| Wed 30 Dec 2009, 9:00 | | UUU - Uranium One Inc - Revises C$270 Million financing with Japanese |
|
UUU
UUU
UUU - Uranium One Inc - Revises C$270 Million financing with Japanese
Consortium; proceeds to be received by January 15, 2010
Uranium One Inc
(Incorporated in Canada)
(Registration number: 15096422420)
Share code on the JSE: UUU & ISIN: CA91701P1053
Share code on the TSX: UUU & ISIN: CA91701P1053
News Release
December 29, 2009
Uranium One Revises C$270 Million Financing with Japanese Consortium;
Proceeds to be Received by January 15, 2010
Vancouver, British Columbia and Johannesburg, South Africa - Uranium One Inc.
today announced that the Company and its three Japanese partners (a
consortium comprising The Tokyo Electric Power Company, Inc., Toshiba
Corporation and The Japan Bank for International Cooperation) have executed
documentation revising the February 9, 2009 private placement between the
Company and Japan Uranium Management Inc. ("JUMI"), a company owned by the
consortium, to a debenture financing.
All regulatory, third party and other approvals required to complete the
debenture financing have been received. Closing is expected to occur on or
about January 15, 2010, at which time the corporation will receive aggregate
proceeds of C$269,100,000.
The February 9, 2009 private placement contemplated the issuance to JUMI of
117,000,000 common shares of Uranium One at an issue price of C$2.30 per
share, for aggregate gross proceeds of C$269,100,000.
Under the revised terms of the private placement, Uranium One will issue to
JUMI C$269,100,000 aggregate principal amount of 3% unsecured convertible
debentures maturing ten years from the date of issue. The debentures will
automatically convert into 117,000,000 Uranium One common shares on receipt
of required Kazakh regulatory approval, which is expected during 2010. If
such approval is not received, the holder may, on 12 months` notice, cause
the debentures to be redeemed at par plus accrued and unpaid interest. Such
redemption may not occur before the second anniversary of the closing in
January 2012.
The previously announced long-term offtake and strategic relationship
agreements with the JUMI consortium will become effective on closing. Under
the offtake agreement, the consortium has an option to purchase, on industry-
standard terms, up to 20% of Uranium One`s available attributable production
from assets in respect of which it has the marketing rights.
The strategic relationship agreement provides the JUMI consortium on closing
of the transaction with the right to appoint two directors to the Uranium One
board and a right of first opportunity to invest in any uranium mining asset
or project which Uranium One may in its discretion make available to third
parties. The agreement also contains a standstill provision under which the
consortium has agreed, subject to certain exceptions, not to acquire without
Uranium One`s prior approval more than 19.95% of Uranium One`s issued common
shares.
About Uranium One
Uranium One is one of the world`s largest publicly traded uranium producers,
with a globally diversified portfolio of assets located in Kazakhstan, the
United States, South Africa and Australia.
For further information, please contact:
Jean Nortier
Chief Executive Officer
Tel: +1 778 384 6217
Chris Sattler
Executive Vice President, Corporate Development and Investor Relations
Tel: + 1 416 350 3657
Cautionary Statement
No stock exchange, securities commission or other regulatory authority has
approved or disapproved the information contained herein.
Forward-looking statements: This press release contains certain forward-
looking statements. Forward-looking statements include but are not limited
to those with respect to the price of uranium, the estimation of mineral
resources and reserves, the realization of mineral reserve estimates, the
timing and amount of estimated future production, costs of production,
capital expenditures, costs and timing of the development of new deposits,
success of exploration activities, permitting time lines, currency
fluctuations, requirements for additional capital, government regulation of
mining operations, environmental risks, unanticipated reclamation expenses,
title disputes or claims and limitations on insurance coverage and the timing
and possible outcome of pending litigation. In certain cases, forward-looking
statements can be identified by the use of words such as "plans", "expects"
or "does not expect", "is expected", "budget", "scheduled", "estimates",
"forecasts", "intends", "anticipates" or "does not anticipate", or "believes"
or variations of such words and phrases, or state that certain actions,
events or results "may", "could", "would", "might" or "will" be taken, occur
or be achieved. Forward-looking statements involve known and unknown risks,
uncertainties and other factors which may cause the actual results,
performance or achievements of Uranium One to be materially different from
any future results, performance or achievements expressed or implied by the
forward-looking statements. Such risks and uncertainties include, among
others, changes in market conditions, the actual results of current
exploration activities, conclusions of economic evaluations, changes in
project parameters as plans continue to be refined, project cost overruns or
unanticipated costs or expenses, possible variations in grade and ore
densities or recovery rates, failure of plant, equipment or processes to
operate as anticipated, accidents, labour disputes or other risks of the
mining industry, exchange rate and uranium price fluctuations, delays in
obtaining government approvals or financing or in completion of development
or construction activities, changes in, and the effect of government policy,
risks relating to the timing and completion of the transactions described in
this press release, the potential benefits thereof, risks relating to the
benefits derived by the Corporation from the strategic relationship described
in this press release, risks relating to the integration of acquisitions, to
international operations, to the price of uranium as well as those factors
referred to in the section entitled "Risk Factors" in Uranium One`s Annual
Information Form for the year ended December 31, 2008, which is available on
SEDAR at www.sedar.com, and which should be reviewed in conjunction with this
document. Although Uranium One has attempted to identify important factors
that could cause actual actions, events or results to differ materially from
those described in forward-looking statements, there may be other factors
that cause actions, events or results not to be as anticipated, estimated or
intended. There can be no assurance that forward-looking statements will
prove to be accurate, as actual results and future events could differ
materially from those anticipated in such statements. Accordingly, readers
should not place undue reliance on forward-looking statements. Uranium One
expressly disclaims any intention or obligation to update or revise any
forward-looking statements, whether as a result of new information, future
events or otherwise, except in accordance with applicable securities laws.
For further information about Uranium One, please visit www.uranium1.com.
Date: 30/12/2009 09:00:03 Produced by the JSE SENS Department.
The SENS service is an information dissemination service administered by the
JSE Limited (`JSE`). The JSE does not, whether expressly, tacitly or
implicitly, represent, warrant or in any way guarantee the truth, accuracy or
completeness of the information published on SENS. The JSE, their officers,
employees and agents accept no liability for (or in respect of) any direct,
indirect, incidental or consequential loss or damage of any kind or nature,
howsoever arising, from the use of SENS or the use of, or reliance on,
information disseminated through SENS.
