Strateco Resources Inc SRSIF

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MONTREAL (Business Wire) -- Strateco Resources Inc. (TSX VENTURE:RSC)(US SEC Registration # 0-49942) is pleased to announce that it has signed a letter of intent with GeoNova Explorations Inc., ("GeoNova"), a wholly-owned subsidiary of Campbell Resources Inc., to acquire a 100% interest in the Discovery property, located northwest of Val d'Or, Quebec. Strateco already has an option to acquire a 50% interest in the property, in which it has invested over $3 million in exploration since 2002. The terms of the agreement, which are subject to regulatory approval, are as follows: 1) $25,000 to be paid upon signature of the letter of intent; 2) $200,000 to be paid within five days of Strateco's annual meeting, and no later than May 30, 2006; 3) $275,000 to be paid upon completion of the initial public offering of a new company, 'NewCo', into which the property will be transferred; 4) At Strateco's option, either $1,000,000 in common shares of 'NewCo' to be issued to GeoNova or $1,000,000 to be paid in cash no later than August 30, 2006; 5) A 2% NSR royalty on all of the property claims. The royalty is redeemable for $1,000,000. In the coming weeks, Strateco will create a new company, 'NewCo', into which it will transfer all its non-uranium assets, including the Discovery gold project in return of NewCo's shares. Subject to the regulatory approval, shares of 'NewCo' will be distributed to Strateco shareholders once they have approved the transaction at Strateco's general and special annual meeting of shareholders, which should be held in late May 2006. The terms of the dividend payment will be defined and announced in the coming weeks. Discovery Property The Discovery property lies 45 kilometres northwest of Lebel-sur-Quevillon, Quebec. It consists of 124 claims covering an area of 3,371 hectares. Work done by Strateco resulted in the creation of a geological model based on the systematic repetition of northeast-striking faults at intervals of approximately 600 metres. At the intersection of these northeast faults and the Discovery structure, the model indicated the presence of four mineralized zones, called the West, East, Section 600 and Section 1200 lens. The East lens returned the best drill results. Strateco has retained Innovexplo Inc. to prepare a new resource estimate in accordance with National Instrument 43-101. The report should become available around mid-April, and will be used as a basis for the 'NewCo" initial offering. THE TSX VENTURE EXCHANGE DOES NOT ACCEPT RESPONSIBILITY FOR THE AD EQUACY OR ACCURACY OF THIS RELEASE. STRATECO RESOURCES INC. (TSX VENTURE:RSC) Strateco Resources Inc. Guy Hebert President [phone] [e-mail] OR Strateco Resources Inc. Jean-Pierre Lachance Executive Vice President [phone] [e-mail] www.stratecoinc.com OR Campbell Resources Inc. Andre Fortier President [phone] © Copyright Business Wire