Virginia Energy Resources Inc.

Published : May 28th, 2012

Identifies Resistivity Lows along Black Lake Fault at Fir Island Property, Saskatchewan

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Monday, May 28, 2012

Virginia Energy Identifies Resistivity Lows along Black Lake Fault at Fir Island Property, Saskatchewan

NR: 12-06

Virginia Energy Resources Inc. (TSX.V: VAE) (OTCQX: VAERF) is pleased to report the completion of a 35.4 line-kilometre DC-resistivity survey on its 100% owned Fir Island uranium property, located in the Nisto channel of Black Lake on the northern margin of the Athabasca basin, Saskatchewan. Discovery International Geophysics Inc. completed the survey and Living Sky Geophysics Inc. provided post-survey data interpretation.

2D inversion of the data successfully identified at least six resistivity low features, which are interpreted to extend to depth into the basement rocks, and which occur along the trend of a previously identified MegaTEM conductor adjacent to the regionally important Black Lake fault zone. Experience elsewhere in the Athabasca basin indicates that resistivity low features may represent "hydrothermal alteration conduits" or "pipes", which are known to be associated with unconformity-related uranium deposits. Selected maps and sections are posted on the Company's website at www.virginiaenergyresources.com.

It should also be noted that the small, past-producing Nisto mine occurs approximately 110 m southwest of the Fir Island property boundary (on an adjacent property controlled by other parties) and that one of the resistivity low features is present 700 m southeast of the mine. The depth to the Athabasca basin unconformity is known to be a relatively shallow 150 m below surface in this area, based on two historic drill holes at the mine. No drilling has ever taken place along the Black Lake fault on Virginia's property.

Virginia is very encouraged by the results of the survey, and intends to complete additional DC-resistivity lines in the areas of interest in order to allow full 3D inversion of the data, as recommended by the geophysical consultants. This would be followed by drill testing of the resistivity features.

The technical information in this news release has been reviewed by Michael S. Cathro, P.Geo., Virginia's Vice President of Exploration and a Qualified Person as defined by National Instrument 43-101.

About Virginia Energy Resources Inc.
Virginia Energy Resources Inc. is a uranium development and exploration company that holds a 29% stake in the advanced stage Coles Hill uranium project in Virginia. The Company is also pursuing active exploration programs in the Athabasca Basin of Saskatchewan and in the Otish Basin of Quebec. Virginia Energy Resources Inc. trades on the TSX Venture Exchange under the symbol VAE and on the OTCQX under the symbol VAERF.

On Behalf of the Board of Directors
VIRGINIA ENERGY RESOURCES INC.

Walter Coles Jr., President & CEO

Neither the 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.

 



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Virginia Energy Resources Inc.

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CODE : VAE.V
ISIN : CA9278051011
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Virginia Energy is a gold and cobalt exploration company based in Canada.

Virginia Energy develops gold, cobalt and uranium in USA, and holds various exploration projects in Canada.

Its main asset in development is COLES HILL PROPERTY in USA and its main exploration properties are ALIMAK/DECADE, RKN/GOLDEN HEART AREA, ATHABASCA WESCAN SANTOY JV, OTISH, HATCHET LAKE, HAWK RIDGE, BLIZZARD, DOWLER LAKE, KARPINKA LAKE, THE BOW RIVER, KASMERE LAKE, HAZEMPA LAKE, FIR ISLAND, PATTYSON LAKE, BINGO and MUSTANG LAKE in Canada.

Virginia Energy is listed in Canada, in Germany and in United States of America. Its market capitalisation is CA$ 8.0 millions as of today (US$ 7.2 millions, € 5.2 millions).

Its stock quote reached its highest recent level on February 23, 2007 at CA$ 8.00, and its lowest recent point on April 17, 2009 at CA$ 0.07.

Virginia Energy has 57 230 614 shares outstanding.

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5/14/2007Reports Drilling completed at Fish Hawk Lake, CMB, Labrador
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