United Silver Corp T.USC

News Release

[OneEye]

Here is a new release on US Cobalt's project. More information can be found about the company on the Sedar website. https:///sedar.com, go to Company Profiles under the letter U, and find U. S. Cobalt Inc. All of the company's documents can be accessed. U.S. COBALT INC. Suite 320 - 625 Howe Street Vancouver, BC V6C 2T6 Telephone: [phone] Facsimile: [phone] E-mail address: www.uscobalt .com NEWS RELEASE May 18, 2000 SYMBOL: USC Cobalt Project Scoping Study and Options Announced U. S. Cobalt Inc. is pleased to report the results of an internal scoping study completed on the Madison Cobalt Project which indicates the potential economic viability of the project. Using current metal prices of cobalt at US $16.50 per pound, nickel at US $4.45 per pound and copper at US $.80 per pound, the net present value (discounted at 10%) is estimated at US $112,137,000 with an after tax internal rate of return of 55%. The resource used for the study totals 2,560,000 tons at a diluted grade of 0.54% cobalt, 0.82% nickel, and 0.92 % copper. Within this resource, 2,070,000 tons is classified as indicated and 430,000 tons is classified as inferred. A Phase 1, US $950,000 program designed to expand the resource and bring the project to pre-feasibility level was recommended by B. J. Price Geological Consultants Inc. and Ross Glanville and Associates and is currently underway. The Madison Cobalt Project is a cobalt-nickel-copper project controlled 100% by US Cobalt located on private property in southeast Missouri. The company acquired an extensive database of drilling, engineering, and metallurgical studies which was used as a basis for the scoping study. Updated order of magnitude capital and operating cost estimates were made by American Mine Services Inc., Lyntek Inc., and Hazen Research Inc. of Denver, and Marston Environmental of St. Louis. Total capital costs for the project, which include all pre-production activities and a 20% contingency, are US$34,243,000. The estimated operating cost is US $82.18 per ton, including a 10% operating cost contingency, which provides an estimated cash operating cost of US $5.58 per pound of cobalt net of by-product credits. The production rate used in the study is 600 tons per day through a conventional flotation mill, which would produce a cobalt-nickel concentrate for treatment on-site, and copper concentrate and lead concentrate for shipment to custom smelters. The cobalt-nickel concentrate would be treated through an autoclave with metal recovery by solvent extraction/electrowinning. An estimated 2,000,000 pounds per year of high purity cobalt metal (99.8%), 3,100,000 pounds per year of nickel, and 3,500,000 pounds per year of copper in concentrate could be produced. The resources are shallow Mississippi Valley Type deposits found between 250 feet and 450 feet from surface. Mine access would be by decline with bulk mining by room-and-pillar. A 10,000 foot diamond drill program is planned as part of the Phase 1 program as in-fill drilling in known resource areas, for resource development and exploration. The drill hole data base is being entered into an updated software system to develop a 3D resource model and for mine planning purposes. Metallurgical studies will be undertaken to confirm the parameters used in the study and baseline environmental data collection will begin. A pre-feasibility study will be prepared at the end of the program which is estimated to be complete by year end 2000. The company also announced today that pursuant to its incentive compensation plan, 505,000 options were awarded to officers and directors, and 285,000 options were awarded to technical and financial consultants to the company. The option price is $0.90 per share. U.S. Cobalt Inc. intends to develop a United States based cobalt deposit that will provide the largest cobalt-consuming nation in the world with a stable, domestic supply. Cobalt consumption has remained strong and is expected to increase world wide through its use in portable rechargeable batteries, the new class of electric and hybrid automobiles, superalloys, chemical catalysts, cemented carbides and many other industrial applications. The company has 10.3 million shares issued and trades on the Canadian Venture Exchange under the symbol USC. ON BEHALF OF THE BOARD OF DIRECTORS “Douglas J. Glaspey” Douglas J. Glaspey, President For further information please contact: Douglas Glaspey - President [phone] Or Paul Larkin - Secretary [phone] The Canadian Venture Exchange has not reviewed and does not accept responsibility for the adequacy or accuracy of this news release.