Adelaide, Sept 7, 2006 (ABN Newswire) - Significant opportunity exists to further increase the resource and move rapidly into production at a uranium project wholly-owned by ASX-listed OmegaCorp Limited
(ASX: OMC) in the African state of Zambia.

"There is considerable project upside as we have an existing JORC standard resource from only two of the five key prospects at the Kariba uranium project," OmegaCorp's Managing Director, Mr Matthew Yates, said today.

Addressing the Paydirt Media 2006 Africa Downunder Conference in Perth today, Mr Yates said the project aimed to move to a bankable feasibility study by year's end.

"We have re-adjusted our project horizons inwards now, as a result of a resource upgrade announced last week, to near-term production goals," Mr Yates said.

"Our short-term aim is to complete the current scoping study and through the extensive drilling program currently underway, further increase Kariba's resources."

Kariba has a JORC-classifed Inferred Resource, increased last week to 16.4 million tonnes, grading 380 ppm for 13.7 million pounds uranium oxide.

The scoping study has so far confirmed an 80% metallurgical recovery at Kariba via alkali leach.

Mr Yates said additional resource potential lay in further resource definition and/or infill drilling of the nearby deposits, Bungua, Mutanga East and West and Dibwe East and North deposits.

"Bungua is a priority for drill testing as it features visible mineralisation in several localities, high grade rock chip samples in excess of 3.8% uranium oxide, historical drill intercepts up to 1.6% and all of its known mineralisation is shallow with 75% of historical intercepts being less than 30 metres depth," Mr Yates said.