Homeland Uranium to acquire Skull Creek project

Mr. Roger Lemaitre reports HOMELAND TO ACQUIRE HISTORICAL URANIUM RESOURCES AT SKULL CREEK Homeland Uranium Corp. has entered into an agreement to acquire the Skull Creek uranium project in Moffat county, Colorado. Skull Creek is located adjacent to the company's Red Wash project and is approximately 20 miles (33 kilometres) west of Homeland's flagship Coyote Basin uranium project. The property is being acquired from Hightest Resources, a privately owned Nevada-based private prospect generator. SCP Resource Finance acted as adviser to the company on the transaction. Highlights Historical resource estimate reported for the property of 44.2 million pounds U3O8 (triuranium octoxide) at an average grade of 0.31 per cent U3O8 (see cautionary note on historical estimates below). Uranium mineralization has been observed at surface and extends at depth to as much as 800 feet vertical, according to downhole gamma probing data currently in the company's possession. The property is 1,489 acres (3,6780 hectares) in size and consists of 154 unpatented mining claims administered by the U.S. Bureau of Land Management (BLM) and one State of Colorado exploration lease. The property has potential synergies with the adjacent Red Wash project and the company's nearby Coyote Basin project. The company is renaming the mineralization the Cross Bones deposit. "We are thrilled to add a substantial historical uranium deposit to our portfolio, strategically located in close proximity to our existing assets in mining-friendly Colorado. This addition offers significant potential for operational synergies and further strengthens our position in the region. With this acquisition, our asset base will be anchored by a dominant land package with two considerable historical uranium deposits with outstanding expansion potential. We are eager to launch a major drill program aimed at systematically upgrading these historical resource estimates to modern standards while continuing to demonstrate the scale and growth potential of our portfolio," stated Roger Lemaitre, president and chief executive officer of Homeland. A historical resource estimate was reported for Skull Creek in Energy Metals Corp.'s Sept. 30, 2006, quarterly financial statements filed with the SEC (U.S. Securities and Exchange Commission) and was contained within the same table in which the historical resource estimate was reported for the Coyote Basin project. The historical resource was called the Skull Creek deposit and was reported to be 44.2 million pounds of U3O8 at an average grade of 0.31 per cent U3O8. The company hereby is renaming the mineralization the Cross Bones deposit to avoid confusion with a nearby but off-property and older small uranium occurrence that was also named Skull Creek. Based upon the company's review of historical claim maps, it is believed that the Cross Bones historical resource lies within the acquired Skull Creek mining claims or may possibly extend slightly onto some of the adjacent Red Wash claims that are currently owned by Homeland. However, neither the company nor the qualified person can confirm the exact location of the boundaries of the Cross Bones historical estimate, the quality of the historical resource and how it compares with current CIM (Canadian Institute of Mining, Metallurgy and Petroleum) and National Instrument 43-101 requirements (as defined below), nor can the qualified person provide any opinion on all data verification processes used by the historical operators to determine this historical resource estimate, as those data are not in the possession of the vendor or the company nor are in the public record. The company is not treating this historical resource estimate as current mineral resources and the reader is cautioned not to rely on it. A qualified person (as defined under NI 43-101, Standards of Disclosure for Mineral Projects) has not done sufficient work to classify the historical resource estimate as current mineral resources or mineral reserves, nor can the company or the qualified person comment on the quality or verify the data obtained from the assay sampling program used to determine the historical resource estimate, as this information was not included in the historical reports acquired by Homeland. The company is not treating the historical resource estimate as current mineral resources or mineral reserves and the company and the qualified person are unable to compare the historical resources to the CIM's current resource classification system at this time. The Skull Creek project and any future NI 43-101 mineral resource estimate will require considerable further evaluation. Uranium mineralization was first found on the property in the 1950s. Data acquired by the company show that two companies, Anschutz Uranium Corp. and Ashland Minerals, drilled the first drill holes into the Cross Bones area in 1977 and 1978. The property was also abandoned in the early 1980s following the historic collapse of the uranium and nuclear industries. The property was staked in 2005 by Standard Uranium, which was acquired by Energy Metals Corp. in 2006. Energy Metals expanded the claimholdings around the core part of the property and subsequently optioned the claims to Bluerock Resources Ltd. There are no records to indicate that Bluerock vested any interest in the Skull Creek property. The mining claims comprising the property were allowed to expire after Energy Metals was acquired by Uranium One in 2007. Hightest acquired the current Skull Creek property by staking in December, 