Location:	Emery County, Utah
Property Position:	State Mineral Lease (640 acres) and 61 Lode Mining Claims
Ownership:	100%
Grades:	0.05% -- 1.0%
Comments:	Historic resource of 2.2 million pounds of U3O8 (non NI 43-101 compliant, and should not be relied on)

The Cedar Mountain Project lies on the northern flank of the San Rafael Swell and covers a three square mile area that encompasses the south rim of Cedar Mountain and its north-trending flat mesa area, approximately 15 miles east of Castle Dale, Utah. Uranium mineralization is shallow and exists in the Brushy Basin Member of the Jurassic Morrison Formation about 50 feet below the top of Cedar Mountain mesa. Overlying the Brushy Basin and capping the mesa area is a 20- to 25-foot-thick sequence of Lower Cretaceous Cedar Mountain Formation conglomerate. Both units are relatively flat-lying.

Uranium mineralization is exposed continuously in outcrop as a 5- to 10-foot-thick, distinctive buckskin-colored zone or horizon in variegated Brushy Basin mudstone and fine-grained sandstone for about 2,000 feet along the cliff that forms the south edge of Cedar Mountain. This mineralization exists as a flat-lying sheet or horizon that extends north, northwest, northeast, and east back under the mesa

Results of historical drilling indicate that shallow mineralization, occurring between about 45 feet and 150 feet, extends into the subsurface under Cedar Mountain throughout the area covered by Magnum's land position. Approximately 150 drill holes were sunk on portions of the State lease during the late 1960's and mid 1970's by companies which included Kerr-McGee, Minerals Exploration Corporation and ARCO. Based on drill logs from only 20 holes on the State lease, a mineral resource of 1.5 million pounds of U3O8 at a grade of 0.05% was estimated. Magnum has completed a more detailed internal resource calculation which indicates a resource of 2.2 million lbs of U3O8. Although considered relevant, the reader is cautioned that this resource estimate does not comply with the guidelines of National Instrument 43-101 and should not be relied upon.

Magnum Exploration Activities

Magnum has completed a program of surface sampling of the 5 to10-foot-thick, 2,000-foot-long, continuously mineralized south rim blanket zone, which has returned assays ranging from 0.08% to 1.01% U3O8 and reveals visible carnotite in the mineralized mudstone and sandstone. Certain previous drill holes have been located in the field and most of the historic drill data have been obtained and are being compiled.

Maps & Photos

Cedar Mountain 423 KB, approx. 1 minute, 20 seconds at 56.6Kbps