TSX-V: URC

    HIGHLIGHTS:
    -   New discovery of significant surface uranium mineralization at C-C-11
        zone with up to 9 metres of 0.046% (0.93 lbs/t) U3O8 and MER zone
        with 2 metres of 0.432% (8.64 lbs/t) U3O8
    -   A4-4 zone channels define new zone with 800 metre strike length;
        remains open along strike

VANCOUVER, Sept. 29 /PRNewswire-FirstCall/ - Uracan Resources Ltd. (the "Company") announces it has discovered additional areas of significant uranium mineralization on the Costebelle claim group of its 100% owned North Shore Property in Quebec. Furthermore, many of the mineralized zones discovered during the 2008 and 2009 Costebelle exploration programs have been extended along strike.

Results include 2 meters of 0.432% (4320 ppm or 8.64 lbs/t) U3O8 (MER Zone), 9 metres of 0.046% (464 ppm or 0.93 lbs/t) U3O8 (C-C-11 Zone) and 8 metres grading 0.038% (379 ppm or 0.76 lbs/t) U3O8 (A4-4 Zone) in saw channel samples. Please refer to the discussion below for more details. The mineralized zones at Costebelle are generally open in all directions as channel sampling was limited to areas of existing outcrop exposure, with shallow overburden cover overlaying large areas of the targeted airborne anomalies.

    Costebelle C Claim Group - A4 Zone
    ----------------------------------

During the exploration programs in 2008 and 2009 the A4 zone was discovered, with channel sample widths and grades of up to 57 metres of 210 ppm U3O8. Winter 2010 drilling on the A4-1 zone encountered up to 25.95 metres of 480 ppm, 33.9 metres of 230 ppm, 41 metres of 197 ppm, and 15.85 metres of 331 ppm U3O8 over a strike length of 500 metres. Mineralization on the A4-1 zone remains open along strike and at depth.

The 2010 Summer work program followed up the 2008 and 2009 results with additional mapping and sampling to further define existing mineralized trends in the overall A4 area. As a result, the previously untested A4-4 trend has been redefined by mapping and channel sampling over an approximate 800 metre (0.8 kilometre) strike length. Mineralization remains open along strike in both directions as well as at depth. The A4-4 zone will be drill tested as part of the Fall 2010 drill program expected to begin in early October. The A4-4 zone is approximately 300 metres west of the A4-1 drilling area.

The A4 area is approximately 65 kilometres east of the Double S, Middle Zone and TJ Resource areas (combined total of 162.153 Mt at an average grade of 0.012% U3O8 containing a total of 43.952 Mlbs U3O8 - see May 10, 2010 News Release for more information).

Selected intervals from the A4-4 area are outlined in the table below:

    -------------------------------------------------------------------------
                                                    Average          Average
    Sector         Trench         Length (m)         U3O8 %         U3O8 ppm
    -------------------------------------------------------------------------
      A4-4         A4-4-1A           4.9             0.036               359
    -------------------------------------------------------------------------
      A4-4         A4-4-1B           3.0             0.032               316
    -------------------------------------------------------------------------
      A4-4         A4-4-1C           1.0             0.119              1191
    -------------------------------------------------------------------------
      A4-4         A4-4-1D           4.0             0.024               235
    -------------------------------------------------------------------------
      A4-4         A4-4-2            6.0             0.016               157
    -------------------------------------------------------------------------
      A4-4         A4-4-7            8.0             0.038               379
    -------------------------------------------------------------------------
      A4-4         A4-4-10           3.0             0.016               155
    -------------------------------------------------------------------------
      A4-4         A4-4-11           6.0             0.035               348
    -------------------------------------------------------------------------
      A4-4         A4-4-11B          5.0             0.025               251
    -------------------------------------------------------------------------
      A4-4         A4-4-11C          5.0             0.019               194
    -------------------------------------------------------------------------
      A4-4         A4-4-13           8.0             0.022               225
    -------------------------------------------------------------------------


    Costebelle C Claim Group - C-C-11 Zone
    --------------------------------------

Zone C-C-11 is an airborne radiometric anomaly not sampled in previous exploration campaigns. This area was mapped and sampled as part of the 2010 exploration program. Channel sampling was completed over a 300 metre strike length of mineralized granites and pegmatites. Highlights include 9 metres of 0.046% (464 ppm or 0.93 lbs/t) U308 and 11 metres of 0.033% (329 ppm or 0.66lbs/t) U3O8 in channel sampling. This initial area of mineralization occurs within an overall radiometric anomaly of approximately 1200 metres (1.2 km), and is open along strike. The total width of this zone is not known at this time. This area will be drill tested as part of the Fall 2010 drill program. C-C-11 is located approximately 3 kilometres east of the A4 Zone.