2023, and February/March, 2024. The company currently owns data from 53 historical Anschutz and Ashland holes drilled between 1977 and 1978, which are all located in the Cross Bones area and include lithology and gamma probe information. However, the precise collar location of these holes is currently unknown. The data set indicates that anomalous radioactivity was intersected at depths as great as 800 feet from surface, although the vast majority of these historical holes only test the favourable stratigraphy above the 280-foot vertical depth from surface. Private company reports and summaries from the Colorado Geological Survey (Nelson-Moore et al., 1978) state that uranium mineralization is located within sandstones, carbonaceous siltstones and shales or thinly bedded lignites within the Iles sandstone (sometimes called the Sego sandstone), a member sandwiched between the Cretaceous-aged Williams Fork and Mancos shale formations. The Williams Fork formation immediately underlies the Paleocene-aged Fort Union formation, host of the mineralized horizons at the company's nearby Coyote Basin project. The stratigraphy in the Skull Creek area dips to the south at 45 to 55 degrees and lies along the northern limb of the Red Wash syncline. All 154 claims comprising the Skull Creek property are located on federal BLM lands. The single state exploration lease is administered by the State of Colorado (the SEP lands). Pursuant to the agreement, Homeland will pay Hightest $300,000 (U.S.) cash and issue 750,000 common shares of Homeland to acquire a 100-per-cent interest in the property. Hightest will retain a 2-per-cent NSR (net smelter return) royalty on all mineral production from the property with the exception of production from the SEP lands, where the royalty will be reduced to 1.5 per cent. The royalty can be reduced to 1 per cent should Homeland issue an additional payment of $1.5-million (U.S.) at any time before delivering to Hightest a notice of the intention to commence commercial production from a mineral deposit located wholly or partially within the property. Hightest will also receive potential contingency payments based upon the size of any uranium resource defined on the property consistent with NI 43-101 standards. Should a mineral resource equal to 10 million pounds U3O8 be defined, Homeland will pay to Hightest an additional $250,000 (U.S.) in cash and the equivalent of $250,000 (U.S.) in common shares of Homeland based on the 10-day VWAP (volume-weighted average price) immediately prior to the date that Homeland receives the technical report citing resources written by an independent qualified person. Should the mineral resource be equal to or greater than 30 million pounds U3O8, Homeland will pay Hightest an aggregate of $500,000 (U.S.) in cash and the equivalent of $500,000 (U.S.) in common shares of Homeland (inclusive of any payments made and shares issued pursuant to the previous sentence). If the mineral resource is between 10 million pounds and 30 million pounds U3O8, Homeland will pay to Hightest a cash payment and common shares payment determined on a pro rata basis ranging between the 10-million-pound-U3O8 and 30-million-pound-U3O8 thresholds as described above. The transaction including all payments, royalties and contingency payments are subject to regulatory and TSX Venture Exchange approval. Common shares issued in connection with the transaction will be subject to a statutory hold period of four months plus one day from the date of issuance. About Homeland Uranium Corp. Homeland Uranium is a mineral exploration company focused on becoming a premier U.S.-focused and resource-bearing uranium explorer and developer. The company is the 100-per-cent owner of the Coyote Basin and Red Wash uranium projects in northwestern Colorado. The Coyote Basin project is reported by Energy Metals in its management discussion and analysis dated Nov. 14, 2006, filed with the U.S. Securities and Exchange Commission to contain an estimated historical resource of 8.85 million tons grading 0.20 per cent U3O8 and 0.10 per cent V2O5 (vanadium pentoxide) totalling 35.4 million pounds of U3O8 and 17.7 million pounds of V205. This resource was calculated by the previous project operator, Western Mining Resources, based on a 1978-1979 program of surface sampling, coring, drill-hole chip sampling and gamma logging of 24 widely spaced holes. The company is not treating this historical resource as current mineral resources and the reader is cautioned not to rely on it. The reader is cautioned that a qualified person (as defined under NI 43-101) has not done sufficient work to classify the historical resource as current mineral resources or mineral reserves, nor can the company or the qualified person comment on the quality or verify the data obtained from the assay sampling program used to determine the historical resource estimate, as this information was not included in the historical reports acquired by Homeland. The company is not treating the historical resource as current mineral resources or mineral reserves and the company and the qualified person are unable to compare the historical resources to the CIM's current resource classification system at this time. The Coyote Basin project and any future NI 43-101 mineral resource estimate will require considerable further evaluation. Qualified person Roger Lemaitre, PEng, PGeo, the company's president and chief executive officer, is a qualified person as defined in NI 43-101 and has reviewed and approved the technical content of this news release. We seek Safe Harbor.