UEX Corp UEXCF

Promising Hydrothermal Clay Alteration Expanded @ Dwyer Lake

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https://www.newswire.ca/en/story/1493847/promising-hydrothermal-clay-alteration-expanded-at-dwyer-lake

Promising Hydrothermal Clay Alteration Expanded at Dwyer Lake

Trading Symbol: UEX-TSX

VANCOUVER, Feb. 26, 2015 /CNW/ - UEX Corporation ("UEX" or "the Company") is pleased to announce the initial drill results from the first nineteen holes of the 2015 Hidden Bay winter basement-targeting drill program in the Dwyer Lake area ("Dwyer Lake") (see Figure 1).

As of February 20, 2015, approximately 4,000 m of the planned 10,000 m drill program has been completed. The remaining 6,000 m will be apportioned between Dwyer Lake, Wolf Lake and other Hidden Bay target areas. Moderate to strong hydrothermal alteration of the sandstone is present in fourteen of these holes, with intense hydrothermal clay alteration having been encountered in thirteen of these holes within basement rocks. A majority of these holes also intersected favourable basement lithologies and significant faulting. Anomalous radioactivity was not observed in the down-hole surveys; however, several notable characteristics have been observed:

• A major hydrothermal alteration zone over an area 175 m by 75 m has been confirmed, significantly expanding the area of intense clay alteration first indicated in historic hole D-57. The alteration observed in historic hole D-57 initially prompted the Company to target Dwyer Lake;

• The presence of kaolinite-illite clays in the sandstone and basement rocks were not recognized in the historic D-57 hole; however, their prolific occurrence in this alteration system confirms Dwyer Lake as a high priority area; and

• The basement alteration at Dwyer Lake consists of intense hydrothermal clay that does not appear to consistently connect directly to the sandstone alteration zone at the unconformity and does not extend below a vertical depth of 110 m from surface.

Identifying this large of an area of intense kaolinite-illite clay alteration right out of the gate provides UEX with substantial exploration potential as exploration in the area continues. Drilling to define the margins of this alteration zone along strike to the north and south to find the potential locations where uranium accumulations may have occurred is currently underway.

One drill is continuing to test targets at Dwyer Lake, while a second drill has commenced the basement targeting program at Wolf Lake. These programs represent the first two of a series of programs intended to discover new basement-hosted uranium deposits on the Hidden Bay Project based on targets generated by a thorough re-interpretation of the extensive historical dataset.

To view Figure 1 (Hidden Bay Project – Dwyer Lake Alteration Zone – Winter 2015 Drilling) please access this news release on UEX's website at

www.uex‑corporation.com.

About the Hidden Bay Project

UEX's Hidden Bay Project is located in the eastern Athabasca Basin and is proximal to several of the region's major uranium deposits and mines. The property lies adjacent to two operating uranium mills, is divided by a provincial highway and is located minutes from daily all-weather commercial air service at a nearby regional air terminal. The Hidden Bay Project has been explored for uranium by UEX and preceding companies for over four decades, with this exploration leading to the discovery of three deposits documented in National Instrument 43-101 ("N.I. 43-101") reports which are referenced below.

Qualified Persons and Data Acquisition

Technical information in this news release has been reviewed and approved by Roger Lemaitre, P.Eng., P.Geo., UEX's President and CEO who is a Qualified Person as defined by National Instrument 43-101.

About UEX

UEX (TSX:UEX, OTC:UEXCF.PK, UXO.F) is a Canadian uranium exploration and development company actively involved in fifteen uranium projects, including four that are 100% owned and operated by UEX, one joint venture with AREVA that is operated by UEX, as well as nine joint-ventures with AREVA and one joint venture with AREVA and JCU (Canada) Exploration Company, Limited, which are operated by AREVA. The fifteen projects, totaling 251,159 hectares (620,626 acres), are located in the eastern, western and northern perimeters of the Athabasca Basin, the world's richest uranium belt, which in 2013 accounted for approximately 15% of the global primary uranium production. UEX is currently advancing several uranium deposits in the Athabasca Basin which include the Kianna, Anne, Colette and 58B deposits at its currently 49.1%-owned Shea Creek Project, and the Horseshoe, Raven and West Bear deposits located at its 100%-owned Hidden Bay Project. UEX currently has a cash position of approximately $6.8 million.