TSX:LAM | OTCBB:LMRXF | ASX:LAM

2006 Press Releases

Laramide Files 43-101 Compliant Resource Report and Commences Drilling at La Jara Mesa, New Mexico Uranium Property

Laramide Resources Ltd. has completed an independent National Instrument 43-101 technical report that addresses uranium mineral resources for its La Jara Mesa uranium property located in the Grant’s mineral district of New Mexico, USA. The mineral resource report estimates measured and indicated mineral resources totalling 7,257,817 pounds of uranium (U3O8) that are contained in 1,555,899 tons at an average grade of 0.23 per cent U3O8, and an additional 3,172,653 pounds of uranium (U3O8) contained in 793,161 tons at an average grade of 0.20 per cent U3O8 as inferred mineral resources on the property. The mineral resource at La Jara Mesa is sandstone hosted and occurs in several discrete tabular shaped deposits with the uranium in the mineralized rocks occurring as uranium oxide (coffinite).

Data available for the preparation of this report are historic data developed by Homestake Mining Company, the last owner of record. Laramide acquired the La Jara Mesa property from Homestake’s parent company, Barrick Gold in November, 2005 and has not yet conducted its own exploration on the property but is now in receipt of all necessary permits for a 3,000 meter drill program which will commence later this month. The La Jara Mesa property consists of 156 unpatented mining claims covering an area of 2,280 acres in Cibola County, New Mexico. The surface is managed by the US Forest Service and the minerals are managed by U.S Department of the Interior, Bureau of Land Management (BLM). A total of 643 holes have been drilled on the property.

The 43-101 report is dated October 2, 2006 and is authored by Mr. M. Hassan Alief who is a qualified person pursuant to the 43-101 guidelines. Mr. Alief has over 45 years of experience in mining and exploration geology and has B.Sc in geological engineering from the Colorado School of Mines and a Masters of Science degree in geology from the University of Idaho. Mr Alief was Chief Geologist for Chevron Resources at the Mount Taylor Mine in Grants, NM from 1984 to 1989. Mount Taylor is located approximately 7 miles from La Jara Mesa. The 43-101 technical report will be filed on SEDAR and can be viewed in its entirety there or on the Company’s website at www.Laramide.com.

Further details on the mineral resource at La Jara Mesa are set out in the table below:

 

SUMMARY OF RESOURCES BY POLYGONAL METHOD
(Measured and Indicated)

Min. Cut-off
Min. Cut-off
Avg. Thickness
Avg. Grade
Tons
Pounds
Grade/ eU3O8
Grade/Thickness
Feet
eU3O8
Ore
U3O8
0.05
0.3
7.27
0.23
1,555,899
7,257,817
0.1
0.6
7.92
0.27
1,248,561
6,692,253
0.15
0.9
8.36
0.31
940,576
5,792,231
(Inferred)
Zone
Min. Cut-off
Thickness
Grade
Tons
Pounds
Grade/eU3O8
H1
0.15
6
0.2
395,793
1,587,173
H2
0.15
6
0.2
389,986
1,559,542
H3
0.15
6
0.2
6,382
25,528
Total Inferred
6
0.2
793,161
3,172,653

Drill Start-Up
Laramide has contracted with Himes Drilling Company Inc of Grand Junction, Colorado and expects to initiate a 3,000 meter drill program on or about October 16, 2006. The program will consist of 10 diamond drill holes which are planned to confirm grades of the deposit, to obtain material suitable for further metallurgical testwork, and to test for additional mineralization in deeper sandstone units that were not previously well explored.

Laramide Resources Ltd. (“Laramide”) is a Toronto-based resource company specializing in the acquisition and development of advanced stage mineral properties. Laramide has a diverse portfolio of assets, all of which are leveraged to commodity fundamentals. The Company’s lead project is the Westmoreland Project, Queensland, Australia.


National Instrument 43-101 disclosure: The technical content in this news release has been read and approved by the author of the mineral resource report on the La Jara Mesa Project, Mr. M. Hassan Alief.


For further information contact:
Marc C. Henderson, President
Toronto, Canada +1 (416) 599 7363

Peter Mullens, VP Exploration/Corporate Development
Brisbane, Australia +61 (7) 3831 3407


This press release contains forward-looking statements. The actual results could differ materially from a conclusion, forecast or projection in the forward-looking information. Certain material factors or assumptions were applied in drawing a conclusion or making a forecast or projection as reflected in the forward-looking information.