U.S. ENERGY CORP., CRESTED CORP. AND U.S. MOLY CORP. SIGN EXPLORATION, DEVELOPMENT AND MINE OPERATING
AGREEMENT WITH KOBEX RESOURCES LTD.
Riverton, WY (April 5, 2007)—U.S. Energy Corp. (NASDAQ Capital Market: “USEG”) and Crested Corp. (OTCBB: “CBAG”), natural resource exploration and development companies, are pleased to announce the signing of a definitive Exploration, Development and Mine Operating Agreement with Kobex Resources Ltd. (“Kobex”). The agreement outlines the terms under which Kobex will operate the project and earn up to a 65% interest in the project if certain terms and conditions are met.
Upon receiving TSX Venture Exchange approval of the transaction, U.S. Energy Corp. and Kobex plan to issue a comprehensive project update.
“We are pleased to have signed an operating agreement that will govern the further exploration, development and ultimate operations of the Lucky Jack molybdenum property with Kobex”, stated Mark Larsen, President of U.S. Energy Corp. He added, “Kobex has been a tremendous partner to work with since signing our Amended Letter Agreement in December 2006. We look forward to continuing our work hand in hand with them and the local communities well into the future and to providing the market with a comprehensive update on the project in the near future”.
Disclosure Regarding Mineral Resources Under SEC and Canadian Regulations; and Forward-Looking Statements
USE and Crested (the “Company”) own or may come to own stock in companies which are traded on foreign exchanges, and may have agreements with some of these companies to acquire and/or develop the Company’s mineral properties. Examples of these other companies are Sutter Gold Mining Inc., Uranium Power Corp., sxr Uranium One, and Kobex Resources Ltd. These other companies are subject to the reporting requirements of other jurisdictions.
United States residents are cautioned that some of the information available about our mineral properties, which is reported by the other companies in foreign jurisdictions, may be materially different from what the Company is permitted to disclose in the United States.
This news release includes statements which may constitute “forward-looking” statements, usually containing the words “believe,” “estimate,” “project,” “expect," or similar expressions. These statements are made pursuant to the safe harbor provision of the Private Securities Litigation Reform Act of 1995. Forward-looking statements inherently involve risks and uncertainties that could cause actual results to differ materially from the forward-looking statements. Factors that would cause or contribute to such differences include, but are not limited to, future trends in mineral prices, the availability of capital, competitive factors, and other risks. By making these forward- looking statements, the Company undertakes no obligation to update these statements for revision or changes after the date of this release.
For further information on the differences between the reporting limitations of the United States, compared to reports filed in foreign jurisdictions, and also concerning forward-looking statements, please see the Company’s Form 10-K (“Disclosure Regarding Forward-Looking Statements”; ”Disclosure Regarding Mineral Resources under SEC and Canadian Regulation,”; and “Risk Factors”); and similar disclosures in the Company’s Forms 10-Q.
For further information, please contact:
Keith G. Larsen, CEO or Mark Larsen, President
U.S. Energy Corp. (307) 856-9271
