Black Range Minerals Limited (ASX:BLR) Update on Hansen Uranium Deposit Drilling Program

Perth, Sep 15, 2011 AEST (ABN Newswire) - Black Range Minerals Limited (ASX:BLR) is pleased to advise that its drilling program at the Hansen Uranium Deposit in Colorado, USA continues to progress well.

The Company is currently drilling eight diamond core holes at the Hansen Deposit and plans to drill a further three diamond core holes at the Picnic Tree Deposit to obtain additional geological, geotechnical, metallurgical and hydrological data.

These data will be used to update the previous feasibility studies that were undertaken into the development of the Hansen Deposit during the early 1980s. A decision on the best development path for the Project will then be made.

The Company is currently drilling the eighth (and final) hole at the Hansen Deposit. The rig will then be moved to the adjacent Picnic Tree Deposit to complete the proposed drilling program.

Results from the first four holes drilled at the Hansen Deposit have been reported previously. The fifth hole at Hansen (HNDD0005) was drilled primarily to obtain geotechnical information towards the northern end of the previously planned open pit.

Despite this it intersected thick, high-grade mineralisation, including:

- 11.1 metres at 0.111% eU3O8, including

4.1 metres at 0.165% eU3O8, and

1.8 metres at 0.200% eU3O8

- 1.7 metres at 0.138% eU3O8

The sixth and seventh holes drilled at the Hansen Deposit (HNDD0006 and HNDD0007) were purposely drilled on the edge of the proposed open pit, entirely for geotechnical and hydrological assessment. As expected, only minimal mineralisation was intersected in these holes. The current drill hole at the Hansen Deposit is expected to be completed within the next 7-10 days.

The drilling rig will then complete the three planned holes at the Picnic Tree Deposit. These holes are somewhat shallower than the holes drilled at the Hansen Deposit, so it is anticipated that these will be completed towards the end of September/early October. Mine design work for the Hansen Deposit will commence shortly, while the holes at the Picnic Tree Deposit are being drilled.

Background - Hansen/Taylor Ranch Uranium Project

The Hansen Uranium Deposit was discovered in 1977 and fully permitted for mining in 1981. The global uranium market subsequently collapsed and mining never eventuated.

More than 1,000 holes were drilled and three feasibility studies completed to evaluate the Hansen Deposit previously.

The Company now holds a direct 24.5% equity interest in the Hansen Uranium Project that covers approximately 3,500 acres and includes the Hansen and Picnic Tree Uranium Deposits. It also holds the exclusive right to secure the remaining 75.5% interest in this Project area, together with the exclusive right to acquire a 100% interest in a further 9,500 acres at the Taylor Ranch Uranium Project, which is located immediately adjacent to, and north of, the Hansen Project.

When applying a 0.025% cut-off grade, the JORC Code compliant indicated and inferred resource for the combined Hansen/Taylor Ranch Uranium Project comprises:

68.9 Mt at 0.060% U3O8 for 90.9 million pounds of U3O8

The high-grade and robust nature of the mineralisation at the Hansen/Taylor Ranch Project is demonstrated when applying a 0.075% cut-off grade to the resource calculation. The JORC Code compliant indicated and inferred resource for the combined Hansen/Taylor Ranch Uranium Project then comprises:

16.6 Mt at 0.120% U3O8 for 43.8 million pounds of U3O8

The combined Hansen/Taylor Ranch Uranium Project is one of the largest uranium projects within the USA - which as a nation is the largest consumer of uranium in the world. With domestic mines within the USA producing less than 10% of the uranium consumed in the country on an annual basis, the development of such a large and strategic asset should be regarded highly.

Black Range continues to advance feasibility and environmental studies at the Hansen/Taylor Ranch Uranium Project as quickly as possible.

Contact

Mike Haynes Managing Director Black Range Minerals Limited