LAS VEGAS, May 21, 2007 (PRIME NEWSWIRE) -- CanAm Uranium Corp. ("CanAm" or the "Company") (OTCBB:CAUI), is pleased to announce that on May 18, 2007, the Company entered into a Definitive Property Option Agreement with Geomode Mineral Exploration Ltd. ("Geomode"), to acquire a 100% interest in a prospective mineral claim, the Don McCarthy Claim, (the "Claim"), located in the Athabasca Basin.
The single 4087-hectare claim (S-110884) was previously controlled by International Uranium Corp/Denison Mines Corp., which still have a significant presence in the area. The Claim is considered to be a high priority target due to its proximity to large, high-grade uranium mines and its potential to host similar mineralization. The Claim is located on the eastern edge of the Athabasca Basin, approximately 15.5 miles (24km) southeast of Cigar Lake and 21.7 miles (35km) east of the McArthur River Mine (Cameco/Cogema), the largest, high-grade uranium mine in the World (reserves of 389.1 million lbs with an average grade of 24.3% U3O8 and producing 18.7 million lbs per annum). The northern and eastern borders of the Claim are contiguous to claims held by International Uranium Corp/Denison Mines Corp. and the western side of the Claim adjoins Dejour Enterprises Ltd/Titan Uranium Inc. claims.
To acquire a 100% interest in the Don McCarthy Claim, CanAm is required to pay an aggregate of US$400,000 and issue 3,000,000 common shares to the vendor over a three year term. A deposit of $50,000 is to be held in trust, subject to CanAm, completing its due diligence on or before May 25th 2007. Upon subject removal, first year commitments require the issuance of 2,000,000 common shares and retention of the deposit, with a payment of $50,000, on or before December 22, 2007. The balance of payments requires the payment of $100,000 and 500,000 shares on or before May 25th 2008, and the payment of $200,000 and 500,000 shares on or before May 25th 2009. A one percent (1%) NSR has been reserved in favor of the vendor, which can be purchased by CanAm for $3,000,000.
"The expansion of our property holdings in the world famous Athabasca Basin, and the acquisition of a prior Denison & IUC property are momentous in CanAm's goal to acquire and develop significant Uranium exploration properties in the most prolific regions of Canada. With exploration properties like the Don McCarthy and the Wheeler-Beckett, combined with promising work program results, CanAm could attract some of the larger joint venture partners in the region," says Ryan Gibson, CEO of CanAm Uranium Corp.
Forward-Looking Statements
Statements in this press release may be "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995. Words such as "anticipate," "believe," "estimate," "expect," "intend", "could" and similar expressions, as they relate to the company or its management, identify forward-looking statements. These statements are based on current expectations, estimates and projections about the company's business based, in part, on assumptions made by management. These statements are not guarantees of future performance and involve risks, uncertainties and assumptions that are difficult to predict. Therefore, actual outcomes and results may, and probably will, differ materially from what is expressed or forecasted in such forward-looking statements due to numerous factors, including those described above. In addition, such statements could be affected by risks and uncertainties related to the exploration for and development of mineralized material, product demand, market and customer acceptance, competition, pricing and development difficulties, as well as general industry and market conditions and growth rates and general economic conditions. Any forward-looking statements speak only as of the date on which they are made, and the company does not undertake any obligation to update any forward-looking statement to reflect events or circumstances after the date of this release. Information on CanAm's website does not constitute a part of this release.
About Us
CanAm Uranium Corp. is a Nevada incorporated junior resource company with a corporate objective focused on the strategic acquisition and development of exploration properties in well-known prolific mining areas, especially known for Uranium, of Canada, Southern Africa, Australia and the United States. CanAm Uranium Corp has optioned over 136,825 acres of claims collectively within the Saskatchewan Athabasca Basin, Ontario and British Columbia, with significant interest in prolific Uranium mining areas. http://www.CanAmUranium.com