UEX Corporation ("UEX") is pleased to announce that it has received the interim resource estimate report from Cameco Corporation ("Cameco") of Saskatoon, SK, for UEX's West Bear Uranium Deposit ("West Bear"). West Bear is located within the southern block of UEX's 100%-owned and operated Hidden Bay Project, in the Wollaston Lake area of northern Saskatchewan, approximately 340 kilometres north of La Ronge, SK.

West Bear Highlights

• Current indicated uranium resource of 45,600 tonnes grading 1.385% U3O8, containing 1,391,000 pounds U3O8;
• Value of uranium resource approximately $1,300/tonne (CDN) at $37.00 (U.S.) uranium spot price as of January 23, 2006;
• High probability of resource expansion from further sonic drilling;
• Mineralization occurs near-surface, at 13 to 31 metres (42 to 102 feet) depth;
• Low cost, open pit mining planned at West Bear;
• Existing infrastructure - 2 milling facilities less than 80 kilometres (50 miles) from the deposit, toll milling arrangement to be negotiated;
• Mining and haulage of material to a milling facility would be tendered out for contract.

2005 West Bear Interim Resource Estimate Report
In January 2005, UEX initiated a 101-hole, 2,793 metres sonic drilling program at West Bear, with the objective of determining a National Instrument 43-101 ("N.I. 43-101") compliant resource estimate of the deposit. Cameco carried out the sonic drilling program under an exploration management agreement with UEX on the Hidden Bay Project, an agreement that ended in December 2005. In early 2006, UEX assumed direct management of all exploration activities at the Hidden Bay Project.

Based on the results of the 2005 sonic drilling program, Cameco calculated an interim resource estimate. West Bear is estimated to contain an indicated resource of 45,600 metric tonnes averaging 1.385% U3O8, for a total uranium content of 1,391,000 pounds of U3O8, using a geostatistical-block model technique and the GEMCOM software package. The deposit also contains 0.34% nickel, 0.11% cobalt, and 0.50% arsenic. The boundaries of the deposit for Cameco's resource estimate were defined using a cut-off grade of 0.15% U3O8, and a grade/thickness parameter of 0.45 m% U3O8.

"It is UEX's opinion that the current resource at West Bear is economic and that is why we are moving aggressively to final feasibility in parallel with the environmental studies that have been underway since the summer of 2005," said Stephen Sorensen, President and CEO of UEX.

This new interim resource estimate represents a three-fold increase in uranium grade and an increase in total pounds of uranium from the historical 1980 Gulf Minerals ("Gulf") resource estimate of 131,000 tonnes at an average grade of 0.44% U3O8, representing 1.26 million pounds of U3O8 (Note: Gulf's historical resource estimate was not calculated using current Canadian Institute of Mining, Metallurgy and Petroleum categories, and no current resource or reserve confidence categories were applied).

Cameco's 2005 interim resource estimate report notes that only two-thirds of the strike length of the mineralized area included as part of the historical resource outlined by Gulf was tested during the 2005 program. A number of historical Gulf holes indicate that uranium mineralization likely extends to the east up to 150 metres beyond the current boundaries of the deposit. This eastern area has the potential to significantly increase the total pounds of uranium contained in the deposit, and UEX plans to test the area with a sonic drill during the winter of 2006.

Cameco's interim resource estimate report will be filed and available for review at www.sedar.com

2006 Winter Exploration Program
Roscoe Postle Associates Inc. of Toronto, ON, an independent firm of geological and mining consultants, has been engaged by UEX to direct the sonic drilling program at West Bear in 2006, and to incorporate newly-obtained 2006 data into Cameco's interim resource estimate. In its worldwide operations, Roscoe Postle Associates Inc. has considerable experience in estimating, auditing and reviewing mineral resources and is qualified to act as independent Qualified Persons for mineral resources and reserves under the standards set by N.I. 43-101.

A 2006 winter exploration program budgeted at approximately $2.7 million (CDN) is underway at the Hidden Bay Project, which includes a $700,000 (CDN) sonic drilling program at West Bear. One diamond drill is currently operating in the West Bear area, and drill testing of geophysical targets peripheral to West Bear is planned in order to locate additional deposits. Sonic drilling is expected to commence in early February 2006.

The technical information in this document regarding Cameco's West Bear interim resource estimate report has been compiled and reviewed by Roger Lemaitre, P. Geo., a qualified person as defined by N.I. 43-101.

