Pathfinder Starts Major Airborne Geophysical Survey at Thelon Basin Uranium Project
Vancouver, BC, July 17, 2006 - Pathfinder Resources Ltd. (TSX-V: PHR) and Diamonds North Resources Ltd. (TSX-V: DDN) report that a major airborne geophysical survey is underway over the Thelon Uranium Project in the Northwest Territories, Canada. The survey consists of an 8,000 line-kilometre, deep penetrating, electromagnetic (EM) survey utilizing Fugro Airborne Surveys' proprietary MEGATEM II system. The objective of the survey is to identify conductors associated with uranium mineralization for follow-up exploration and drilling.
Fugro's MEGATEM II system is a deep penetrating, high-resolution electromagnetic and magnetic geophysical system capable of identifying conductors in basement rocks overlain by thick sandstone basin infill. As basement conductors are often related to fault structures, the survey will focus on areas of the property where major structures have been recognized by government and Pathfinder geologists. These structures are based and illustrated on a calculated vertical gradient magnetic map that can be viewed on Pathfinder's Website at http://www.pathfinderresources.com/Projects/TMag.htm).
Fault structures and basement conductors are key elements associated with large, unconformity related uranium deposits such as Cameco Corporation's (TSX: CCO) McArthur River and Cigar Lake mines in the Athabasca Basin, the world's largest, high-grade uranium deposits.
The MEGATEM II survey will cover the majority of the Thelon Uranium Project, a large area comprising over 1,000,000 acres. Developed in 2001, MEGATEM II is far superior to survey systems used during the last major uranium exploration boom in the 1970's as it can detect conductors considerably deeper in the earth and at much higher resolution. Conductors defined by the survey program will provide targets for follow-up ground exploration and drilling.
Given the Companies are exploring the largest property in the Thelon Basin (recognized as a highly prospective region for hosting high-grade, unconformity related uranium deposits) identification of conductors from the survey would add considerable value to the project. Cameco Corporation and Uravan Minerals Inc. (TSX-V: UVN) recently announced a drill program on their adjacent Boomerang uranium project.
The airborne survey should take two weeks to complete with results available in late August. Pathfinder can earn an 80% interest in the uranium rights on approximately 1.2 million acres of Diamond North's Thelon exploration claims and permits. Pathfinder also holds a 100% interest in 98,000 acres of claims located in the Northwest area of the project.
About Pathfinder Resources Ltd.
Pathfinder Resources is a mineral exploration company focused on the discovery of large, economic uranium deposits. On April 19, 2006, Pathfinder announced intentions to merge with Bayswater Ventures Corp. (TSX-V: BVE). The new corporation will be a leading, small-cap uranium explorer highlighted by dominant land positions in Canada and Niger, respectively the first and fourth largest uranium producing countries in the world. Shares of Pathfinder are listed on the TSX Venture Exchange with the symbol "PHR". For further information visit the Company's website at www.pathfinderresources.com.
About Diamonds North Resources Ltd.
Diamonds North is a dynamic exploration team focused on strategically advancing diamond opportunities and is determined to discover Canada's next diamond mine. Diamonds North plans to transfer its uranium properties to its wholly owned subsidiary, Uranium North Resources Corp. Shareholders of Diamonds North on the effective date of completion of the plan of arrangement will receive 1 share of Uranium North for each 6 shares of Diamonds North held. For further information, please visit our website: www.diamondsnorth.com
ON BEHALF OF THE BOARDS OF DIRECTORS
Victor A. Tanaka
President
Pathfinder Resources Ltd.
Mark Kolebaba
President
Diamonds North Resources Ltd.
Contacts:
John Gomez, Investor Relations
Pathfinder Resources Ltd.
Tel:
Email:
Nancy Curry, VP - Corporate Communications
Diamonds North Resources Ltd.
Tel:
Email:
The TSX Venture Exchange has not reviewed and does not accept responsibility for the adequacy or accuracy of this release. Statements in this press release, other than purely historical information, including statements relating to the Company's future plans and objectives or expected results, may include forward-looking statements. Forward-looking statements are based on numerous assumptions and are subject to all of the risks and uncertainties inherent in resource exploration and development. As a result, actual results may vary materially from those described in the forward-looking statements.