🕐16.03.10 - 15:04 Uhr

U3O8 Corp. intersects eighth uranium-bearing structure, underscoring significant
size potential of the Kurupung system



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U3O8 Corp. intersects eighth uranium-bearing structure, underscoring significant size potential of the Kurupung system

Aricheng A adds to pipeline of targets with potential to grow current uranium resource

Toronto, Ontario � March 16, 2010 � U3O8 Corp. (TSX Venture: UWE), a Canadian uranium exploration company, reports significant uranium mineralization from Phase I scout drilling in the Aricheng A target in the Kurupung Batholith, in basement rocks near the Roraima Basin in Guyana (Figure 1). Aricheng A is the eighth uranium-bearing structure identified so far and underscores the growing size potential of the Kurupung system, a promising uranium district in South America. Geologically similar albitite-hosted uranium deposits worldwide including the Valhalla deposit in Australia and Michelin deposit in Canada, typically host resources in the 50 to 130 million pound range with typical grades of 0.06% to 0.10% U3O8, contained within multiple mineralized structures.

�The Kurupung Batholith is emerging into a potentially significant uranium system,� said Dr. Richard Spencer, U3O8 Corp�s President and CEO. �U3O8 Corp�s goal is to demonstrate, through scout drilling, that the Kurupung could host a large uranium resource of comparable size to albitite-hosted deposits worldwide. The discovery of a uranium-bearing structure at Aricheng A is one more step towards achieving this goal. Given our exploration success in identifying new mineralized zones, we plan to continue scout drilling geophysical targets until mid-year. At that time, we will decide whether to further expand on the Kurupung�s size prospects or focus on infill drilling to potentially add to our existing compliant resource.�

To date, U3O8 Corp�s drilling has delineated uranium mineralization in eight structures of which an initial National Instrument 43-101 (NI 43-101) Indicated resource of 5.8 million pounds at an average grade of 0.10% U3O8 and Inferred resource of 1.3 million pounds at an average grade of 0.09% U3O8 have been defined on two of these structures. Through further scout drilling, U3O8 Corp. aims to show that the Kurupung has an estimated potential to host a conceptual target of 20-30 million tonnes grading 0.08% to 0.10% U3O8 (for an estimated 30-50 million pounds U3O8) aggregated from multiple structures.

Table 1 � Assay Results for Aricheng A

Summary of significantly mineralized intercepts cut in the seven bore holes (1,243 metres) completed in scout drilling of the Aricheng A structure.

Note: lb/st is an abbreviation for pounds per short ton. 1 short ton = 2,000lbs or 0.907 metric tonnes.

Uranium mineralization at Aricheng A is associated with a set of northeast-trending structures, marked by a conspicuous radiometric anomaly (Figure 2). Aricheng A is located about 500 metres southeast of the Aricheng North uranium zone that coincides with another strong radiometric feature. The Aricheng A mineralization zone occurs in veinlets and micro-breccias within an envelope of albite-chlorite-hematite-calcite-magnetite alteration that is weakly to moderately magnetic. The structures have a northeast strike and dip approximately 80� to the northwest. Mineralization has been encountered over a strike length of 300 metres, to a depth of 120 metres, and remains open at depth (Figure 3).

Potential quantity and grade are based on drill results that define the approximate length, thickness, depth and grade of the Aricheng A target, but are considered conceptual in nature. Furthermore, the size potential stated above for the Kurupung Batholith is conceptual in nature. It is uncertain if further exploration drilling will result in a mineral resource of significant size being defined in the Kurupung or will result in a mineral resource being defined in Aricheng A structure.

Quality Assurance & Quality Control

Diamond drilling at Aricheng A was undertaken with U3O8 Corp�s own drill rig that produced NQ (nominal 47.6 millimetre diameter) core. A down-hole spectral gamma probe was used on the seven bore holes reported here to determine the extent of the mineralized intervals by providing an estimate of the uranium grade based on the radioactivity measured. Core from each mineralized interval was halved with a diamond saw on-site and half core samples were delivered to ACME Laboratory�s preparation facility in Georgetown, Guyana. Sample blanks and certified standards were inserted at an average frequency of 1 per 25 samples. Sample pulps were then shipped by ACME to their analytical facility in Vancouver, BC, Canada, for analysis for uranium by ICP-MS after hot, four-acid digestion. The other half of the core was logged and is stored on-site, providing a complete record of the geology and mineralized zones drilled.

Mr. Richard Cleath (M.Sc.), Vice President of U3O8 Corp., a Qualified Person within the definition of that term in National Instrument 43-101 of the Canadian Securities Administrators, had overall responsibility for all aspects of target selection and drilling of the Aricheng A target. Mr. Cleath has supervised the preparation of, and verified, the technical information in this release.

