Result of CPR Report for Narke Project

RNS Number : 2690N

URU Metals Limited

05 September 2013

 



5 September, 2013

URU Metals Limited

("URU" or "the Company")

URU Metals Receives Competent Persons Report for the Närke Uranium-Oil Project in Sweden

The Director's of URU Metals Limited, (AIM:URU), the  base metals and uranium explorer and development Company, are pleased to announce the results of a Competent Person's Report (CPR) prepared by independent consultant MSA Group (Pty) Limited for the Company's Närke Uranium-Oil Project, Örebro County, Sweden.

Commenting on the CPR, Roger Lemaitre, CEO of URU Metals said:

"The MSA Group's Competent Person's Report indicates that our Närke Project has the potential to become one of the world's top five uranium projects in terms of total contained uranium, exceeding known resources at some of the worlds' largest and most famous uranium mines.  URU's focus will now turn towards verifying the historic data, and commencing a Preliminary Metallurgical Test (PMT) program to determine the most economically-effective methods of extracting uranium and oil from the Alum Shales on our project.  We believe that it is prudent to reduce the engineering risk by completing the PMT program before investing significant capital into defining the immense resource with a verification drilling program. "

Highlights of CPR Report include;

·    Närke Project has the potential to host as much as 303,000 tonnes of U₃O₈, in 1,471 million tonnes of rock using an average uranium concentration of 175 ppm U (equal to 206 ppm U₃O₈).  Investors are cautioned that these resource figures are based on a non-SAMREC compliant order of magnitude resource estimate, using unverified information available from previous geological reports on the property.

·    Confirms historical extraction of petroleum projects from approximately 50 million tonnes of the Alum Shale host rocks on the Närke property from 1941 to 1966.

·    Work by previous operators suggest that the Alum Shales on the Närke Project have oil yields between 4% and 5.5%, which may be improved by newer oil shale extraction processed developed since the late 1960's.  In the late 1960's, the Swedish government also extracted 62 tonnes of uranium from the property in a pilot project.

·    Based on the historic information available from 37 drill holes, it appears that the Alum Shales on the Project range from 10.2 - 11.6 m thick, are flat-lying, and generally range from 1-35 m from surface.

The CPR recommends that URU acquire the existing historic drill hole database from the Swedish Geological Survey, complete verification testing on historic drill core to confirm uranium and oil yields if available, and twin 10-20% of the existing drill holes to confirm the property and deposit geology and mineral content.

The full Technical Report has been filed by the Company and will soon be available on its website: www.urumetals.com.

Additional information regarding the Närke Project can be found on the Company's website at www.urumetals.com.

-Ends -

For more information contact:

URU Metals Limited Roger Lemaitre, CEO	+ 1 416 892 2870
WH Ireland Limited (Nominated Adviser and Broker) Adrian Hadden James Bavister	+ 44 207 220 1666
Ribeiro Communications Ana Ribeiro	[phone]

Background information on Närke Project

Sweden is one of the world's most favourable mining jurisdictions.   Between 1941 through 1966, a Swedish government-owned company produced 62 tonnes of uranium (134,500 lbs) and established an oil-recovery plant on the Närke Project, which recovered approximately 159,100 m³ of petroleum (1 million barrels) and 418,400 m³ of fuel oil (2.6 million barrels) from approximately 50 million tonnes of mined rock.

The Alum shale is world renown as being one of the world's largest repositories of metals, particularly uranium.  Perceived uranium resources within the Alum Shales are generally believed to be larger than most of the combined uranium resources from the producing global uranium districts.  Although an economic recovery of uranium from the Alum Shale has not yet been developed at today's uranium prices, technological advances in oil and uranium recovery the last decade make this project potentially viable.

URU's focus will be on reducing risk by proving that a co-recovery extraction process can be developed using existing technologies before incurring significant investment into proving up uranium and oil mineral resources and reserves.

Historic drill holes testing the Alum Shale on the existing licenses were completed by previous explorers, indicating that good thickness of uranium and oil-bearing Alum Shale are present across all the mineral licenses being acquired by URU.

 

END

 

 

MSCBCGDCBUGBGXS