| Thu 1 Apr 2010, 7:48 | | FUM - First Uranium Corporation - First Uranium announces resignation of |
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FUM
FIU
FUM - First Uranium Corporation - First Uranium announces resignation of
Nigel Brunette
First Uranium Corporation
(Continued under the laws of British Columbia, Canada)
(Registration number C0777384)
(South African registration number 2007/009016/10)
Share code: FUM
ISIN: CA 33744R1029
NEWS RELEASE - March 31, 2010
FIRST URANIUM ANNOUNCES RESIGNATION OF NIGEL BRUNETTE
(all amounts are in Canadian dollars unless otherwise indicated)
Toronto and Johannesburg - First Uranium Corporation (TSX:FIU, JSE:FUM)
("First Uranium" or the "Company") (ISIN:CA33744R1029) today announced the
resignation of Nigel Brunette as Chairman and a director of the Company as
part of the planned restructuring of the board in connection with the
proposed private placement offering (the "Offering") for a minimum of $125
million and maximum of $150 million in secured convertible notes due March
31, 2013 (the "Notes") announced on March 12, 2010. Robert M. Franklin,
Lead Independent Director, will be appointed interim Chairman of the Board.
As reported yesterday, the Company expects to close the Offering in escrow on
or around April 8, 2010. The proceeds will be held in escrow until the
earlier of: i) the close of business on April 30, 2010 (EDT) or ii) the date
the escrow release conditions are satisfied including receipt of required
South African regulatory approvals, the registration of the security
documents and the meeting of other standard closing requirements. If the
escrow conditions are completed as contemplated, the Notes will accrue
interest from the date of the escrow closing. However, if the escrow
conditions are not met by April 30, 2010, investors will have the right to
put their Notes and receive par, without any accrued interest.
As well, on completion of the escrow conditions, three nominees proposed by
Simmer and Jack will be appointed to the First Uranium board of directors.
If Gold Wheaton subscribes for a minimum of $10 million of the Notes under
the Offering, then Gold Wheaton shall be entitled to nominate one of the
remaining four independent directors.
These securities have not been and will not be registered under the United
States Securities Act of 1933, as amended, or the securities laws of any
state, and may not be offered or sold in the United States unless an
exemption from registration is available. This press release does not
constitute an offer to sell or the solicitation of an offer to buy these
securities in the United States.
****
About First Uranium Corporation
First Uranium Corporation is focused on its goal of becoming a significant
low-cost producer of uranium and gold through the expansion of the
underground development to feed the new uranium and gold plants at the
Ezulwini Mine and through the expansion of the plant capacity of the Mine
Waste Solutions tailings recovery facility, both operations situated in South
Africa.
Cautionary Language Regarding Forward-Looking Information
This news release contains and refers to forward-looking information based on
current expectations. All other statements other than statements of
historical fact included in this release are forward-looking statements (or
forward-looking information). No assurance can be given that the
transactions contemplated herein will be concluded or other forward-looking
statements will prove to be accurate, such statements are subject to
significant risks and uncertainties, and 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 that are included herein, except in accordance with applicable
securities laws.
1 April 2010
Sponsor: Investec Bank Limited
Date: 01/04/2010 07:48:01 Produced by the JSE SENS Department.
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