Selected results from C-C-11 are outlined in the table below:

    -------------------------------------------------------------------------
                                                    Average          Average
    Sector         Trench         Length (m)         U3O8 %         U3O8 ppm
    -------------------------------------------------------------------------
    C-C-11         C-C-11-1A         6.0             0.026               263
    -------------------------------------------------------------------------
    C-C-11         C-C-11-1B         2.0             0.036               358
    -------------------------------------------------------------------------
    C-C-11         C-C-11-1D         9.0             0.023               232
    -------------------------------------------------------------------------
    C-C-11         C-C-11-2A        11.0             0.033               329
    -------------------------------------------------------------------------
    C-C-11         C-C-11-2B         8.0             0.028               281
    -------------------------------------------------------------------------
    C-C-11         C-C-11-3A         5.0             0.036               365
    -------------------------------------------------------------------------
    C-C-11         C-C-11-3B         8.0             0.024               239
    -------------------------------------------------------------------------
    C-C-11         C-C-11-E          9.0             0.046               464
    -------------------------------------------------------------------------
    C-C-11         C-C-11-1A         6.0             0.026               263
    -------------------------------------------------------------------------
    C-C-11         C-C-11-1B         2.0             0.036               358
    -------------------------------------------------------------------------


    Costebelle A Claim Group - R (CA-13 Knob) and MER Zones
    -------------------------------------------------------

Exploration carried out during 2010 on the Costebelle A claim group focussed on follow up of results from the 2009 summer work program as well as assessing the potential of a number of radiometric anomalies that were not previously explored.

This exploration further defined the R Zone (CA-13 Knob area) and led to the discovery of the MER zone which includes 2 metres of 0.432% (4320 ppm or 8.64 lbs/t). Extension of the CA-13Knob-8 channel to a total of 17 metres containing 0.03% (299 ppm or 0.6 lbs/t) U3O8 from the original 11 metres containing 0.029% (291 ppm or 0.58 lbs/t) U3O8 is also highlighted.

The R and MER zones occur along an approximately 6 kilometre long folded sequence of sediments hosting numerous granite and pegmatite bodies. The overall larger trend of sediments and intrusive bodies extends for over 14 kilometres. Much of this additional strike length, however, has not yet been assessed by prospecting and sampling. The MER and R Zones are located approximately 20 kilometres southwest of the A4 Zone.

Selected intervals from the MER and R areas are outlined in the table below:

    -------------------------------------------------------------------------
                                        Average      Average
    Sector     Trench      Length (m)    U3O8 %     U3O8 ppm         Comment
    -------------------------------------------------------------------------
    R Zone   C-A-13-KNOB-4       3.0      0.018         178     2009 channel
             ----------------------------------------------------------------
             CA-13-KNOB-4-                                              2010
                  East ext       5.0      0.012         125        Extension
             ----------------------------------------------------------------
                                                                    Combined
             C-A-13-KNOB-4                                         2009/2010
                  Combined       8.0      0.015         145         trenches
    -------------------------------------------------------------------------
    R Zone   C-A-13-KNOB-6       9.0      0.015         154     2009 channel
             ----------------------------------------------------------------
             CA-13-KNOB-6-                                              2010
                  EAST ext       4.0      0.019         187        Extension
             ----------------------------------------------------------------
                                                                    Combined
              CA-13 KNOB-6                                         2009/2010
                  Combined        13      0.016         164         trenches
    -------------------------------------------------------------------------
    R Zone     CA-13-KNOB-
                      7A-1      12.0      0.014         145
    -------------------------------------------------------------------------
    R Zone   C-A-13-KNOB-8      11.0      0.029         291     2009 channel
             ----------------------------------------------------------------
             CA-13-KNOB-8-                                              2010
                  West ext       6.0      0.031         313        Extension
             ----------------------------------------------------------------
                                                                    Combined
             C-A-13-KNOB-8                                         2009/2010
                  Combined        17      0.030         298         trenches
    -------------------------------------------------------------------------
    MER Zone         MER-1       2.0      0.014         144
    -------------------------------------------------------------------------
    MER Zone         MER-2       2.0      0.432        4321
    -------------------------------------------------------------------------


    Costebelle A Claim Group - O and P Zones
    ----------------------------------------

Follow up work was carried out on the O and P Zones. These areas were initially prospected and mapped in 2008 and 2009. Additional mapping and channel sampling was completed in 2010, with new areas of mineralization located in the P zone (P2010 Zone) and existing mineralized area being extended at the O Zone. The P Zone radiometric anomaly covers an area of approximately 2.2 kilometres by 2.1 kilometres, while the O Zone radiometric anomaly covers an area of 1.25 kilometres by 1.9 kilometres.

