Vancouver, British Columbia, September 23, 2015 — CanAlaska Uranium Ltd. “the Company” (TSX-V: CVV; OTCQB: CVVUF; Frankfurt: DH7N) is pleased to announce that Northern Uranium Corp., has elected to acquire an 80% interest in the Company’s Northwest Manitoba (NW Manitoba) by incurring further expenditures of $5.6 million on the project over the next two years. Northern Uranium exercised its option to acquire a 70% interest in the property having reported it spent $6 million on property exploration. Northern will now issue CanAlaska a further 5 million shares and 2.5 million share purchase warrants.
CanAlaska President, Peter Dasler commented, “We’re delighted that Northern Uranium’s drilling program has confirmed uranium mineralization associated with the large gravity target at Maguire. Initial drill results, indicate the target hosts elevated uranium, including pitchblende stringers within a large hydrothermal alteration system. Such a system is conducive to hosting large uranium deposits at the REDOX boundaries. We look forward to working with Uranium North during this drill program, and further programs to test the many targets on the property.”
The Northwest Manitoba project is located along the extension of the Mudjatik-Wollaston zone which hosts most of the major uranium deposits in the Athabasca Basin. These unconformity type deposits are situated near the boundary of the overlying basin sediments and underlying basement rocks. Although the NW Manitoba project does not show the basin sediments, it is thought that the extensive glaciation has stripped sediments away, leaving the basement rocks exposed. This has the advantage of allowing mineralization to be found at or near surface. This theory has been borne out. Grab samples of surface mineralization run up to 9.5% U3O8, while boulders contain in excess of 66% U3O8. Drill testing near this mineralization is now defining a wide uranium mineralized hydrothermal alteration zone trending NW along the Maguire structure.
For a 70% interest in the project, CanAlaska has received securities of Northern Uranium consisting of 5 million common shares and 2.5 million warrants, with each warrant exercisable into a common share of the company at an exercise price of five cents per share for a period of three years. In order to acquire an 80% interest, Northern Uranium must incur further expenditures of $5.6-million over the next two years, subject to the right of Northern Uranium to receive two one-year extensions to incur the expenditures by paying CanAlaska $50,000 per one-year extension. Total consideration payable to CanAlaska is $35,000, 12 million common shares of Northern Uranium, 6 million share purchase warrants, and work expenditures of $11.6 million.
CanAlaska and Northern Uranium have both recently announced separate financings. Information on CanAlaska’s private placement is available from the company’s website.
About CanAlaska Uranium
CanAlaska Uranium Ltd. (TSX-V: CVV; OTCQB: CVVUF; Frankfurt: DH7N) holds interests in approximately 700,000 hectares (1.7 million acres), one of the largest land positions in Canada’s Athabasca Basin region — the “Saudi Arabia of Uranium”. CanAlaska’s strategic holdings has attracted major international mining companies Mitsubishi, KORES and KEPCO as partners at its core projects. CanAlaska is a Project Generator and is positioned for discovery success in the world’s richest uranium district. For further information, visit www.canalaska.com.
Dr Karl Schimann, P.Geo, a qualified person under National Instrument 43-101, is responsible for the technical content of this release.
On behalf of the Board of Directors
Peter Dasler, P. Geo., President & CEO
Peter Dasler, President and CEO.
Tel: +1.604.688.3211 x318
The TSX-V has not reviewed and does not accept responsibility for the adequacy or accuracy of this release: CUSIP# 13708P 10 2.
Forward Looking Statements
This announcement contains “forward-looking statements” within the meaning of applicable securities laws. Generally, these forward-looking statements can be identified by the use of forward-looking terminology such as “plans”, “expects” or “does not expect”, “is expected”, “budget”, “scheduled”, “estimates”, “forecasts”, “intends”, “anticipates” or “does not anticipate”, or “believes” or variations of such words and phrases or state that certain actions, events or results “may”, “could”, “would”, “might” or “will be taken”, “occur” or “be achieved”. Forward-looking statements are subject to known and unknown risks, uncertainties and other factors that may cause the actual results, level of activity, performance or achievements of the Company to be materially different from those expressed or implied by such forward-looking statements, including but not limited to those risks and uncertainties relating to the Company’s business disclosed under the heading “Risk Factors” in its Annual Report on Form 20-F filed with the SEC on August 29, 2014 and its other filings with the SEC, which are available online at www.sec.gov. Although the Company has attempted to identify important factors that could cause actual results to differ materially from those contained in forward-looking statements, there may be other factors that cause results not to be as anticipated, estimated or intended. There can be no assurance that such statements will prove to be accurate, as actual results and future events could differ materially from those anticipated in such statements. Accordingly, readers should not place undue reliance on forward-looking statements. The Company does not undertake to update any forward-looking statements, except in accordance with applicable securities laws.