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CanAlaska and Korean Partners Agree on Cree East Uranium Project Buyout

Corporate Updates

TSX Venture Exchange: CVV

NEWS RELEASE

CanAlaska and Korean Partners Agree on Cree East Uranium Project

Buyout

Vancouver, Canada, May 18, 2017 – CanAlaska Uranium Ltd. (TSX-V: CVV; OTCQB:

CVVUF; Frankfurt: DH7N) “the Company” is pleased to announce that the Company and its

Korean partners, Hanwha, KORES, KEPCO and SK, have entered into a buy back agreement

for the Korean Partners’ 50% interest in the Cree East uranium project Limited Partnership. The

Cree East Project covers 57,752 ha (223 square miles) of highly prospective terrain in the

eastern Athabasca basin. CanAlaska will buy back the 50% interest in the Limited Partnership

earned by the Korean partners (the “Partners”) in consideration for certain indemnities which it

will provide to the Partners. In addition, all funds previously invested by the Partners that are

held in the Partnership’s bank account on the date of closing will be returned to the Partners at

closing.

News Release Page 2 May 18, 2017

Since 2007 the Korean Partners have funded $20 million of exploration on the Cree East Project,

and delineated multiple zones of uranium mineralization associated with graphitic conductors

and large hydrothermal alteration halos, both in basement and sandstone environments, at

depths ranging from 100 metres to 450 metres below surface. The systematic multi-phase

exploration programs on the project were reduc ed in scale in 2011 and exploration drilling has

been suspended since 2012. The property has two priority exploration targets at Zone A and

Zone B, where uranium has been discovered above and below the unconformity, which is

located at approximately 400 metres depth. The partnership has maintained a diamond drill at

the site of Zone B mineralization since 2014, however the protracted slowdown in the uranium

market has precluded any further activity by the Limited Partnership and its management.

President Peter Dasler commented, “CanAlaska is very grateful for the support of each of the

four Korean Industry Partners management and staff for their guidance and financial support on

the project. CanAlaska is now tasked with finding new partnerships to advance the drill testing

of the targets that have been detailed through our partners’ persistence.”

In other news, CanAlaska has accepted the termination of property sales agreements with

Fjordland Exploration Inc. and Canterra Minerals Corporation for certain diamond exploration

properties in the western Athabasca. CanAlaska retains a 100% unencumbered interest in

these properties.

The qualified technical person for this news release is Dr. Karl Schimann, P. Geo., VP

Exploration for CanAlaska.

About CanAlaska Uranium

CanAlaska Uranium Ltd. (TSX-V: CVV; OTCQB: CVVUF; Frankfurt: DH7N) holds interests in

approximately 500,000 hectares (1.2 million acres), one of the largest land positions in

Canada’s Athabasca Basin region – the "Saudi Arabia of Uranium.” CanAlaska’s strategic

holdings have attracted major international mining companies Cameco, Denison, KORES, and

KEPCO. CanAlaska is a project generator posi tioned for discovery success in the world’s

richest uranium district. For further information visit www.canalaska.com.

On behalf of the Board of Directors

“Peter Dasler”

Peter Dasler, M.Sc., P.Geo.,

President & CEO,

CanAlaska Uranium Ltd.

Contacts:

Peter Dasler

President

Tel: +1.604.688.3211 x 138

Email: [email protected]

News Release Page 3 May 18, 2017

John Gomez

Corporate Development

Tel: +1.604.484.7118

Email: [email protected]

Neither 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.

Forward-looking information

All statements included in this press release that address activities, event s or developments that the Company

expects, believes or anticipates will or may occur in the future are forward-looking statements. These forward-looking

statements involve numerous assumpti ons made by the Company based on its ex perience, perception of historical

trends, current conditions, expected future developments and other factors it believe s are appropriate in the

circumstances. In addition, these statements involve s ubstantial known and unknown risks and uncertainties that

contribute to the possibility that the predictions, forecasts, projections and other forward-looking statements will prove

inaccurate, certain of which are beyond the Company’s control. Readers should not place undue reliance on forward-

looking statements. Except as required by law, the Company does not intend to revise or update these forward-

looking statements after the date hereof or revise them to reflect the occurrence of future unanticipated events.