broker's report, page-2

this from miningnews.net New uranium targets for OmegaCorp

Michael Vaughan
Wednesday, May 03, 2006

AFRICAN uranium explorer OmegaCorp has identified a number of significant anomalies at its Mavuzi project in Mozambique, with the most promising areas set to be drilled in the second half of the year.

"What we're trying to point out is the anomalies identified post-drilling appear to be of a considerable tenor larger than those identified when we did the initial radiometrics over the old (Mavuzi) mine area," OmegaCorp managing director Matthew Yates told MiningNews.net.

"We've only covered about 15 or 16 square kilometres out of a 700sq.km area," he said.

Yates said the company intends to continue its program of field work, which involves gridding, mapping and sampling, before conducting an aeromagnetic and radiometric survey of the entire project area.

Results from this work will prioritise targets for drill testing in the second half of the year.

Drilling at Mavuzi in late 2005 returned a best hit of 8m at 0.1% uranium oxide.

Shares in the company have been surging upwards since the start of the year. The stock began 2006 at 25c and put on 5.5c (5.8%) to be 87c in midday trade.

OmegaCorp was formed in 2004 via the de-merging of Renewable Energy's heavy mineral sands interests in Tanzania. Renewable Energy had earlier been formed out of the ashes of Tanganyika Gold, a company that held gold, vanadium, and other mineral prospects in Africa and Australia.

Shares issued at 20c in July 2004 raced to around 90c a year later before a four-for-one share split was initiated in mid-2005.