Traction Uranium Corp. along with UGreenco Energy Corp. announced that it has finished drilling the first hole (‘KLS23-001') in the Phase 1 Diamond Drill Program at their Key Lake South (‘KLS') Project in northern Saskatchewan's Athabasca Basin, and is currently mobilizing the drill rig to the second diamond drill hole (‘KLS23-002') targeting the ‘radioactive swamp' discovered by the Company in a Fall 2022 exploration program (the ‘Fall 2022 Program').

KLS23-001 is located on the logistically most challenging area furthest from the radioactive swamp and targeted the edges of both the broad gravity low and the ‘Athabasca Sandstone' mapped from cobble found in the till during the 1970's. During the Fall 2022 Program, the Company was unable to get above the swamp to test the radioactive anomaly; however, with the ground fully frozen, the Company is now able to minimize ground impact and mobilize the drill rig to hole KLS23-002 sitting right above the radioactive swamp to test for uranium mineralization potential beneath the anomaly. Phase 1 diamond drilling is planned for 10 high priority targets totaling approximately 2,000 metres. Most of the drill targets are situated at the edge of the broad gravity-lows identified in the ground gravity survey of 2022 and targeting areas with extreme surface uranium anomalies mapped in 1973 which can be found on Assessment Report # 74H04-001 on the Saskatchewan Mineral Assessment Database (SMAD).

The proposed phase 1 diamond drilling of 2023. Black dots represent proposed drill collars, green squares represent surface radioactive anomalies discovered in the ground program of 2022, red shaded areas represent surface uranium anomalies (uranium content >2.345 ppm) from the airborne gamma-ray spectrometric survey (Ford et al., 2006) and the black shaded area represents the ‘Athabasca Sandstone' mapped from cobbles in till in 1973 (referenced from Assessment Report # 74H04-001, (SMAD) Saskatchewan Mineral Assessment Database). Actual location of drill collars may change upon ground conditions in the field.

The previously unknown radioactive anomalies discovered by Traction's exploration team during the ground program of 2022 are of particular interest. Sampling of the ‘black soil', where the horizon had an observed thickness of approximately 30 centimetres returned high grade uranium mineralization in the SRC analysis results. In addition, with the ground presently frozen, the ‘radioactive swamp' is now accessible which is another high priority drill target for the Company's team.

Drill crews are currently mobilizing the drill shack to target KLS23-002 to commence drilling beneath the radioactive swamp this week.