CAU Canyon Resources Corp

GOLDEN, Colo., Aug. 22 /PRNewswire-FirstCall/ -- Canyon Resources Corporation (AMEX:CAU), a Colorado-based mining company, is pleased to report on the recent acquisition activities of its uranium program in Wyoming. In the early 1980s, Canyon conducted an aggressive uranium exploration program in the western United States. Recently, the Company made the decision to review its historic files and reactivate one of its prior projects in Wyoming. Canyon Resources has acquired mineral rights on approximately 3,500 acres by claim staking in three separate locations within the program area, located along the southern end of the Powder River Basin in Wyoming. Drilling during 1981 and 1982 in the program area by Canyon and a prior joint venture partner, Aquintaine Mining Corporation, consisted of 88 drill holes for approximately 69,000 feet. Within the program area, uranium drill hole intercepts, as defined by down hole gamma logging, showed a range of grades of up to 0.43% equivalent U3O8. This program identified the potential for multiple uranium roll fronts. Additionally, a separate third company drilled out a reported three million pounds of uranium oxide material in the program area. It is believed that they drilled approximately 114 drill holes for about 68,000 feet. "The reactivation of one of Canyon's prior uranium programs represents an opportunity for the discovery of uranium deposits in Wyoming. While the Company will continue a focus on gold, we are pleased to be able to develop value for our shareholders from prior exploration activities conducted. We are considering our options for this program, which may include seeking a joint venture partner to fund and continue the uranium exploration program," stated James Hesketh, President and CEO of Canyon Resources. Uranium mineralization in the program area is hosted in the Chadron Formation, which is composed of sandstones, conglomerates, and red to green siltstones and claystones. The sandstones are lenticular in nature and average from 5- to 20-feet in thickness and occasionally range up to 45-feet thick. All of the claims are underlain by the uranium host rocks of the Chadron Formation. The Crow Butte uranium deposit, currently being mined by Crow Butte Resources Inc., a subsidiary of Cameco Corporation, using in situ leach methods, is also hosted in the sandstones of the Chadron Formation. Crow Butte is located in Nebraska about 80 miles to the east of the Company's project area in Wyoming. Crow Butte has been producing uranium for over a decade and originally was reported to contain up to 30 million pounds of U3O8. Actual results may differ materially from any forward-looking statement whether expressed or implied in this news release. The following risks and uncertainties which could cause actual results to vary include, but are not limited to speculative nature of mineral exploration, precious metal prices, production and reserve estimates, production costs, cash flows, environmental and governmental regulations, availability of financing, judicial proceedings and force majeure events and other risk factors as described from time to time in the Company's filings with the Securities and Exchange Commission. Most of these factors are beyond the Company's ability to control or predict. FOR FURTHER INFORMATION, CONTACT: James Hesketh, President and CEO, (303) 278-8464 Gary Huber, VP Finance and Corporate Development, (303) 278-8464 http://www.canyonresources.com/ DATASOURCE: Canyon Resources Corporation CONTACT: James Hesketh, President and CEO, +1-303-278-8464, or Gary Huber, VP Finance and Corporate Development, +1-303-278-8464, both of Canyon Resources Corporation Web site: http://www.canyonresources.com/

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