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Press release from Business Wire

European Uranium Drills Double Expected Grade at Kuriskova Deposit, Slovakia

Tuesday, June 26, 2012

European Uranium Drills Double Expected Grade at Kuriskova Deposit, Slovakia07:30 EDT Tuesday, June 26, 2012 VANCOUVER, British Columbia (Business Wire) -- European Uranium Resources Ltd. (EUU: TSX-V; TGPN: Frankfurt) intersected double the expected grade in its first of three planned metallurgical drill holes at Kuriskova. This drill program is designed to collect additional metallurgical samples as part of the ongoing feasibility study on the Company's flagship property, the high-grade Kuriskova uranium project in Slovakia. A preliminary feasibility study, announced January 30, 2012, demonstrates that Kuriskova could be one of the lowest cost uranium producers in the world. Drilling of three holes planned for metallurgical samples began in May and is expected to be completed in July 2012. The first of these holes, LE-K-73, was completed last week and intercepted higher than expected uranium grade in the Main Zone of the Kuriskova deposit. The highlight of the hole is: 4.9 metres @ 0.85% eU3O8, including 1.3 metres @ 1.67% eU3O8, intersected at a depth from 455.9 to 460.8 metres from surface. As planned, the hole intersected the western part of the Main Zone of the deposit at a depth of about 455 metres. Based on the most recent Kuriskova resource estimate (April 2011), the modeled thickness and grade in this part of the deposit is 4.5 metres @ 0.39% U3O8. Mineralization intersected is thus about 10% thicker and more than double the grade in the resource model. “Kuriskova is recognized as one of the highest grade uranium deposits in the world,” said Dorian L. (Dusty) Nicol, European Uranium's president and CEO. “This drill hole confirms the tremendous potential that Kuriskova has to grow beyond its already impressive resource.” The April 2011 NI 43-101 compliant resource estimate, audited and approved by Tetra Tech, Inc., comprises an Indicated Resource of 28.5 million pounds of U3O8 at a grade of 0.555% U3O8 contained in 2.3 million tonnes and an additional Inferred Resource of 12.7 million pounds of U3O8 at a grade of 0.185% U3O8 contained in 3.1 million tonnes, at a cut-off of 0.05% U (see news release dated April 26, 2011). The Company will continue advancing critical path aspects of a feasibility study and environmental impact study for the Kuriskova deposit. The metallurgical samples collected from the ongoing drill program will be tested by AREVA, a significant shareholder of European Uranium Resources Ltd., later in the summer and fall of 2012 as part of the Company's technical services agreement with AREVA. The objective is to optimize the process flow sheet as described in the preliminary feasibility study. Concurrently, the Company has been conducting surface exploration work on targets within the Kuriskova license area. The objective is to define drill targets that could lead to expansion of the current resource. The Company continues its efforts to define the structure which would allow uranium production from Kuriskova to be developed for the benefit of Slovakia's energy future. This could be a production off-take arrangement with Slovakia or a partnership with a Slovak entity. Work programs for the recently acquired Swedish and Finland uranium prospects are being designed and will be conducted in late summer and fall of 2012. The following is a complete tabulation of significant intersections from this hole: Kuriskova, Hole LE-K-73 intersections                           BHID   Intersection   From (m)   To (m)   Length (m)   eU308 %   Geological Domain LE-K-73   I   402.6   403.2   0.6   0.053   Hanging Wall Zone II   407.7   408   0.3   0.051     III   454   454.3   0.3   0.063 Main Zone IV   455.9   460.8   4.9   0.854including   457.7   459   1.3   1.666   including   459.7   460.2   0.5   2.009           The drill hole location map is attached to this release. Uranium grades presented in this news release are reported as equivalent uranium oxide (eU3O8 %) based on downhole radiometric logging. The logging was performed by Koral, s.r.o. of Slovakia. Drill intercepts are reported as drilled; true thicknesses have not yet been calculated. Quality Control and Quality Assurance is provided by Ravi Sharma (Chartered Professional Member, AusIMM and Registered Professional, SME), European Uranium's Manager, Resources and Reserves, who is a Qualified Person as defined by NI 43-101 and has reviewed and approved the technical disclosure contained in this news release. EUROPEAN URANIUM RESOURCES LTD. "Dusty Nicol" Dorian L. (Dusty) Nicol, President and CEO Neither the 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. Cautionary Statement: This news release contains forward-looking statements that are based on the Corporation's current expectations and estimates. Forward-looking statements are frequently characterized by words such as "plan", "expect", "project", "intend", "believe", "anticipate", "estimate", "suggest", "indicate" and other similar words or statements that certain events or conditions "may" or "will" occur. Such forward-looking statements involve known and unknown risks, uncertainties and other factors that could cause actual events or results to differ materially from estimated or anticipated events or results implied or expressed in such forward-looking statements. Such factors include, among others: the actual results of current exploration activities; conclusions of economic evaluations; changes in project parameters as plans to continue to be refined; possible variations in ore grade or recovery rates; accidents, labour disputes and other risks of the mining industry; delays in obtaining governmental approvals or financing; and fluctuations in metal prices. There may be other factors that cause actions, events or results not to be as anticipated, estimated or intended. Any forward-looking statement speaks only as of the date on which it is made and, except as may be required by applicable securities laws, the Corporation disclaims any intent or obligation to update any forward-looking statement, whether as a result of new information, future events or results or otherwise. Forward-looking statements are not guarantees of future performance and accordingly undue reliance should not be put on such statements due to the inherent uncertainty therein. To view Kuriskova, June 2012, Metallurgical hole LE- K- 73 graphic, please click on the following link: http://www.usetdas.com/pr/european06262012001.jpg European Uranium Resources Ltd.Doris Meyer, 604-536-2711www.euresources.com