Western Uranium Corp Drills Impressive Zone of Uranium-Gold-Silver-Molybdenum at Kings Valley, Nevada

Western Uranium Corporation (WUC) is pleased to announce assay results from phase II drilling at Kings Valley, Nevada.  Phase II drilling includes drill hole KV-19 which intercepted:

27.4 meters of 0.180% U3O8, interval includes:

• 15.2 meters - 0.278% U3O8
• 10.7 meters - 1.26 g/t Gold
• 13.7 meters - 38.7 g/t Silver
• 19.8 meters - 0.021% Molybdenum

KV-19 is located 70 meters NW of KV-05 which was drilled during WUC’s Phase I drilling in May 2006.  KV-05 contained 22.8 meters of 0.155% U3O8. (news release, June 28, 2006)  KV-19 is important both in terms of the poly-metallic nature of the mineralization and that it significantly increases the strike length of known mineralization in the Moonlight project area.  Additionally, the strong uranium, gold, silver, and molybdenum mineralization intercepted in hole KV-19 may represent a new style of mineralization not previously recognized in the district.  The mineralization found in KV-19 is particularly exciting in that it contains element suites associated with both classic hypogene uranium and epithermal gold mineralization. 

Phase II drilling at Kings Valley, carried out during July and August, 2006, was designed to test for extensions of uranium mineralization along strike between the Moonlight Mine area and the South Drill Zone.  As a result of the drilling, WUC has extended the mineralized strike length of the South drill area by over 200 meters.  Uranium mineralization in the Moonlight Mine area has been extended over 70 meters to the northwest of previously known uranium.  The program included select infill drilling within both the South and Moonlight Zones and step-out drilling on 50 meter centers. Fourteen reverse circulation drill holes were completed in Phase II, for a total of 2250 meters.  Seven holes were placed in the Moonlight area, and seven in the South Zone. The South Zone is located approximately 1.4 kilometers north of the Moonlight Mine along the western escarpment of the McDermitt Caldera.  Analytical results are shown in Table 1. 

During the 1970’s Chevron Resources (South Zone) and The Anaconda Company (Moonlight Mine) conducted extensive drilling campaigns on these properties and defined significant uranium inventories (see Kings Valley 43-101 report 9/05).  WUC controls both areas which previous operators explored separately.  Inventories drilled by Chevron and Anaconda were developed prior to NI 43-101 regulations and are not NI 43-101 compliant.

In the South Zone, mineralization is hosted by a NW-trending fractured rhyolite dike and adjacent volcanic units.  KV-2 previously drilled in Phase I, contained 7.6 meters of 0.238% U3O8 and 30.9 ppm Ag (news release, June 28, 2006).   Newly drilled holes, KV-9 and KV-13, approximately 200 m SSE of KV-2, contain grades of up to 0.082 % U308 over 1.5 meters, and suggest continuity of mineralization along strike southwards towards the Moonlight area.  Molybdenum mineralization is also present, and ranges up to 0.034% over 6.1 meters in KV-7.

In the Moonlight area, mineralization appears to be associated with a NW-trending, east dipping, fractured rhyolite dike, adjacent volcanic units, and hydrothermal breccias.  KV-5, previously drilled in Phase I, contained 23 meters of 0.155% U3O8, as well as significant molybdenum and silver (news release, June 28, 2006).  New drilling includes KV-19, located 50 meters NW of KV-5.  KV-19 contains 27.4 meters of 0.180% U3O8 from 88.3 meters to 115.8 meters.  Also found within this interval is 15.2 meters of 0.278% U3O8, 38 ppm Ag over 13.7 meters, 0.038 opt Au over 12.2 meters, and 0.021% Mo over 19.8 meters (Table 1).  KV-15, approximately 150 meters S of KV-5, contains 4.6 meters of 0.093% U3O8 within rhyolite and breccia.

WUC recognizes many of the mineralized structures and host rock units are moderately to steeply dipping.  Due to the topography in the project area most of holes in phase two were vertical, therefore the true thickness is less than the intercept thickness. Due to the widely spaced drill pattern and the abrupt changes in attitudes of structures and host rocks as determined by examination of the drill cuttings additional drilling will be necessary to accurately define true thicknesses.

TABLE 1

All drill samples were analyzed by American Assay Laboratories in Reno, Nevada.  Samples were collected on 1.5 meter intervals and were analyzed by ICP (Induced Coupled Plasma).  All intervals over 100 ppm uranium are re-run using total fusion and XRF techniques as confirmation.  Correlation between analytical methods is very good.  AAL is an ISO 17025 accredited laboratory.

The drill program was supervised by Western Uranium’s Vice President of Exploration Mr. Victor Calloway.  Mr. Calloway has over 27 years of worldwide mineral exploration experience, including uranium experience working for the US National Uranium Resource Evaluation (NURE) program.  Mr. Calloway has sufficient experience to direct the program and is a Qualified Person in terms of NI 43-101.

This news release includes certain statements that may be deemed "forward-looking statements". All statements in this release, other than statements of historical facts, including the likelihood of commercial mining and possible future financings are forward-looking statements. Although the Company believes the expectations expressed in such forward-looking statements are based on reasonable assumptions, such statements are not guarantees of future performance and actual results or developments may differ materially from those in the forward-looking statements. Factors that could cause actual results to differ materially from those in forward-looking statements include unsuccessful exploration results, changes in metals prices, changes in the availability of funding for mineral exploration, unanticipated changes in key management personnel and general economic conditions. Mining is an inherently risky business. Accordingly the actual events may differ materially from those projected in the forward-looking statements. For more information on the Company and the risks and challenges of its business, investors should review the Company's annual filings that are available at www.sedar.com

On behalf of the Board of
Western Uranium Corporation

“Pamela Klessig”
Pamela J. Klessig
President & CEO

For further information contact:

Western Uranium Corporation
Telephone: 775-827-3311
Email: info@westernuranium.com
Website: www.westernuraniumcorp.com

The TSX Venture Exchange has in no way passed upon the merits of the proposed transaction and has neither approved or disapproved of the contents of this press release.

Western Uranium Corporation is a mineral exploration company with a focus on uranium.  The Company has exploration properties in Kings Valley, Nevada, Treeline, New Mexico and in the Thelon Basin, Nunavut and the Northwest Territories.  The Company has its head office in Vancouver, Canada; and its executive management team is based in Reno, Nevada