Canadian Company Spotlight

Crosshair is a dominant player in the exploration and development of uranium and gold in the US and Canada. Its flagship Project, Bootheel, is located in uranium mining friendly Wyoming and with its in-situ mining potential; Bootheel is designed for near term production. The CMB Uranium/Vanadium Project is located in Labrador, Canada and has four currently defined resources - C Zone, Area 1, Armstrong and Two Time Zone. The Crosshair team is comprised of knowledgeable and experienced professionals with both exploration and mining backgrounds.

Profile

Crosshair is a dominant player in the exploration and development of gold, uranium and vanadium in the US and Canada. Crosshair continues to advance its gold projects in Newfoundland and has a $3 million drilling and bulk sampling program planned.

The Company's Golden Promise project in Newfoundland, Canada consists of a series of sub-parallel gold-bearing quartz veins. The Property hosts the Jaclyn Zone, which contains an NI 43-101 inferred resource estimate of 89,500 contained oz of gold (921,000 tonnes averaging 3.02 g Gold/t) at a 1 g/t Gold cutoff.

Five quartz vein zones characterized by coarse visible gold have been discovered on the Golden Promise Project to date. The Jaclyn Main Zone is the most advanced and has been intersected over a minimum strike length of 800 metres (m) and to a depth of 265 m. The zone remains open for expansion along strike and to depth.

Crosshair has a 60% interest in the Golden Promise, South Golden Promise and Victoria Lake Projects, with the option to earn an additional 10% interest in the Golden Promise Project.

The Company's Bootheel Project is located in uranium mining friendly Wyoming and with its in-situ mining potential and initial NI 43-101 uranium resource estimate of 1.09 M lbs indicated and an additional 3.25 M lbs inferred, the project has exceeded the minimum mining threshold and is designed for near term production.

The Company aquired the 75% interest in the Bootheel and Buck Point Uranium Properties from venture partner Ur-Energy Inc. (TSX:URE). Both properties have uranium mineralization that has the potential to be recovered by in-situ recovery (ISR) methods.

Vanadium, which is already irreplaceable in several industries including aerospace, aviation and construction due to its unrivalled ability to strengthen steel, has also become very important in the advancement of battery technology and its use for connecting large-scale power grids.

The future of Vanadium is bright, reports suggest that high-strength low-alloy steel production has outpaced crude steel production by 21.6% year over year since 2009, which bodes well for the element's demand.

Also, the Vanadium-Redox battery is the only battery with the potential for large-scale power grid usage, due to its lifespan of tens of thousands of cycles, its ability to be charged and discharged over and over, as well as its ability to absorb or release large amounts of electricity at a moment’s notice.

What is In-Situ Recovery (ISR) you might be wondering. In-Situ is an environmentally-friendly process by which uranium can be extracted from the ground with minimal disturbance to the surface environment. It is much cheaper than conventional mining techniques to extract and the mine can go into production with as little as 5 million pounds in the ground. With in-situ recovery methods, a mine can be constructed within as little as 18 months after being licensed and lower grade deposits can also be developed.

At the end of 2008 there were four in-situ recovery uranium mines operating in the United States, operated by Cameco, Mestena and Uranium Resources Company, all using sodium bicarbonate. ISR produces 90% of the uranium mined in the US. Two more ISR projects are in licensing and proposal stages in the US, and two in reclamation in 2006.

Significant ISR mines are operating in Kazakhstan and Australia. The Beverley uranium mine in Australia uses in-situ recovery. ISR mining produces around 21% of the world's uranium production. An ISR processing plant costs between US$10 million and US$35 million and can produce between 1 and 2 million pounds of uranium per year at an operating cost of ~ US$25/lb. On the other hand, conventional mines cost between $US130 million to $US150 million at an operating cost of ~ US$80/lb, but can produce 5 to 8 million pounds per year.

Although more than 25% of uranium is produced through ISR, only certain orebodies are suitable candidates for this method. The deposits must be hosted in rock types that are porous enough to allow water to be pumped through it (e.g. sandstone) and located in area that will not contaminate groundwater far away from the orebody. However, the lower cost of extracting uranium using the ISR method means lower grade deposits can be developed. Average grades of sandstone-hosted deposits range from 0.05% to 0.40% U3O8. The possibility of ISR methods for Crosshair are huge, as they can mean big savings for the Company, lower environmental concerns and quicker recovery times for their Wyoming Uranium projects.

The Company's CMB Uranium/Vanadium Project is located in Labrador, Canada and has four currently defined resources - C Zone, Area 1, Armstrong and Two Time Zone. Crosshair’s 4.5 km long uranium mineralized corridor includes C Zone to the north, Area 1 in the middle and Armstrong to the south. All areas are open for expansion. Crosshair has a 60% interest in this Project, while Silver Spruce Resources maintains a 40% interest. The Two Time Zone remains open for expansion.

