| Fri 13 May 2011, 7:19 | | FUM - First Uranium Corporation - Business Milestones update |
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FUM
FIU
FUM - First Uranium Corporation - Business Milestones update
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: CA33744R1029
NEWS RELEASE - May 12, 2011
BUSINESS MILESTONES UPDATE
Toronto and Johannesburg - First Uranium Corporation (TSX:FIU) (JSE:FUM)
(ISIN:CA33744R1029) ("First Uranium" or "the Company") has today announced
that its Ezulwini mine shaft moiling and upgrade program has made significant
progress and as a result, a key production restraint has been removed.
The moiling (clearing) program was initiated after the shaft capacity was
restricted due to lateral pressures experienced in December 2010 that created
pinch points along the shaft`s hanging tower structure. This necessitated a
reduction in winding speeds for all conveyances ranging from between two and
four metres per second through the hanging tower.
The shaft is now operating at the targeted speeds with man and material
conveyances now travelling at up to seven meters per second.
The material handling capacity of the shaft has also been significantly
improved. The improved speeds mean that the material handling capacity of the
shaft has increased with immediate effect from 110 cars in a nine hour cycle
to 135 cars a cycle, an increase of 23%.
First Uranium President and CEO, Deon van der Mescht, said, "This represents a
step change in our overall production ramp up program. By addressing the
winder speeds of key conveyances, we have removed one of the key obstacles to
achieving our production targets. This concludes Phase 1 of the moiling
program and we will continue with the planned maintenance program and shaft up-
grade program, which will facilitate further increases in winding speeds to
ensure that shaft capacity keeps pace with the planned production ramp-up."
At present, current winding speeds are sufficient to hoist the planned
tonnages and do not represent a production constraint.
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). The Company`s plans involve various estimates and
assumptions and its business and operations are subject to various risks and
uncertainties, including without limitation, the outcome of the appeal of the
Water Use Licence by FSE. For more details on these estimates, assumptions,
risks and uncertainties, see the Company`s most recent Annual Information Form
and most recent Management Discussion and Analysis on file with the Canadian
provincial securities regulatory authorities on SEDAR at www.sedar.com. These
forward-looking statements are made as of the date hereof and there can be no
assurance that such 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.
www.firsturanium.com
Sponsor:Investec Bank Limited
Date: 13/05/2011 07:19:31 Produced by the JSE SENS Department.
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