| Mon 25 Jul 2011, 7:19 | | FUM - First Uranium Corporation - AngloGold Ashanti to Acquire Interest in First |
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FUM
FIU
FUM - First Uranium Corporation - AngloGold Ashanti to Acquire Interest in First
Uranium from Village Main Reef
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 - July 25, 2011
AngloGold Ashanti to Acquire Interest in First Uranium from Village Main Reef
Toronto and Johannesburg - First Uranium Corporation (TSX:FIU), (JSE:FUM)
(ISIN:CA33744R1029) ("First Uranium" or "the Company") today announced that
AngloGold Ashanti Limited ("AngloGold") reported that it has entered into an
agreement to acquire 47,065,916 shares (the "FIU Shares") in First Uranium held
by Village Main Reef Limited ("Village"), for CAD$0.60 per share. This equates
to a 19.79% interest in First Uranium. Village has also granted to AngloGold
lock-up rights and rights of first refusal in respect of Village`s remaining
5.7% equity stake in the Company and approximately ZAR392.8 million principal
amount of secured convertible notes issued by Mine Waste Solutions (Proprietary)
Limited, a wholly-owned subsidiary of the Company.
Following the announcement by Village that it intended to sell its 26% interest,
the Company on July 12, 2011 announced that the board of directors of First
Uranium constituted a special committee (the "Special Committee") of directors
to monitor developments and undertake a strategic review of the Company and its
capital structure and to advise on any strategic alternatives that may be in the
best interests of First Uranium and its stakeholders. In light of these
developments, the Special Committee will be considering the effects on the
Company and reviewing regulatory considerations, including in relation to its
BEE status.
About First Uranium Corporation
First Uranium Corporation (TSX:FIU, JSE:FUM) is focused on the development and
operation of gold and uranium projects in South Africa. The Company`s goal is
to become a significant low-cost producer of gold and uranium from its Ezulwini
underground mine (the "Ezulwini Mine") and the Mine Waste Solutions tailings
recovery facility ("MWS"). To expand it production profile, First Uranium has
expanded the capacity of MWS and it is ramping up production at the Ezulwini
Mine and plans to pursue other value-enhancing opportunities in South Africa.
For further information, please contact:
John W.W. Hick
Chairman of the Special Committee
Tel: +1 416 306 3072
Scot Sobey
Executive Vice President
Tel: +27 11 278 7001
Sponsor: Investec Bank Limited
www.firsturanium.com
Date: 25/07/2011 07:19:00 Produced by the JSE SENS Department.
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