This area has been putting out great results for the Company as of late. The Company announced about two weeks ago their widest vanadium intercept to date in hole ML-182 from the ongoing vanadium program on the Central Mineral Belt (CMB) Project in Labrador.

Highlights from recently assayed holes included 0.179% V2O5 over 241m (from 30m to 271m) including 0.228% V2O5 over 20m (from 204m to 224m) in hole ML-182, and 0.331% V2O5 over 14m (from 114m to 128m) including 0.428% V2O5 over 4m (from 118m to 122m) in hole ML-143.

The results were impressive which were enough to spike up volume in the Company's stock and take it up to $0.23 during the day's after the release came out. This Company has an impressive portfolio of projects that are putting out great numbers, they have an experienced management team and are in the business of mining for two much needed resources, Vanadium and Uranium.

Vanadium is one of those rarely discussed elements, but it is very vital to consumers. Vanadium is an essential alloying element for steels and titanium, and its chemical compounds are indispensable for many industrial and domestic products and processes. About 87% of vanadium is used in the high performance steel industry and another 10% is used for titanium alloy production. Vanadium has the ability to make both steel and titanium alloys stronger and lighter, making vanadium irreplaceable in aerospace, aviation, automotive, shipping and construction.

Demand for vanadium is expected for grow at a compound annual rate of 7.8% thorough to 2015, fuelled by continuing strong world demand and tightening global supply. Global production has been disrupted by power shortages in South Africa, one of the top three producers of vanadium, that look set to continue for a number of years and which have lead to the cancellation of some growth projects.

Investors are encouraged to read more about Vanadium and Uranium located lower on the AllPennyStocks.com profile page for Crosshair Exploration & Mining Corp. (TSX:CXX).

Looking at the stock from a technical perspective, the 10 period vs the 50 period EMA is riding side by side, and most technical indicators are indicating that the stock is currently in a non-trending mode, which makes it difficult to discuss from a technical perspective. In these cases, its best to focus on the Company's strong fundamental aspects and realize that the Company stock value is off 95% since its all time high back in the winter of 2006. Since that high in '06, it seems as though the 5 year low was experienced in the winter of 2008 when the stock briefly traded under $0.10. Since then the stock has been on a slow but steady rise, up over 150% since then. The long term technical trading pattern is showing the ADX on a bullish trend for most of 2009 and continuing. With the ADX trend line continuing to go higher, this continues to validate the long-term bull run that this stock is in the midst of. So while short-term gains might be muted, the long-term outlook for CXX is looking quite impressive.

Since the stock is currently in a short term non-trending market, major price swings should not occur, however stop losses are always recommended in case the stock goes in the wrong direction. There seems to be significant support at $0.19 and $0.20, so stop losses in that price range would be recommended. As always, these are only our interpretations of CXX's chart, we strive to give you all the information we can and always encourage our investors to do their own due diligence and consult with a financial advisor before making any trading decisions.

The Company holds several impressive portfolio properties, they have been getting excellent results from these properties, they have a seasoned management team and look as though they are coming off a multi-year low and from a technical perspective are looking like a longer-term diamond in the rough. For these reasons, we decided to spotlight Crosshair Exploration & Mining Corp. (TSX:CXX) as the latest Canadian Company Spotlight.

Vanadium 101

• China, which currently consumes almost 40% of world steel production, is increasing its demand for steel that contains vanadium.
• There have also been several economic stimulus packages announced around the world being used to fund infrastructure projects, resulting in an increased demand for steel, and therefore, vanadium.
• High-strength low-alloy steel production has outpaced crude steel production by 21.6% year over year since 2006.
• With the U.S. pledging to double its renewable energy production within the next three years and other governments close to similar commitments, there will be in increase in demand for the Vanadium-Redox battery in power-grid usage.

Overall, the consumption of vanadium is anticipated to increase as demand for stronger and lighter steel and titanium alloys grows as well as the demand for new battery applications rises worldwide.

How is vanadium traded?

Unlike many other commodities, vanadium does not trade on the open market, instead buyers and sellers negotiate privately. Prices are published by independent market consultants.

Uranium 101

What is the future of uranium exploration?

Nuclear power is expected to become cost competitive against coal and natural gas in the near future and as a result a large increase in the demand for uranium is anticipated. The cost of coal and natural gas to generate electricity is expected to grow as a result of constraints placed on the market in regards to carbon emissions. As well, the demand for uranium will increase as China increases it's energy consumption.

For nuclear energy to maintain its current role in electricity generation in the US and around the world, a large number of new reactors will be needed. As well, to have a noticeable effect on carbon emissions and a cleaner environment, the existing reactor fleet will have to grow dramatically.