2005-2006 West Bear Environmental Baseline Study
An Environmental Baseline Study ("EBS") has been underway at West Bear since July 2005. An EBS is a required first step in any mine development plan and forms the basis of an Environmental Impact Statement, as is normally required for the development of uranium mines in Saskatchewan. Golder Associates of Saskatoon, SK, a division of a premier global group of consulting companies specializing in ground engineering and environmental science is carrying out the EBS, and continues to collect biological, hydrogeological and other environmental data in the West Bear area. The cost of the EBS is estimated at approximately $500,000 (CDN) and is planned to be completed in the fall of 2006.

2006 West Bear Engineering Proposals
UEX is preparing to submit requests for proposals to leading mining engineering firms in order to advance West Bear to final feasibility. With the relatively soft nature of the host rocks and overburden, UEX believes that the deposit could be mined using low cost, open pit mining techniques within a very short timeframe. The deposit is located close to two existing uranium mills: Cameco's Rabbit Lake Mill (51.9 kilometres by road, or 32.2 miles), and the McClean Lake Mill (73.7 kilometres by road, or 45.8 miles), operated by AREVA subsidiary COGEMA Resources Inc. ("COGEMA").

A series of recommendations by Cameco for future work is included in the 2005 interim resource estimate report that would lead to the commencement of a final feasibility study. These recommendations include:

• the implementation of a 70-hole, 2,100 metres sonic drill program to define the eastern extent of the deposit;
• the commencement of metallurgical test work on the West Bear mineralization;
• improving the method used to determine dry bulk densities, since values obtained in 2005 may have, in Cameco's opinion, understated the resource;
• the continuation of the environmental baseline study initiated in 2005;
• scouting of a road route to connect West Bear to provincial Highway 905.

About West Bear
West Bear is flat-lying and has been defined by drilling over a strike length of 300 metres. The mineralization occurs at a vertical depth of between 13 and 31 metres (or approximately 42 to 102 feet) from surface and is one of the shallowest, undeveloped uranium deposits in the prolific Athabasca Basin. The deposit ranges in width from 5 to 25 metres, and in thickness from 0.1 to 10.5 metres. Approximately 70% of the uranium resource as calculated by Cameco lies within a 100 metre-long section of the deposit. The zones of mineralization have lithology, structure, alteration, and chemical features that closely resemble those at Cameco's Cigar Lake Deposit. Polymetallic mineralization is observed within the uranium mineralization, with higher concentrations of nickel, cobalt, and arsenic concentrated along the east end of the mineralized zone, as defined by the 2005 sonic drilling program.

Historically, core recovery was a significant problem that plagued Gulf during its drilling definition programs in 1977, 1978 and 1979. A single diamond drill hole in 2002, and a sonic drilling test of the deposit by UEX in 2004, combined with Cameco's review of the historical Gulf resource estimate suggested that the historical work did not accurately estimate the uranium content of the deposit. Sonic drilling was chosen by UEX as the preferred drilling method at West Bear due to its better core recovery in softer, highly-altered rock. In 2005, UEX's sonic holes were drilled on fences spaced 25 metres apart except over a single 50 metres strike interval where fences were spaced 12.5 metres apart. The spacing of holes along each drill fence was 5 metres.

To view maps of West Bear please access UEX's website at http://www.uex-corporation.com under "Projects - Map Gallery".

About UEX
UEX is a Canadian uranium exploration company formed under an agreement between Pioneer Metals Corporation and Cameco Corporation. Cameco Corporation, the world's largest supplier of uranium, is UEX's largest shareholder. UEX began trading on the Toronto Stock Exchange in July 2002 and is actively involved in the exploration and development of 19 uranium projects, including seven that are 100% owned and operated by UEX, one joint ventured with COGEMA that is operated by UEX, ten under option from COGEMA and one under option from Japan-Canada Uranium Company, Limited, which are operated by COGEMA. The 19 projects, totaling 386,650 hectares (955,400 acres), are located in the eastern, western and northern perimeters of the Athabasca Basin, the world's richest uranium belt, which accounts for approximately 30% of global primary uranium production.

ON BEHALF OF THE BOARD OF DIRECTORS OF UEX CORPORATION

Stephen H. Sorensen, President & C.E.O.

Forward looking statements: This news release contains certain forward-looking statements. These forward-looking statements are subject to a variety of risks and uncertainties beyond UEX's ability to control or predict, which could cause actual events or results to differ materially from those anticipated in such forward-looking statements. Although UEX believes that the assumptions inherent in the forward-looking statements are reasonable, undue reliance should not be placed on these forward-looking statements.