July 10th

Uracan discovers up to 2.83 pounds per ton U3O8 over 41.7 feet in shallow diamond drilling in Saskatchewan

Uracan Trading Symbol: (TSX - V): URC

HIGHLIGHTS:

- Multiple zones of mineralization including 12.7 meters of 0.142% U3O8 (41.7 feet of 2.83 pounds per ton U3O8) only 30 meters from surface, and 19.5 meters of 0.083% U3O8 (64 feet of 1.66 pounds per ton U3O8) 75 meters from surface
- These drill holes at Portage Zone represent a new discovery in Saskatchewan
- Additional wide zones of uranium mineralization at Narrows Lake, 1 km north of Portage zone Uracan is pleased to announce initial drill results from its 100% owned Pipewrench Lake Property located 100 km south of the Athabasca Basin in Saskatchewan.

A total of 2,596 meters of diamond drilling in 16 holes was completed prior to spring break up. Three zones outlined in the summer 2007 channel sampling and mapping programs were drill tested: Portage Zone, Narrows Lake Zone and the Pipewrench North Zone.

Portage Zone Drilling

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A total of 520.5 meters in four holes was completed on the Portage Zone. The Portage Zone has had no historic drilling and limited historic surface sampling and represents a new discovery on the Pipewrench Lake Property. Follow up surface work is planned during the upcoming summer work program, with additional drilling contemplated for this new discovery area. Three diamond drill holes encountered the mineralized zone with:

    -   12.7 m of 0.142% U3O8 (41.7 feet of 2.83 lb/t U3O8) (08PWL-014)
    -   19.5m of 0.083% U3O8 (63.97 feet of 1.66 lb/t U3O8) (08PWL-014)
    -   7.5m of 0.054% U3O8 (24.6 feet of 1.08 lb/t U3O8) (08PWL-013)
    -   7.5m of 0.039% U3O8 (24.6 feet of 0.78 lb/t U3O8) (08PWL-013)
    -   16.5m of 0.018% U3O8 (54.1 feet of 0.36 lb/t U3O8) (08PWL-015)
  

This drilling targeted uranium mineralization encountered in surface channel sampling in 2007. Uranium mineralization at the Portage showing is hosted by pegmatite dykes and pelitic gneisses.

The exact structural setting and orientation of the mineralized zone at Portage is uncertain, but is thought to be a steeply dipping antiformal fold structure based on geological mapping of the area. The topographic low hosting the Portage Zone mineralized outcrop extends for at least 275 meters, and appears to extend under small lakes to the north and south of the trend.

Mineralization at the Portage Zone is open along strike to the north and south, as well as down dip. Mineralization also extends to surface, as noted in the 2007 channel sampling. There is very good potential that additional uranium mineralization may exist along the eastern limb of the interpreted antiformal structure as well as along strike to the north and south.

Holes 08PWL-013 and 08PWL-014 were drilled off the same drill set up at a 110 azimuth. Hole 08PWL-014 was drilled at a steeper angle (-70 degrees) than hole 13 (-45 degrees). Hole 08PWL-015 was drilled at a 290 azimuth and at a dip of -45 degrees. The two main mineralized zones occur approximately 20 meters apart, and have several narrow mineralized intervals (1.5 to 3 meters wide) between them with grades ranging between 0.019% and 0.062% U3O8. Uranium mineralization is focused in these main mineralized zones.

08PWL-015 was collared approximately 100m south of 08PWL-013 and 08PWL-014 to undercut the area of 2007 channel sampling. This drill hole, collared in the mineralized zone, was drilled at a different orientation to holes 13 and 14 to confirm the dip of the mineralization noted in them. Drill hole 08PWL-016 was drilled at a 110 azimuth from the same setup as 08PWL-015 and did not encounter the mineralized zone, indicating that the mineralization has a steep southwest dip on the western limb of the antiformal structure.

Narrows Lake Drilling

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At the Narrows Lake Zone has had limited historical surface work and diamond drilling in the 1960s and 1970s. Uracan\'s winter 2008 diamond drill program drilled 530 m over three holes and encountered:

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Mineralization in this area is hosted by pegmatites within pelitic gneisses as seen elsewhere on the property. Additional work is planned this summer to further outline the controls of mineralization at Narrows Lake.

