Vancouver, Canada, Sept 15th, 2008 – CanAlaska Uranium Ltd. (TSX.V — CVV) (“CanAlaska” or the “Company”) has received assay results for uranium-mineralized sections of three drill holes and cores from the Fond du Lac project located on the northern portion of the Athabasca Basin, Saskatchewan.
The uranium mineralization at Fond du Lac is principally within the Manitou Falls Formation of the Athabasca Sandstone sequence, and is characterized by strong fracturing, intense silicification, zones of hematization and minor clay alteration. In the current area of drilling, zoning is apparent, with a central highly mineralized-core. The mineralization is evident as disseminations and replacement, both in the sandstone and near the surface (see following plan and drill section).
Across the project, there are multiple other zones, currently only loosely-defined by mineralized boulder trains (see attached figures for mineralized boulder trains and geophysical responses). These other targets have been prospected during this summer’s work, and will be now be evaluated for drill programs over the coming months and during the winter.
The following tables give assay results for mineralized core, which was intercepted in holes FLC 002 and FLC 003. Assay results over 0.05% U3O8 (1lb/ton) are highlighted. Hole FLC 001, with trace mineralization, appears to be on the edge of the zone. All mineralized core is from Athabasca sandstone at shallow depths.
In the current drilling, a very significant zone of hematite alteration was intersected in basement rocks at the unconformity, under the better-mineralized uranium zone in the three drill holes. This style of iron oxide mineralization is generally caused by oxidization from geothermal activity along fracture zones, and is a common indicator for most basement-hosted uranium deposits. Strong clay and chlorite alteration, another common indicator, is also present in the basement rocks drilled in this current campaign. Geophysical surveys are currently being used to define the next drill holes for this target. Further drilling along strike will be required to define the extent and orientation of the present zone.
Prior geological information for the Fond du Lac mineralization is limited due to a lack of historical records. However, previously-reported “lack of geophysical response” is not supported by CanAlaska’s results, which include evaluation of the drill core, response from the down-hole resistivity probing, the presence of sulphide mineralization in the core, preliminary results from a ground IP-resistivity survey, and a new gravity survey, which are currently being carried out. The current geophysical surveys are evaluating the zone of mineralization and a surrounding area of 4.2 km2 in preparation for further drilling.
The Company received a work permit for the drilling at Fond du Lac from INAC (Indian and Northern Affairs Canada), with consent from the band and council of the Fond du Lac Denesuline First Nation. This permit allowed the Company to commence exploration on the Reserve lands, and allows for the follow-up exploration of specific geophysical targets generated from recent VTEM airborne surveys and new ground surveys. By agreement dated October 18th, 2006, the Company acquired from the Fond du Lac Denesuline First Nation an option to earn a 49% economic interest in the minerals resident on Fond du Lac reserve lands. CanAlaska may exercise this option following the incurrence of $2 million in exploration expenditures and the payment of $130,000 and 300,000 Company shares.
Elsewhere in the Athabasca Basin, CanAlaska’s field crews are presently working at the Poplar Project, located along the northern boundary of the Basin, and at the Black Lake Project, on the Black Lake Denesuline First Nation Reserve. A third drill crew is currently drilling at the Cree East Project in the south and further exploration will be staged during the late summer on the Company’s northern Lake Athabasca Project,. The Company is very pleased with current operations, and is fully-funded for the summer-fall work programs thorough its joint venture partnerships and from current treasury.
All of the drill core samples from the Fond du Lac project were submitted to Acme Laboratories Vancouver, an ISO 9001:2000 accredited and qualified Canadian Laboratory, for their Group 4B analysis. These samples were analysed for uranium and multi-element geochemistry by tri-acid digestion and ICP-MS. The samples were collected by CanAlaska field geologists under the supervision of Dr. Karl Schimann, and were shipped in secure containment to the laboratories noted above. Peter Dasler, M.Sc. P Geo. is the qualified technical person responsible for this news release.
About CanAlaska Uranium Ltd. — www.canalaska.com
CANALASKA URANIUM LTD. (CVV — TSX.V, CVVUF — OTCBB, DH7 — Frankfurt) is undertaking uranium exploration in nineteen 100%-owned and two optioned uranium projects in Canada’s Athabasca Basin. Since September 2004, the Company has aggressively acquired one of the largest land positions in the region, comprising over 2,500,000 acres (10,117 sq. km or 3,906 sq. miles). To-date, CanAlaska has expended over Cdn$45 million exploring its properties and has delineated multiple uranium targets. The Company’s geological expertise and high exploration profile has attracted the attention of major international strategic partners. Among others, Mitsubishi Development Pty., a subsidiary of Japanese conglomerate Mitsubishi Corporation, has undertaken to provide CanAlaska C$11 mil. in exploration funding for its West McArthur Project. Exploration of CanAlaska’s Cree East Project is also progressing under a C$19 mil. joint venture with a consortium of Korean companies led by Hanwha Corporation, and comprising Korea Electric Power Corp., Korea Resources Corp. and SK Energy Co, Ltd.
On behalf of the Board of Directors
Peter Dasler, P. Geo., President & CEO
Investor Contact: Emil Fung, Vice President, Corporate Development
Tel: +1.604.688.3211 Toll Free (North America) 1-800-667-1870 Email: [email protected]
The TSX Venture has not reviewed and does not accept responsibility for the adequacy or accuracy of this release: CUSIP#13708P 10 2.
This news release contains certain “Forward-Looking Statements” within the meaning of Section 21E of the United States Securities Exchange Act of 1934, as amended. All statements, other than statements of historical fact, included herein are forward-looking statements that involve various risks and uncertainties. There can be no assurance that such statements will prove to be accurate, and actual results and future events could differ materially from those anticipated in such statements. Important factors that could cause actual results to differ materially from the Company’s expectations are disclosed in the Company’s documents filed from time to time with the British Columbia Securities Commission and the United States Securities & Exchange Commission. Not to be construed as an offer to buy or sell securities of CanAlaska Uranium Ltd.