Figure 1 � Multiple Uranium-Bearing Structures in the Kurupung Batholith

Map of airborne magnetic data from the Kurupung Batholith overlain with interpreted structures (black lines) that extend between the bounding shear zones of the batholith. Cool colours represent rocks with little magnetism while warm colours represent magnetic rocks. White irregular areas outline the footprints of uranium mineralization drilled by U3O8 Corp. at Aricheng North, Aricheng A, Aricheng Epsilon, Aricheng West, Aricheng Alpha, Aricheng South and Accori North C.

Most uranium found by U3O8 Corp. to date lies within demagnetized faults (cool coloured areas with interpreted principal faults marked by black lines). The mineralized zone at Aricheng A (labelled in red and whose assay results are reported in this press release) is marked by a strong radiometric anomaly and located southeast of the Aricheng North uranium zone, which coincides with another conspicuous radiometric feature.

Clusters of uranium-bearing structures are emerging in two areas (marked by blue boxes) of the Kurupung Batholith, while many areas with similar geophysical signatures remain to be comprehensively explored. Geologically similar albitite-hosted uranium systems worldwide typically have resources in the 50 to 130 million pound range, contained in multiple zones within a coherent structural system.

Figure 2 � Drill Hole Locations at Aricheng A

Plan view of the location of the seven bore holes drilled in the scout drilling program on the Aricheng A target (results reported in this press release). The collar position of each hole is shown as a yellow dot. The coloured background is radiometric data from a field survey (warm colours indicate areas with higher radioactivity). Aricheng A is located on a conspicuous radiometric anomaly, which is situated southeast of the uranium zone previously drilled at Aricheng North, marked by another strong radiometric feature.

Figure 3 � Long Section of the Aricheng A

A provisional long section of the Aricheng A structure shows the distribution of grade-thickness values (the product of the width of the mineralized interval and its U3O8 grade in %) on a vertical projection of the structure. The coloured circles demarcate the pierce points of exploratory scout drilling on the structure. A pierce point is the approximate location at which each bore hole intersects the structure.

About U3O8 Corp.

U3O8 Corp. is a Canadian uranium exploration company based in Toronto, Canada. Currently focused on uranium exploration in the Roraima Basin in Guyana, South America, U3O8 Corp. has exclusive uranium exploration rights in an area covering approximately one million hectares that straddles the edge of the Roraima Basin in Guyana. The company is advancing a two-pronged exploration strategy that focuses on: (1) exploration for multiple uranium-bearing structures within structural systems in the basement adjacent to the Roraima Basin with the concept that the individual breccia zones could potentially aggregate to a significant total resource; and (2) exploration for unconformity-related uranium deposits near the base of the Roraima Basin, which are similar to those of the prolific Athabasca Basin in Saskatchewan.

For further information on the company�s properties, please refer to the technical reports prepared for the company by Dahrouge Geological Consulting Ltd. and dated September 15, 2006 as amended and restated December 12, 2006; and U3O8 Corp�s NI 43-101 resource as detailed in the NI 43-101 report titled �A Technical Review of the Aricheng North and Aricheng South Uranium Deposits in Western Guyana for U3O8 Corp. and Prometheus Resources (Guyana) Inc.� by Watts, Griffis and McOuat dated January 14, 2009, available on SEDAR at and on the company�s website

On February 17, 2010, U3O8 Corp. announced the acquisition of Mega Uranium Ltd�s South American uranium properties, which is expected to close on or about March 31, 2010.

Forward-Looking Statements
Certain information set forth in this news release may contain forward-looking statements that involve substantial known and unknown risks and uncertainties. These forward-looking statements are subject to numerous risks and uncertainties, certain of which are beyond the control of U3O8 Corp., including, but not limited to, the impact of general economic conditions, industry conditions, volatility of commodity prices, risks associated with the uncertainty of exploration results and estimates, currency fluctuations, dependence upon regulatory approvals, the uncertainty of obtaining additional financing and exploration risk. Readers are cautioned that the assumptions used in the preparation of such information, although considered reasonable at the time of preparation, may prove to be imprecise and, as such, undue reliance should not be placed on forward-looking statements.

Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.

For more information, please contact

U3O8 Corp.
Nancy Chan-Palmateer
VP, Investor Relations
(416) 868-1491
nancy@u3o8corp.com
or
U3O8 Corp.
Richard Spencer
President & CEO
(416) 868-1491
richard@u3o8corp.com
/> or
Mega Uranium Ltd.
Richard Patricio
Executive VP, Corporate Affairs
(416) 643-7630

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