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Uranium Resources plc [URA .L]up ~60% overnight :

Drilling Report
21 November 2006
Tanzanian Uranium Project

August 2006 Field Work Initial Results Identify Uranium Mineralisation

HIGHLIGHTS
# Trenches show visible uranium mineralisation
# Best assay results include the following visibly mineralised selective grab samples;
# 55,600ppm (5.56%)U*
# 35,880ppm (3.59%)U*
# 18,800ppm (1.88%)U*
# Five ground radiometric anomalies identified over 2 km strike
# Airborne radiometric anomalies along 7 km trend
# Field work has commenced to further evaluate project area

*All results are in ppm uranium with analysis method accuracy quoted at +/- 100 ppm U. For conversion to U3O8 the uranium ppm values should be multiplied by 1.18.

Summary

The Board of Uranium Resources is pleased to announce the initial results of field work conducted on the Mtonya Uranium Prospect in Tanzania by its farm-in partner, Western Metals Limited (ASX:WMT, www.westernmetals.com.au). Under the farm in agreement Western Metals will earn 40% after spending A$2m and can earn a further 20% by spending a further A$2m.

These initial results are the first 53 assays from a total of 100 collected at the Mtonya Project in August. The remainder of the results will be announced when they have been received and verified.

Western Metals' Managing Director George Bauk said, 'These results are highly encouraging and provide the company with walk up drill targets. These results cover 2km of the 7km trend previously identified by airborne radiometric surveys and we are optimistic that more targets will be found. We have a field crew on the ground at the moment extending our data set on this area. This field work will cover approximately 50 km2 of the total 2,500 km2 in the Mtonya Project'.

The Mtonya Project

The Mtonya Project area is in southern Tanzania. Previous field checking of an airborne radiometric anomaly gave a surface spot assay of 980ppm U3O8. This anomaly was subsequently named the Henri Anomaly.

Western Metals conducted field work in August 2006 to evaluate the Henri Anomaly in more detail. A field crew spent two weeks conducting ground based radiometric surveys, trench sampling, geological mapping and surface sampling.

The ground radiometric surveys identified five anomalous areas of radioactivity within an area of 2 kilometers length and a width, at surface, ranging from 100 to 300 metres. The anomalous trend defined by historic airborne radiometric survey extends over 7 kilometres. Field work to date has focused on only 2 kilometres of this trend.

At the Henri Anomaly, interpretation of the radiometric data indicates the existence of three sub-horizontal anomalous layers each separated by approximately 8 vertical metres. Approximately 25 vertical metres of the sedimentary section has been surveyed so far via mapping and trenching of exposed ridges. Drilling will be required to test the anomalies to depth.

Trenching was conducted on several of the anomalous areas at Henri with six trenches dug to approximately 1.25 metres depth. Two of the trenches exposed visible uranium mineralisation in sub-horizontal bands within a sandstone host.

The discrete visibly mineralised bands varied between 10cm to 60cm in apparent thickness. Assay results and radiometric data from Trench 1 indicate a sub-horizontal zone of mineralisation extending from approximately 0.25 - 0.5 metres below surface to the base of the trench. The thickness of the mineralised zone cannot be determined until deeper excavations are completed as high grade assays continued to the base of the trench.

Selective grab samples were also collected from Trench 1. These samples contained visible secondary uranium mineralisation with the results and descriptions summarised in Table 1.

Sample Co-ordinates Uranium Comment
Number Longitude (E) Latitude (S) ppm

AO 017 36 degrees 31'18.1' 10 degrees 32'51.0' 18,800 Trench 1 - Visible uranium
mineralisation in sandstone host

AO 018 36 degrees 31'18.1' 10 degrees 32'51.0' 55,600 Trench 1 - Visible uranium
mineralisation in sandstone host

AO 019 36 degrees 31'17.9' 10 degrees 32'50.6' 35,880 Trench 1 - Visible uranium
mineralisation in sandstone host

AO 020 36 degrees 31'20.1' 10 degrees 32'57.2' 2,965 Soil sample, hand picked visible U
from shallow hole

AO 021 36 degrees 31'20.1' 10 degrees 32'57.0' 9,600 Soil sample, hand picked visible U
from shallow hole

AO 070 36 degrees 31'18.1' 10 degrees 32'51.0' 15,490 Composite - mixed mineralised trench
spoil

AO 090 36 degrees 31'18.1' 10 degrees 32'51.0' 14,181 Composite - mixed mineralised trench
spoil

Table 1- Mineralised selective grab sample results - Henri Anomaly



In addition to the trench samples, surface samples were collected from the
broader area of the anomalous zones via shallow sample pits. Many of these
samples have returned values in excess of 100ppm uranium indicating a broader
zone of anomalous values away from the trenches. A full evaluation of this data
will be conducted when all results are received.



