URRE News Uranium Resources, Inc. Announces Joint Venture Agreement for Development of Churchrock Project in New Mexico
LEWISVILLE, Texas & TOKYO--(BUSINESS WIRE)--Uranium Resources, Inc. (OTCBB: URRE) (“URI”)
announced today that it has signed a definitive joint venture agreement
with ITOCHU Corporation for the evaluation and development of URI’s
Churchrock uranium property in New Mexico.
Paul K. Willmott, Chairman and CEO of URI, noted, “This
agreement represents an important step towards the development of our
extensive New Mexico asset base. Our assets are located in what has been
deemed the most prolific production area for uranium in the United
States. We welcome ITOCHU as a partner. We look forward to a long and
profitable relationship and to contributing to the New Mexico economy.”
URI is currently completing a feasibility study of the New Mexico
property, which it expects to be completed by the end of 2006. Upon
completion of this study, ITOCHU and URI will determine whether to
pursue the venture. Development of the Churchrock project cannot
commence until all permits have been obtained and all other relevant
legal requirements satisfied.
URI plans to use the benign in-situ recovery (ISR) mining process at the
Churchrock project. This process involves the injection of water with
oxygen into the uranium deposit. The uranium becomes soluble and is then
extracted for further processing, and the uranium-free water is
re-injected into the ore body.
ABOUT URANIUM RESOURCES, INC.
Since it’s incorporation in 1977, URI has
produced over 7 million pounds of uranium by in-situ recovery (ISR)
methods in the state of Texas where the Company currently has three ISR
mining projects. URI has mineral rights in Texas and owns over 183,000
acres of mineral holdings in New Mexico, which historically has been the
most prolific uranium producing region in the U.S. The Company’s
strategy is to fully exploit its resource base to take advantage of the
strong global market for uranium.
Safe Harbor Statement
This press release contains forward-looking statements within the
meaning of the Private Securities Litigation Reform Act of 1995.
Forward-looking statements are subject to risks, uncertainties and
assumptions and are identified by words such as “expects,”“estimates,”“projects,”“anticipates,”“believes,”“could,” and other
similar words. All statements addressing operating performance, events,
or developments that the Company expects or anticipates will occur in
the future, including but not limited to statements relating to the
Company’s reserves and mineralized uranium
materials, timing of receipt of mining permits, production capacity of
mining operations planned for properties in South Texas and New Mexico,
planned dates for commencement of production at such properties,
revenue, cash generation and profits are forward-looking statements.
Because they are forward-looking, they should be evaluated in light of
important risk factors and uncertainties. These risk factors and
uncertainties include, but are not limited to, the spot price of
uranium, weather conditions, operating conditions at the Company’s
mining projects, government regulation of the mining industry and the
nuclear power industry, the world-wide supply and demand of uranium,
availability of capital, timely receipt of mining and other permits from
regulatory agencies and other factors which are more fully described in
the Company’s documents filed with the
Securities and Exchange Commission. Should one or more of these risks or
uncertainties materialize, or should any of the Company’s
underlying assumptions prove incorrect, actual results may vary
materially from those currently anticipated. In addition, undue reliance
should not be placed on the Company’s
forward-looking statements. Except as required by law, the Company
disclaims any obligation to update or publicly announce any revisions to
any of the forward-looking statements contained in this press release.