Highlights include 11 metres of 0.027% (274 ppm or 0.54 lbs/t) and 9 metres of 0.024% (237 ppm or 0.48 lbs/t) at the P2010 zone and 17 metres of 0.012% (123 ppm or 0.24 lbs/t) U3O8 in channel O-7a. The P Zone will be tested as part of the Fall 2010 drill program. Additional work is planned on the O Zone to further define the size and extent of uranium mineralization prior to drill testing. The O and P Zones are located approximately 7 and 10 kilometres respectively from the A4 Zone.

Selected intervals from the O and P areas are outlined in the table below:

    -------------------------------------------------------------------------
                                                    Average          Average
    Sector         Trench         Length (m)         U3O8 %         U3O8 ppm
    -------------------------------------------------------------------------
    O Zone         O-7a ext.         17.0            0.012               123
    -------------------------------------------------------------------------
    P Zone         P2010-1            9.0            0.024               237
    -------------------------------------------------------------------------
    P Zone         P2010-2            5.0            0.025               251
    -------------------------------------------------------------------------
    P Zone         P2010-4           10.0            0.017               165
    -------------------------------------------------------------------------
    P Zone         P2010-5            5.0            0.021               207
    -------------------------------------------------------------------------
    P Zone         P2010-6            4.0            0.012               121
    -------------------------------------------------------------------------
    P Zone         P2010-7            3.0            0.047               471
    -------------------------------------------------------------------------
    P Zone         P2010-8            3.0            0.028               279
    -------------------------------------------------------------------------
    P Zone         P2010-9           12.0            0.012               120
    -------------------------------------------------------------------------
    P Zone         P2010-10          11.0            0.027               274
    -------------------------------------------------------------------------


    August 2010 Channel Sampling Program
    ------------------------------------

Further channel sampling was completed during August 2010 on additional areas of the Costebelle claims to follow up airborne anomalies as well as areas with previous sampling results. The assays for this work are still pending and will be released when they are received.

    2010 Fall Drilling Program
    --------------------------

Planning is underway for a 2,000 meter diamond drill program on the Costebelle claims. This drill program will follow up results from the winter 2010 drill program as well as test areas of surface uranium mineralization encountered in channel sampling. This drill program is expected to commence in early October.

    Sampling Methodology
    --------------------

Channel samples were collected across areas of interest marked by geological personnel using rock saws to cut channels in the bedrock. Channel sample intervals were generally 1 metre lengths while grab samples were also collected at specific locations by geological field personnel. All sample locations were marked in the field with hand held GPS units. The samples were shipped by Company personnel in sealed containers to ALS Chemex Laboratories of Val D'Or, Quebec for analysis using standard analytical techniques for the samples. ALS Chemex is the laboratory facility used for all assays from the North Shore Property program.

Uracan Resources Ltd. is a publicly-listed uranium exploration company, exploring for shallow, bulk tonnage style uranium mineralization in Canada. Uracan is led by a team of proven exploration and mine entrepreneurs and mine-builders. The information in this news release has been prepared and reviewed by Marc Simpson, P. Geo., the Company's Qualified Person under National Instrument 43-101 standards.

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. The foregoing information may contain forward-looking information relating to the future performance of the Company. Forward looking information is subject to a number of known and unknown risks, uncertainties and other factors that may cause actual results to differ materially from those anticipated in our forward looking statements. Such risks and other factors include, among others, the actual results of exploration activities, changes in world commodity markets or equity markets, the risks of the mining industry including, without limitation, those associated with the environment, delays in obtaining governmental approvals, permits or financing or in the completion of development or construction activities, title disputes, change in government and changes to regulations affecting the mining industry, and other risks and uncertainties detailed from time to time in the Company's filings with the Canadian securities administrators (available at www.SEDAR.com ). Forward-looking statements are made based on various assumptions and on management's beliefs, estimates and opinions on the date the statements are made. Should one or more of these risks and uncertainties materialize, or should underlying assumptions prove incorrect, actual results may vary materially from those described in the forward-looking information contained herein. The Company undertakes no obligation to update forward-looking statements if these assumptions, beliefs, estimates and opinions or other circumstances should change, except as required by applicable law.

SOURCE URACAN RESOURCES LTD.

Copyright . 29 PR Newswire

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