Current Field Program

A field program has commenced this week in the area with the aim of:
# Extending the detailed ground radiometric evaluation of the Henri anomaly area
# Conducting ground radiometric surveys over potential strike extensions particularly to the northeast.
# Conducting further trenching and sampling of radiometric anomalies.
# Evaluating access for drilling equipment for a program to be conducted in 2007.

A detailed low level airborne radiometric survey to assist locating further anomalous zones in the project area will be conducted in 2007, contingent upon availability of aircraft and suitable weather conditions.

Tabulation of all results received to date is shown in Table 2.

Table 2 Full List of Assay Results Received


Sample Co-ordinates Uranium Comments
Number Longitude (E) Latitude (S) ppm

A0-017 36 degrees 31'18.1' 10 degrees 32' 51.0' 18,800 sandstone, trench 1 hand picked high grade visible U
A0-018 36 degrees 31'18.1' 10 degrees 32' 51.0' 55,600 sandstone, trench 1 hand picked high grade visible U
A0-019 36 degrees 31'17.9' 10 degrees 32' 50.6' 35,880 sandstone, trench 1 hand picked high grade visible U
A0-020 36 degrees 31'20.1' 10 degrees 32' 57.2' 2,965 soil sample, hand picked visible U from shallow hole
A0-021 36 degrees 31'20.1' 10 degrees 32' 57.0' 9,600 soil sample, hand picked visible U from shallow hole
A0-024 36 degrees 31'19.9' 10 degrees 33' 4.9' 42 sandstone grab sample from shallow hole
A0-025 36 degrees 31'20.8' 10 degrees 32' 57.0' 23 soil sample, hand picked visible U from shallow hole
A0-027 36 degrees 31'34.4' 10 degrees 33' 31.7' 42 sandstone grab sample from shallow hole
A0-035 36 degrees 31'18.1' 10 degrees 32' 51.0' 178 sandstone channel sample, trench 1
A0-036 36 degrees 31'18.1' 10 degrees 32' 51.0' 2,650 sandstone channel sample, trench 1
A0-037 36 degrees 31'18.1' 10 degrees 32' 51.0' 4,600 sandstone, trench 1 hand picked high grade visible U
A0-039 36 degrees 31'18.1' 10 degrees 32' 51.0' 550 sandstone channel sample, trench 1
A0-042 36 degrees 31'18.1' 10 degrees 32' 51.0' 3,228 sandstone channel sample, trench 1
A0-043 36 degrees 31'18.1' 10 degrees 32' 51.0' 1,080 sandstone channel sample, trench 1
A0-044 36 degrees 31'18.1' 10 degrees 32' 51.0' 107 sandstone channel sample, trench 1
A0-045 36 degrees 31'18.1' 10 degrees 32' 51.0' 7,030 sandstone channel sample, trench 1
A0-046 36 degrees 31'18.1' 10 degrees 32' 51.0' 3,002 sandstone channel sample, trench 1
A0-047 36 degrees 31'18.1' 10 degrees 32' 51.0' 150 sandstone channel sample, trench 1
A0-048 36 degrees 31'18.1' 10 degrees 32' 51.0' 148 sandstone channel sample, trench 1
A0-049 36 degrees 31'18.1' 10 degrees 32' 51.0' 7,232 sandstone channel sample, trench 1
A0-051 36 degrees 31'18.1' 10 degrees 32' 51.0' 145 sandstone channel sample, trench 1
A0-052 36 degrees 31'18.1' 10 degrees 32' 51.0' 2,630 sandstone channel sample, trench 1
A0-053 36 degrees 31'18.1' 10 degrees 32' 51.0' 3,510 sandstone channel sample, trench 1
A0-063 36 degrees 31'17.9' 10 degrees 32' 50.6' 1,350 sandstone channel sample, trench 2
A0-067 36 degrees 31'20.6' 10 degrees 32' 49.2' 41 sandstone channel sample, trench 3
A0-069 36 degrees 31'20.6' 10 degrees 32' 49.2' 54 sandstone channel sample, trench 3
A0-070 36 degrees 31'18.1' 10 degrees 32' 51.0' 14,181 miscellaneous mineralised surface bulk sample
A0-071 36 degrees 31'20.6' 10 degrees 32' 49.2' 119 sandstone channel sample, trench 3
A0-072 36 degrees 31'20.6' 10 degrees 32' 49.2' 152 sandstone channel sample, trench 3
