Macusani Yellowcake Intersects Higher-Grade Uranium at Colibri 2 and 3 Properties Drilling Results
Drilling Results Include a 57m Intersection with a Weighted Average Grade of 0.082% U3O8 (164.0 ft Grading 1.62 lbs/t U3O8)TORONTO, 07/27/10 - Macusani Yellowcake Inc. (TSX VENTURE: YEL)(FRANKFURT: QG1) (the 'Company') is pleased to announce further positive drilling results for the Colibri 2 and 3 uranium deposit located on the Macusani Plateau, Puno district in southeastern Peru. The infill results released today exhibit wider areas of uranium mineralisation, such as 39.0 m with a weighted average of 0.116% U3O8 (128.0 ft grading 2.319 lbs/t U3O8), 47.0 m with a weighted average of 0.063% U3O8 (154.2 ft grading 1.258 lbs/t U3O8), 14.0 m with a weighted average of 0.042% U3O8 (45.9 ft grading 0.841 lbs/t U3O8) and 11.0 m with a weighted average of 0.071% U3O8 (36.1 ft grading 1.426 lbs/t U3O8).
Drilling Results
1 Borehole DD37NW EOH = 61.40m
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From (m) To (m) Interval (m) U3O8 (ppm) lbs/t
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0.00 39.00 39.00 1159.72 2.319
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45.00 57.00 12.00 83.17 0.166
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2 Borehole DD37SE EOH = 82.60m
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From (m) To (m) Interval (m) U3O8 (ppm) lbs/t
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2.00 4.00 2.00 65.72 0.131
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12.00 16.00 4.00 47.33 0.095
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19.00 66.00 47.00 629.14 1.258
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69.00 71.00 2.00 29.90 0.060
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74.00 76.00 2.00 34.50 0.069
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3 Borehole DD38V EOH = 100.80m
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From (m) To (m) Interval (m) U3O8 (ppm) lbs/t
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0.00 14.00 14.00 420.29 0.841
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19.00 21.00 2.00 51.25 0.103
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27.00 52.00 25.00 454.56 0.909
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4 Borehole DD35V (i) EOH = 76.50m
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From (m) To (m) Interval (m) U3O8 (ppm) lbs/t
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0.00 11.00 11.00 712.81 1.426
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21.00 26.00 5.00 425.98 0.852
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32.00 34.00 2.00 49.93 0.100
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42.00 44.00 2.00 53.63 0.107
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These results continue to demonstrate that the Colibri 2 and 3 uranium deposit has the potential to grow into a larger resource particularly along strike and towards the northern part of the initial radiometric anomaly. These results are higher grades than the average grade of the resource estimated by Mineral Corporation.
A new resource is modelled at present and the release of this new resource report is imminent.
Quality Control and Analytical Procedures
Core samples have been crushed and representative samples analysed for Uranium (U) abundance and a suite of 40 elements. The necessary analytical quality control and assurance has been completed by insertion of reference material, duplicate samples and blank material. After crushing, the core is placed in sealed bags and shipped to the CIMM's preparation laboratories in Juliaca. Following the preparation stage, the sample pulps are sent to analytical laboratories in Lima.
CIMM Peru is an ISO certified assay laboratory. The program is designed to include a comprehensive assay quality control routine comprising the systematic use of standards, blanks and field duplicate samples. Secondary laboratories are used for check assaying.
About the Colibri 2 and 3 Property
In April 2010 the Company released an updated 43-101 report for the Colibri 2 and 3 properties which outlined indicated resources of 2,095,658 lbs of U3O8 at a grade of 0.44 per short ton and inferred resources of 14,492,321 lbs of U3O8 at a grade of 0.34 per short ton (see April 14, 2010 press release). The Company has also completed a preliminary economic assessment for the Colibri 2 and 3 properties which indicates a pre-tax IRR of 20.7% at US$65 U3O8 long term price (see April 26, 2010 press release). As a result of the latest exploration program in the Colibri 2 and 3 tenements, the release of a new resource calculation is imminent. The U grades and tonnages are expected to increase and more uranium resource to be reported in the indicated category.
Qualified Persons
Mr. Ian Foreman, P.Geo., of Foremost Geological Consulting, an independent consultant, is a Qualified Person as defined under National Instrument 43-101 for the Colibri 2 and 3 properties, and has reviewed the scientific and technical data contained in this release.
About Macusani Yellowcake
Macusani Yellowcake Inc. is a Canadian uranium exploration company with over 24,000 hectares (240 km2) of mineral properties in southeastern Peru, on the Macusani Plateau. The shares are traded on the TSX Venture Exchange under the symbol 'YEL' and on the Frankfurt Exchange under the symbol 'QG1'.
There are 59,881,284 common shares of Macusani Yellowcake Inc. outstanding.
This news release includes certain forward-looking statements concerning the future performance of Macusani's business, operations and financial performance and condition, as well as management's objectives, strategies, beliefs and intentions. Forward-looking statements are frequently identified by such words as 'may', 'will', 'plan', 'expect', 'anticipate', 'estimate', 'intend' and similar words referring to future events and results. Forward-looking statements are based on the current opinions and expectations of management. All forward-looking information is inherently uncertain and subject to a variety of assumptions, risks and uncertainties, including the speculative nature of mineral exploration and development, fluctuating commodity prices, competitive risks and the availability of financing, as described in more detail in the Company's recent securities filings available at www.sedar.com. Actual events or results may differ materially from those projected in the forward-looking statements and Macusani cautions against placing undue reliance thereon. Neither Macusani nor its management assume any obligation to revise or update these forward-looking statements.
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
Contacts:
Macusani Yellowcake Inc., Peter Hooper, President
(416) 360-3402
peter@macyel.com
www.macyel.com