Laramide drills 48 m of 0.11% U3O8 at Westmoreland

2008-10-02 09:06 ET - News Release

Mr. Marc Henderson reports

LARAMIDE RESOURCES LTD.: DRILLING RESULTS AT WESTMORELAND CONTINUE TO MEET OR EXCEED EXPECTATIONS-HOLE WDD08-75 RETURNS 48 METRES @ 0.11% U3O8

Laramide Resources Ltd. is releasing assay results from 31 diamond drill holes, 16 of which were drilled in the Redtree project area, and 15 in the Junnagunna project area of Laramide's 100-per-cent-owned Westmoreland project in North Queensland, Australia. These drilling results include WDD08-075 which contains 48 metres at 0.11 per cent U3O8 from 18 metres, and WDD08-084 which intersected 31 metres at 0.08 per cent U3O8 from 19 metres depth in the Redtree project area.

They also include significant results from Junnagunna including JDD08-019 which intersected 10 metres at 0.39 per cent U3O8 from 99 metres and JDD08-026 which intersected 25 metres at 0.17 per cent U3O8 from 24 metres depth.

Marc Henderson, president and chief executive officer, commented: "We have now drilled and reported over 100 holes since commencing this program on Westmoreland, and can demonstrate that Westmoreland is one of the most robust, technically straightforward uranium deposits in Australia or on a global basis. The financial turmoil in the market has impacted us as well as our peers, but we see the quality of our assets as a significant differentiating factor. Politics in Australia are improving as we saw in Western Australia, and we continue to see Australia emerge as the politically secure, low-cost jurisdiction of choice for the world's nuclear utilities."

Results from 31 holes are given in the accompanying table, with all drill holes drilled with either NQ or HQ core.

   LATEST DRILL ASSAY RESULTS FROM 
       REDTREE AND JUNNAGUNNA

Drill     From  To   Inter- U3O8   True
hole      (m)  (m)     val   (%)  width
                       (m)          (m)
Redtree
WDD08-
073        20   34      14  0.08     12
And        43   51       8  0.20      7
And        55   65      10  0.06      9
And        83   90       7  0.03      6
WDD08-
074        17   25       8  0.11      8
And        34   39       5  0.06      5
And        42   47       5  0.04      5
And        56   73      17  0.05     17
WDD08-
075        18   66      48  0.11     42
WDD08-
076        27   54      27  0.09     17
And        77   80       3  0.30      2
And        95  104       9  0.11      8
WDD08-
077        17   37      20  0.11     19
And        55   58       3  0.18      3
And        64   73       9  0.12      8
WDD08-
078        16   29      13  0.13     13
WDD08-
079        16   30      14  0.12     13
WDD08-
080        25   46      21  0.05     15
WDD08-
081        21   31      10  0.13      8
And        35   42       7  0.14      6
And        50   69      19  0.21     15
And        73   77       4  0.10      3
WDD08-
082        19   58      39  0.07     39
And        71   76       5  0.21      5
WDD08-
083        26   33       7  0.11      6
WDD08-
084        19   50      31  0.08    2.2
And        54   61       7  0.05      5
And        71   83      12  0.04      9
And        88   92       4  0.11      3
WDD08-
085        70   76       6  0.22      4
And        91   96       5  0.14      3
WDD08-
086         No significant results
WDD08-
087         No significant results
WDD08-
088         No significant results
Junnagunna
JDD08-
019        27   31       4  0.08      4
And        45   49       4  0.06      4
And        99  109      10  0.39      6
JDD08-
020        56   67      11  0.17     10
JDD08-
021        30   38       8  0.14      6
And        48   51       3  0.05      2
And        65   69       4  0.04      3
JDD08-
023        52   67      15  0.31     14
And        80   86       6  0.48      5
JDD08-
024        41   45       4  0.09      3
And        48   51       3  0.05      2
And        59   62       3  0.04      2
And        66   69       3  0.03      2
JDD08-
025         No significant results
JDD08-
026        24   49      25  0.17     18
JDD08-
027         No significant results
JDD08-
028        61   67       6  0.04      4
JDD08-
029        34   37       3  0.06      3
JDD08-
030        40   45       5  0.04      4
JDD08-
031        28   31       3  0.17      2
And        40   68      28  0.09     25
And        73   78       5  0.14      4
JDD08-
032         No significant results
JDD08-
033        53   58       5  0.22      3
And        93  106      13  0.34     11
JDD08-
034         No significant results

(i)Datum is AGD66
(i)Intersections calculated using a 
0.02-per-cent U3O8 cut-off and minimum
intersection of three metres.

Peter Mullens, vice-president exploration, stated: "Results from Redtree holes WDD08-076 and 079 indicate that extensions to known mineralization may occur to the south which has not been previously drilled. This allows potential for increasing the overall size of the mineral resource. Junnagunna also had higher-grade structurally controlled mineralization intersected in drill holes JDD08-023 and JDD08-033. Mineralization from this drilling is also deeper than previously intercepted and open to the south."

Drilling is currently continuing with two diamond drill rigs, and will focus on drilling out the Jack lens in a 50-hole program, in order to further the understanding of the distribution of mineralization contained in the lens. The Jack lens forms the western part of the Redtree project area and on extending the recently identified Western Garee lens. Work has also commenced on an environmental baseline study and seven to 10 drill holes will be completed for hydrology investigations. Upon conclusion of this program, Laramide intends to complete a resource estimate in first quarter 2009.

Laramide has implemented a quality control program at Westmoreland to ensure best practices. Under the guidelines of the National Instrument 43-101, the qualified person for the Westmoreland uranium project is Mr. 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.

We seek Safe Harbor.