A0-074 36 degrees 31'20.6' 10 degrees 32' 49.2' 71 sandstone channel sample, trench 3
A0-075 36 degrees 31'18.0' 10 degrees 33' 0.0' 37 sandstone channel sample, trench 4
A0-078 36 degrees 31'18.0' 10 degrees 33' 0.0' 17 sandstone channel sample, trench 4
A0-082 36 degrees 31'18.0' 10 degrees 33' 0.0' 82 sandstone channel sample, trench 4
A0-083 36 degrees 31'18.0' 10 degrees 33' 0.0' 56 sandstone channel sample, trench 4
A0-084 36 degrees 31'18.0' 10 degrees 33' 0.0' 67 sandstone channel sample, trench 4
A0-085 36 degrees 31'18.0' 10 degrees 33' 0.0' 43 sandstone channel sample, trench 4
A0-086 36 degrees 31'18.0' 10 degrees 33' 0.0' 65 sandstone channel sample, trench 4
A0-089 36 degrees 31'18.0' 10 degrees 32' 54.0' 166 sandstone channel sample, trench 5
A0-090 36 degrees 31'18.1' 10 degrees 32' 51.0' 15,490 miscellaneous mineralised grab sample, trench 1
A0-091 31 degrees 31'18.0 10 degrees 32' 54.0' 210 sandstone channel sample, trench 5
A0-092 31 degrees 31'18.1 10 degrees 32' 54.0' 209 sandstone channel sample, trench 5
A0-136 36 degrees 31'44.2' 10 degrees 32' 52.0' 30 sandstone grab sample from shallow hole
A0-137 36 degrees 31'51.1' 10 degrees 32' 51.8' 104 sandstone grab sample from shallow hole
A0-138 36 degrees 32'3.5' 10 degrees 32' 58.8' 23 sandstone grab sample from shallow hole
A0-139 36 degrees 32'4.5' 10 degrees 32' 58.9' 104 sandstone grab sample from shallow hole
A0-140 36 degrees 32'6.0' 10 degrees 32' 54.0' 143 sandstone grab sample creek bank
A0-141 36 degrees 31'23.3' 10 degrees 32' 55.0' 43 sandstone grab sample from shallow hole
A0-142 36 degrees 31'19.7' 10 degrees 32' 23.3' 26 sandstone grab sample from shallow hole
A0-143 36 degrees 31'21.9' 10 degrees 32' 28.0' 108 sandstone grab sample from shallow hole
A0-144 36 degrees 31'21.9' 10 degrees 32' 28.7' 89 sandstone grab sample from shallow hole
A0-145 36 degrees 31'22.4' 10 degrees 32' 29.3' 145 sandstone grab sample from shallow hole
A0-146 36 degrees 31'23.2' 10 degrees 32' 29.9' 313 sandstone grab sample from shallow hole
A0-148 36 degrees 31'25.7' 10 degrees 32' 28.1' 17 sandstone grab sample gully wall



Notes on Table 2:

Samples have been analysed by pressed powder XRF method by SEAMIC laboratory Dar Es Salaam Tanzania. Certified reference standards and blanks have been included by Western Metals in addition to laboratory control standards.

*All results are in ppm uranium with analysis method accuracy quoted at +/- 100 ppm U. For conversion to U3O8 the uranium ppm values should be multiplied by 1.18.

Co-ordinates are WGS84 and have been measured by hand held GPS.

Qualified Person's Declaration

The information in this report that relates to Exploration Results, Mineral Resources or Ore Reserves is based on information compiled by Dr Joseph Drake-Brockman who is a Member of The Australasian Institute of Mining and Metallurgy. Dr Drake-Brockman is employed by Drake-Brockman Geoinfo Pty Ltd. Dr Drake-Brockman has sufficient experience which is relevant to the style of mineralisation and type of deposit under consideration and to the activity which he is undertaking to qualify as a Competent Person as defined in the 2004 Edition of the 'Australasian Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves', and a Qualified Person as defined in the March 2006 Edition of the AIM Guidance Note for Mining, Oil and Gas Companies. Dr Drake-Brockman consents to the inclusion in the report of the matters based on his information in the form and context in which it appears.
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