Laramide Resources Ltd. (TSX: LAM) is pleased to announce the start of a 30,000 metre drill program on its Australian uranium projects. Laramide controls a 680,000+ hectare land package in northern Australia which includes the advanced Westmoreland Project in northwest Queensland as well as two separate joint ventures in the neighbouring Northern Territory. Westmoreland will be the main focus of this program, with a 27,500 metre campaign continuing into December 2007. This will be the first drilling program done by Laramide at Westmoreland, where a scoping study was recently completed by GRD Minproc (see press release dated 04/17/2007).
The 30,000 metre program began June 14, 2007 on the Northern Territory projects and will allow Laramide to meet its joint venture earn-in commitments.. The first target is the North East Westmoreland target located within the Lagoon Creek project, a joint venture with NuPower Resources Limited (ASX: NUP, spun off from Arafura Resources NL). Laramide has the option to earn up to 60% over five years conditional upon specific exploration commitments. Drilling on the North East Westmoreland target follows up initial work in late 2006, where drill hole NEWM 204 intercepted 5 metres @ 0.18 % U3O8. Upon completion of this program, Laramide will drill test the El Hussein project which is located immediately north of the Lagoon Creek project on another joint venture area with Hartz Range Mines, a private Australian company. Pursuant to this JV agreement, Laramide can earn up to 90% conditional upon specific exploration expenditures and the obtaining of a bankable feasibility study and subsequent obtaining of a mining permit on a prospect within the claim area. Surface sampling at El Hussein has intercepted the following positive results from trenching: 1 metre @ 0.55 % U3O8, 7 metres @ 0.45 % U3O8 and 1 metre @ 0.14 % U3O8.
Laramide expects to utilize up to four drilling rigs during the drilling campaign and has purchased two Longyear LF 70 diamond drill rigs to ensure timely execution of the planned program. One rig is currently in use on the North East Westmoreland target with the second being prepared for drilling. A permanent modular camp is under construction within the project area,
Following the drilling on the Northern Territory projects (2,500 metres over approximately five weeks), Laramide plans to move both drill rigs to Queensland for a large scale program on the Redtree and Junnagunna Prospects located within its Westmoreland Project. This will entail approximately 20,000 metres of diamond drilling, with the goal of converting the Inferred Resource of 16 million tonnes @ 0.094% U3O8 to the Indicated category. In addition to the programs at Redtree and Junnagunna, Laramide plans to complete around 7,500 metres of exploration drilling on the Westmoreland Project to potentially expand the resource base.
Peter Mullens, VP Exploration, commented “Westmoreland is considered to be one of the largest undeveloped uranium deposits in the world, and the work to date has advanced it to the scoping study stage. This fully funded, multiple rig program gets us closer to understanding the potential expansion of Westmoreland as well as where our Northern Territory prospects fit within this emerging uranium district.”
Laramide will also post to SEDAR (www.sedar.com) amended technical reports for both the Westmoreland Project and the La Jara Mesa project in New Mexico, USA. This requirement fulfills regulatory guidelines for increased technical report disclosure, and is expected to be posted by June 22, 2007. Both technical reports will also be available at the Laramide website at www.laramide.com.
Under the guidelines of the National Instrument 43-101, the Qualified Person for the Westmoreland Uranium Project is Mr. Peter Mullens who is a member of the Australian Institute of Mining and Metallurgy. Mr. Mullens has reviewed and approved the technical content of this release.
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
Or visit our web site at www.Laramide.com
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.