Pipewrench North Drilling

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Uracan drilled 1,545 meters in nine holes at the Pipewrench North Zone. Results indicate that the trend of the mineralization is oriented approximately azimuth 220 within a topographic low. Mineralization is hosted by a sequence of pegmatites and pelitic gneisses, with up to 3.27m of 0.046% U3O8 (10.7 feet of 0.92lbs/t U3O8) encountered. Further work on Pipewrench North is planned for the upcoming summer exploration program.

Assay Summary Table

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The Portage, Narrows Lake and Pipewrench North zones occur within Uracan\'s 100km(2) Pipewrench Lake Property which is located within the Wollaston Domain of the Canadian Shield. The Wollaston Domain forms the basement rocks of the majority of the uranium deposits in the Athabasca Basin. It is a prospective area for significant uranium mineralization in Saskatchewan, and is well exposed at surface on the Pipewrench Lake Property.

Selected results from the winter 2008 diamond drill program are listed in the table below:

    ------------------------------------------------------------------------
    Area             Drill Hole    From (m)    To (m)  Length (m)     U3O8%
    ------------------------------------------------------------------------
    Portage           08PWL-013      24.68      32.18        7.5      0.054
    ------------------------------------------------------------------------
    Portage           08PWL-013      38.18      39.68        1.5      0.023
    ------------------------------------------------------------------------
    Portage           08PWL-013      47.18      48.68        1.5      0.062
    ------------------------------------------------------------------------
    Portage           08PWL-013      57.68      65.18        7.5      0.039
    ------------------------------------------------------------------------
    Portage           08PWL-014       38.2       50.9       12.7      0.142
    ------------------------------------------------------------------------
      includes        08PWL-014       39.7         44        4.3      0.383
    ------------------------------------------------------------------------
    Portage           08PWL-014       65.1       68.1          3      0.019
    ------------------------------------------------------------------------
    Portage           08PWL-014       81.1      100.6       19.5      0.083
    ------------------------------------------------------------------------
      includes        08PWL-014       81.1       85.6        4.5      0.214
    ------------------------------------------------------------------------
    Portage           08PWL-015        8.5         25       16.5      0.018
    ------------------------------------------------------------------------
    Pipewrench North  08PWL-001      25.13       28.4       3.27      0.046
    ------------------------------------------------------------------------
    Narrows Lake      08PWL-010       12.6       34.5       21.9      0.016
    ------------------------------------------------------------------------
    Narrows Lake      08PWL-010       85.5      103.5         18      0.020
    ------------------------------------------------------------------------
    Narrows Lake      08PWL-010      167.5      170.5          3      0.052
    ------------------------------------------------------------------------
    

A full listing of the winter 2008 diamond drilling results and drill hole locations will be posted to Uracan\'s website in the near future: www.uracan.ca

Samples were shipped in sealed containers to SRC Geoanalytical Laboratories of Saskatoon Saskatchewan for analysis. SRC Geoanalytical Laboratories is the laboratory facility used for all assays from the Pipewrench Lake Property program. All samples were analyzed using standard ICP partial and total digestion methods.

A QA/QC program was implemented as part of the sampling procedure for the drill program. Field duplicates and field blanks were inserted into the sample stream with at least one blank and one duplicate inserted per group of 24 samples sent to the laboratory. The laboratory also has an extensive in house quality control system.

Uracan Resources Ltd. is a publicly-listed uranium exploration company, exploring for shallow, bulk tonnage style of uranium mineralization in Canada. Uracan is led by a team of proven exploration and mine entrepreneurs and mine-builders. The information in this news release has been prepared and reviewed by Marc Simpson, P. Geo., the Company\'s Qualified Person under National Instrument 43-101 standards.

The TSX Venture Exchange has not reviewed and does not accept responsibility for the adequacy or accuracy of this release. The foregoing information may contain forward-looking statements relating to the future performance of Uracan Resources Ltd. Forward-looking statements, specifically those concerning future performance, are subject to certain risks and uncertainties, and actual results may differ materially. These risks and uncertainties are detailed from time to time in the Company\'s filings with the appropriate securities commissions.

SOURCE: Uracan Resources Ltd.

Gregg J. Sedun, President and CEO, (604) 682-5580; Keith Schaefer, Vanguard Shareholder Solutions, (604) 608-0824