A lack of mining investment due to over supply and low commodity prices has left the world with a resounding shortfall in uranium. The gap between supply and demand, and the resulting price increase of uranium, has now led to a resurgence of uranium exploration.

How is uranium traded?

Unlike many other commodities, uranium does not trade on the open market, instead buyers and sellers negotiate privately. Prices are published by independent market consultants.

Where does uranium come from?

Just over half of the annual demand comes from mines -- one third of this from Canada (the richest uranium ores ever discovered were found in Saskatchewan) and nearly one quarter from Australia. A large portion of uranium comes from Russian nuclear weapon stockpiles such as recycled warheads. This is actually the source for one tenth of all US electricity.

How is uranium used in nuclear reactors to produce electricity?

Heat produced by the fission of uranium is used to heat water in the nuclear reactor. The steam that is produced is used to drive turbines which run large electric generators.

How much nuclear power is used around the world?

16% of the world's electricity is generated from nuclear power. In Canada, about 15% of our electricity is generated using nuclear power (50% in Ontario). In the last 25 years, the world primary energy demand grew by more than 50%. It is expected to continue to grow at a similar rate well into the 21st century.

Currently there are 17 nuclear power reactors in Canada and hundreds worldwide.

What effect does nuclear power have on the environment?

Unlike the burning of fossil fuels, nuclear power doesn't contribute to urban smog, soot, acid rain, or increase carbon dioxide emissions. Generating electricity using nuclear power provides us with a safe, environmentally friendly alternative way of providing base load energy requirements. Today, well over two billion tonnes of carbon dioxide emissions are avoided each year because of nuclear power.

Do uranium mines damage the environment?

Any mine will have an impact on the immediate area of its operation, but environmental controls ensure that this does not extend to the surrounding environment. All mines now rehabilitate the site upon conclusion of mining operations and uranium mines are no exception. Most major uranium mines in Canada and Australia have (or operate under) ISO 14001 certification which sets and requires a very high international standard for environmental reclamation. Because uranium mineralization at Crosshair's CMB Property is naturally present at surface, the surrounding ecosystems have been exposed to low level radiation for millions of years with no known harmful effects.

Is uranium safe?

The extraction of uranium through mining and the use of uranium in nuclear power plants are heavily regulated and monitored. In Canada the Canadian Nuclear Safety Commission enforces Nuclear Security Regulations, which ensure that Canada does not export uranium or technology for use in nuclear weapons. Nuclear energy is safe, inexpensive, and allows energy to be produced without adding to atmospheric pollution or global warming. Uranium is also used as a fuel source in space exploration and has medical applications (e.g. used in treating cancer).

Is radiation harmful?

Uranium is one of several naturally radioactive elements which are found virtually everywhere on Earth and is the source of a portion of the radiation which we are exposed to all the time. Other sources include microwaves, televisions, and cellphones. The government and industry work together to protect the general public from exposure to high doses of radiation, which can be harmful. Industry is required to meet government standards to ensure the health, safety, and security of the public and the environment. Although radiation exposure on Crosshair's CMB Property is very low as the grade is approximately 0.1%, Crosshair makes every effort to minimize the amount of radiation its employees are exposed to. All employees working around radioactive material wear personal protective equipment and dosimeter badges which measure the level of radiation exposure.

How do you dispose of the radioactive wastes?

Unlike waste from most fossil fuels, virtually all nuclear waste is contained and managed rather than released into the environment. Some of the wastes are hot and very radioactive, but these are small in quantity and easily managed. They have never posed a significant hazard to anyone and are unlikely to do so. Long-term disposal of such wastes will be in deep geological repositories.

Radioactive waste diminishes naturally with time and the means to isolate it from humans and the environment while it decays are simple and well known. For example, the level of radioactivity in spent fuel drops to one thousandth of its original level in 40-50 years.

Mark J. Morabito, B.A., J.D.
CEO

Mr. Morabito is Crosshair's founder and an executive with a background in corporate finance and securities law. He has over 15 years experience in public markets with a strong focus on junior mining and small business venture capital with extensive experience in capital-raising and corporate development.

Mr. Morabito graduated from Simon Fraser University with a B.A. in 1990 and completed his L.L.B. at the University of Western Ontario in 1993. Mr. Morabito has been a Member of both the Ontario Bar and British Columbia Bar since 1995.

After completing his initial training with a full service Toronto law firm, Mr. Morabito practiced law in Vancouver until 2001. His practice focus was on corporate commercial and corporate securities work. Since taking over Crosshair in 2003, Mr. Morabito is directly responsible for raising over $50.0 million and taking the company from a one room office to a company with over 50 employees, a first rate exploration team, an expanding asset base and listings on both the Toronto Stock Exchange and American Stock Exchange.

