- 64,000 hectares (recently expanded to 152,000 hectares)

Phase 3 Exploration Drilling program is underway, designed to delineate the down dip extent of the historic La Soledad gold mineralized zone and to identify additional high priority drill targets within the regionally extensive epithermal system that has been identified at Copalquin, located in the prolific Sierra Madre Mineralogical Belt Durango, Mexico.

UC Resources Ltd. TSXV:UC has a 100% interest in the Copalquin Property which islocated in Mexico’s Sierra Madre mineralogical belt. Historic, gold and silver production at Copalquin has been estimated at over 250,000 ounces of gold and 11 million ounces of silver from just 336,000 tonnes – with most production occurring prior to the 1910 Mexican Revolution.

Previous drilling in 1998 by Bell Coast Capital (BCC) in 1998 (31 holes) returned promising results at El Cometa – with bonanza grade and low grade Au-Ag mineralization found throughout an extensive flat-lying quartz breccia with local vertical expressions.

Drilling by former UC management in late 2004 and early 2005 focused on confirming and possibly expanding upon the high grade results of BCC at El Cometa. However, it has since been noted in a careful review of the data by current UC management that many of the mineralized intervals reported by previous operators actually represent only the highest grade sections within much wider zones of lower grade mineralization. This opens up a new style of exploration target, a bulk mineable target.

As reported in early 2005, Phase 1 drilling at Copalquin in 2004 and early 2005 intersected wide zones of gold and silver mineralization at two prospects referred to as El Cometa and El Refugio. These two zones were initially considered separate, vein type targets however; drilling results indicated that they might represent the eastern and western limits of a much more extensive mineralized zone than was previously recognized. The area in between is an attractive exploration target, yet to be tested. As noted in the Company’s news release dated August 10, 2005 the style and tenor of mineralization intersected at El Cometa and El Refugio is similar to the mineralization reported by Gammon Lake at its Ocampo Project, UC plans to drill test the area between these prospects.

As noted by UC, based on a review of technical reports from Copalquin and data from other deposits in the Sierra Madre, Copalquin is believed to represent a promising, early stage “low sulphidation,” epithermal prospect.