European Uranium Files Technical Report For Kuriskova Preliminary Feasibility Study
Vancouver, March 13, 2012 - European Uranium Resources Ltd. (EUU: TSX-V; TGPN: Frankfurt) (the "Company") has today filed a National Instrument 43-101 compliant technical report regarding the Preliminary Feasibility Study ("PFS") for the Kuriskova Project, Eastern Slovakia as announced by press release on January 30, 2012. The technical report was completed by Tetra Tech, Inc. of Golden, Colorado.
The report titled "NI 43-101 Technical Report, Kuriskova Uranium Project" is dated effective March 13, 2012.
The highlights of the results of the PFS as announced on January 30, 2012 are:
- Internal Rate of Return 30.8%; 1.9 year payback; $276 million Net Present Value (NPV) at an 8% discount rate (Pre-Tax, base case US$68/lb U3O8, US$15/lb Mo);
- 94% increase of Indicated Resource to 28.5 million pounds of U3O8 since the Company's June 2009 Preliminary Economic Assessment ("PEA");
- 92% uranium recovery in PFS, increased from 90% in the PEA;
- 62% increase in the uranium grade to the process plant to 0.408% U3O8 in the PFS from 0.252% U3O8 in PEA;
- 26% lower life of mine operating costs in the PFS compared to the PEA. The PFS estimates US$22.98/lb U3O8 life of mine operating costs and US$16.68/lb U3O8 during the first 4 years of production. These are net of a molybdenum credit of about US$1.27 per pound of U3O8;
- 1.5 year decrease of pre-production construction period in PFS to 3 years compared to 4.5 years in the PEA;
- The project can be developed as an underground mine/processing facility with a very small surface footprint;
- Kuriskova would utilize Best Available Technologies in the mining and processing operations. The uranium can be extracted using conventional alkaline (non-acid) processing; and
- There are multiple exploration targets within the Kuriskova License area, with the potential to expand the resource base and extend project life.
The results demonstrate that the Kuriskova Project has the potential to be among the lowest cost uranium producers in the world. The PFS not only illustrates the robust economics of the Kuriskova Project but also the competitive advantages it has over other uranium projects as a result of its high-grade resources, relatively low installation and operating cost estimates as well as its central European location.
The next step is, working with our strategic partner AREVA, to begin a Feasibility Study and Environmental Assessment Study that will continue to define project parameters to a higher degree of confidence and allow the permitting of the project to begin.
This release has been reviewed and approved by Dr. Rex Bryan and Dr. Richard W. Jolk, P.E. of Tetra Tech of Golden, Colorado both independent Qualified Persons as defined in NI 43-101. This release has also been reviewed and approved for the Company by Dorian L. Nicol, President and CEO of the Company, and a Qualified Person as defined in NI 43-101.
About European Uranium Resources Ltd.
European Uranium Resources Ltd. (formerly Tournigan Energy Ltd.) is a dedicated European uranium exploration and development company that has built a portfolio of outstanding projects in Slovakia, Sweden and Finland at all stages of the exploration / development pipeline. European Uranium is well placed to become the key uranium exploration and development company in Europe. Europe is the world's largest per capita consumer of uranium with 160 reactors and more under construction or planned, but with only one currently operating uranium mine. The Company's Kuriskova Project in Slovakia could be one of the world's lowest cost uranium producers. European Uranium has a strong base of supportive shareholders including AREVA, ranked first in the global nuclear power industry and a key player in uranium mining and nuclear operations on a world-wide basis.
EUROPEAN URANIUM RESOURCES LTD.
Dorian L. (Dusty) Nicol, President and CEO
For further information please contact: Doris Meyer, at (604) 536-2711, or visit www.euuranium.com.
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
This news release contains forward-looking statements that are based on the Corporation's current expectations and estimates. Forward-looking statements are frequently characterized by words such as "plan", "expect", "project", "intend", "believe", "anticipate", "estimate", "suggest", "indicate" and other similar words or statements that certain events or conditions "may" or "will" occur. Such forward-looking statements involve known and unknown risks, uncertainties and other factors that could cause actual events or results to differ materially from estimated or anticipated events or results implied or expressed in such forward-looking statements. Such factors include, among others: the actual results of current exploration activities; conclusions of economic evaluations; changes in project parameters as plans to continue to be refined; possible variations in ore grade or recovery rates; accidents, labour disputes and other risks of the mining industry; delays in obtaining governmental approvals or financing; and fluctuations in metal prices. There may be other factors that cause actions, events or results not to be as anticipated, estimated or intended. Any forward-looking statement speaks only as of the date on which it is made and, except as may be required by applicable securities laws, the Corporation disclaims any intent or obligation to update any forward-looking statement, whether as a result of new information, future events or results or otherwise. Forward-looking statements are not guarantees of future performance and accordingly undue reliance should not be put on such statements due to the inherent uncertainty therein.