Greenpeace eyeing Tournigan uranium project

Vancouver – Keeping local residents informed about its plans to develop a uranium mine in eastern Slovakia has become a priority for Tournigan Gold (TVC-V, TVCZF-O), now that the companys activities are being closely watched by Greenpeace.

We have no doubt that its economic, said Tournigan spokesman Patrick Soares, in reference to the companys Jahodna project.

Confidence levels in the viability of the project, he said, have only been boosted by the discovery of a new mineralized zone to the southeast of the main deposit at Jahodna.

However, company officials are mindful of the fact that the work they are doing has attracted the attention of Greenpeace despite recent efforts by Tournigan to win the support of NGOs.

Greenpeace has been active in Slovakia trying to put a damper on our project, said Mr. Soares.

As a result, he said, the company is planning to consult with residents of Kosice and other communities near the site before making any formal announcements about its future exploration and development plans.

The new zone of relatively shallow uranium-molybdenum mineralization was intersected by two of the 14 holes that were part of the companys most recent exploration campaign.

Highlights included hole KG-J-14, which returned five metres of 0.54% U308 (including two metres of 1.45% U308, one metre of 2.7%U308, and 0.5 metres of 5.34%U308).

Results from that batch of assay results drove Tournigan shares up 48cents or 17% to $3.38 on the TSX Venture Exchange, Feb. 14, the day they were released.

The new zone is located about 200 metres along strike and southeast of the main Jahodna deposit, which hosts an inferred resource of 18.2 million pounds of uranium oxide (U308) at a grade of 0.66%U308. That material is contained in 1.2 million tonnes, with a cut-off grade of 0.035% U308.

An independent preliminary assessment prepared by ACA Howe International Ltd. and delivered to Tournigan in April, 2006, modelled an underground operation with a per-year production rate of 100,000 tonnes.

At the time, production costs were estimated at US$9.15 per pound for an estimated internal rate of return of 44% using a U3O8 price of US$35.00. (U.S.). However, a tight market for uranium, has since sent spot prices soaring to US$75 a pound.

Mr. Soares said the next step is to secure permits for an 8,000-10,000 metre drill program aimed at advancing the project toward a full feasibility study, which could begin as early as next year. Thats the general plan, he said.

However, the company plans to hold talks with local community leaders before making any detailed announcements about its 2007 exporation program. We want to keep the community appraised of what we are doing, he said.