskatchewan, has been the focus of Uravan's exploration efforts
since 1998. The initial PGM-Ni-Cu target pursued by Uravan was the
previously exploited Rottenstone deposit. The Rottenstone deposit
was mined in the mid-late 1960's, producing approximately 40,000
tons of high-grade ore grading 3.28% Ni, 1.83% Cu and 9.63 g/t
PGE. According to experts, the extremely high PGM-Ni-Cu grades
hosted by the ultramafic sill at Rottenstone are a function of the
high proportion (40% to 60%) of contained sulphides. This
association strongly indicates that the Rottenstone deposit is an
extension of a much larger ultramafic intrusive body hosting a
much larger high grade PGM-Ni-Cu deposit.
Uravan's exploration work has advanced the property from its
1960's state as being a small, isolated, high grade PGM-Ni-Cu
occurrence to a world class PGM exploration target highlighted by
four major target areas.
The injection of new exploration capital by BHP will increase the
potential for the discovery of a Canadian world-class PGM-Ni-Cu
deposit at Rottenstone. An exploration plan and budget for target
specific ground geophysics and geochemical surveys is presently
under joint development by BHP and Uravan. This initial program
will be aggressive in its objective to define drill targets that
can be pursued during this summer field season.
Throughout the period that Uravan has been involved with BHP in
constructing this Agreement and assembling an exploration
strategy, it is clear that BHP shares Uravan's zeal for pursuing a
major PGM target at Rottenstone. BHP's participation in Uravan's
on-going exploration effort at the Rottenstone property is
considered by Uravan's management to be an exciting and welcomed
event.
Respectfully Submitted,
Larry Lahusen
President, Uravan Minerals Inc.
-30-
FOR FURTHER INFORMATION PLEASE CONTACT:
Uravan Minerals Inc.
Larry Lahusen
(403) 264-2630
(403) 264-2629 (FAX)
Email: llahusen@uravanminerals.com
The Canadian Venture Exchange has not reviewed and does not accept
responsibility for the adequacy or accuracy of this release.
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