Stewart Wallis, P.G., P. Geo.
President

Mr. Wallis received his B.Sc in Geology from McMaster University located in Hamilton, Ontario. His professional affiliations include: APEG Saskatchewan; APEG B.C.; Wyoming Professional Geologist; Certified Professional Geologist (AIPG); Fellow, Society of Economic Geologists; Member, Society of Mining Engineers.

Mr. Wallis began his career with Cominco Ltd. carrying out exploration for base and precious metals throughout eastern Canada. Since 1994, he has been the Managing Director of Sundance Ventures and Sundance Geological Ltd, which provide geological services including due diligence, prefeasibility and NI 43-101 Technical Reports on gold, PGE, uranium and base metal operating and exploration properties located throughout the world.

During the period from 2003 to 2006, Mr. Wallis was the General Manager, Vancouver office, for Roscoe Postle Associates Inc. During this time, he carried out due diligence on numerous uranium properties located in Kazakhstan, Kyrgyzstan, Namibia, Finland and the western US. From June 2007 until joining Crosshair in March 2009, Mr. Wallis was the President of Target Exploration and Mining where he worked on advancing Target's flagship uranium project, Bootheel, towards production.

Adam R. Kniec, CA
CFO

Mr. Kniec is a Canadian Chartered Accountant and a U.S. Certified Public Accountant and has over 12 years of accounting, auditing and financial reporting experience with Canadian and U.S. public companies, including a number of energy and resource companies.

Mr. Kniec is the founder and President of ArkOrion Enterprises Inc., a company that provides accounting and financial reporting services to Canadian and U.S. public companies. Prior to forming ArkOrion Enterprises Inc. in 2007, Mr. Kniec was a Senior Manager at PricewaterhouseCoopers LLP in Vancouver, B.C.

Mr. Kniec received his CA designation in 2002 and is a member of the Institute of Chartered Accountants of British Columbia. In 2003, Mr. Kniec received his U.S. Certified Public Accountant designation from the University of Illinois. He received his diploma in Accounting from Langara College in 1996 and an Advanced Certificate in Accounting from the Institute of Chartered Accountants of British Columbia in 1999.

Sheila Paine
Corporate Secretary

Ms. Paine has over 18 years experience as a legal assistant, specializing in corporate, securities and regulatory matters. Prior to joining Crosshair in 2007, Ms. Paine was a legal assistant to a senior partner in the securities department of a large international law firm for 11.5 years. During that time, Ms. Paine was responsible for, among other things, assisting clients with financings, regulatory filings, administering stock option plans, drafting agreements and other legal documents, and working with other staff of the law firm to coordinate the papering and closing of various transactions for public companies. Prior to that, Ms. Paine worked for 10 years as a legal assistant/document production specialist, in another large international law firm, mainly assisting with large securities based transactions for the firm's public company clients.

Since joining Crosshair, Ms. Paine has been responsible for all securities regulatory and corporate filings and compliance, coordinating and disseminating the materials for Crosshair's annual general meetings, board of directors' meetings and various board committee meetings, administering Crosshair's stock option plan, acting as Crosshair's Compliance Officer with respect to Corporate Governance Policies, and assisting the Chief Executive Officer and President with the preparation of various corporate, securities, business and project-based documentation.

Evelyn Cox, B.Sc.
VP Corporate Development

In 2000, Ms. Cox graduated with a B.Sc. (Honours) in Geology, with a minor in German, from the University of British Columbia. She speaks German fluently. Ms. Cox also completed the Economic Guidelines for Mineral Exploration Course at Queen's University.

Prior to joining the Company, Ms. Cox gained five years of experience working as a Geologist and Manager Corporate Communications for Candente Resource Corp, an exploration company with gold and copper assets in Peru and Newfoundland. During this time, Ms. Cox gained not only technical but also marketing and investor relations experience. In addition to technical report writing and maintaining all properties in good standing, Ms. Cox was responsible for preparing news releases, all conference and promotional materials, and building and maintaining relationships with analysts and fund managers.

Since her appointment as VP Corporate Development two years ago, Ms. Cox has been an integral component in growing Crosshair. Ms. Cox is responsible for all corporate communication tools, planning budgets and exploration programs, evaluating properties, and presenting both technical and corporate aspects of the company to analysts and fund managers.

Crosshair Exploration & Mining Corp.
Suite 1240 - 1140 West Pender Street
Vancouver, BC
V6E 4G1

Tel: 604-681-8030
Fax: 604-681-8039
Toll Free: 1-866-683-8030

Investor Relations:

Nicole Velcic
Email: investor@crosshairexploration.com

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