Forte Energy NL

June 01, 2009 02:00 ET

Forte Energy announces A$10M Capital Raising

                                                                                                     FORTE ENERGY NL
                                                                                                     ACN 009 087 852
                                                                                     ASX CODE:  FTE,  AIM CODE: FTE,
                                                                      Telephone: +618 9322 4071, Fax: +618 9322 4073
                                                                                            ASX, AIM and Media Release
                                                                                                         1 June 2009

                                          FORTE ANNOUNCES A$10M CAPITAL RAISING


*       Forte to raise A$10M through the issue of 100 million ordinary shares at 10 cents per share to sophisticated
        institutional clients.

*       Funds  raised  to be used to progress highly prospective West African uranium projects and ongoing  project
        generation activities.

*       Preparation of initial JORC Code-compliant resource for the Firawa Uranium Project in Guinea now underway ~
        expected to be finalised within 3-4 weeks.

International  uranium  company Forte Energy NL ("Forte Energy" or "The Company") (ASX: FTE, AIM:  FTE)  is  pleased  to
advise  that  it has reached in-principle agreements with Blackwood Capital and StoneBridge Group to raise A$10  million
through  the issue of 100 million ordinary shares at an issue price of 10 cents per share to sophisticated institutional
clients, from North America, the United Kingdom and Australia.

The funds raised through the placement will primarily be used by Forte Energy to progress its high quality portfolio  of
West African uranium projects, including:

    *   resource  drilling programmes and pre-feasibility studies at the Company's Bir En Nar uranium  prospect  in
    *   further exploration and pre-feasibility studies at the Firawa Uranium Project in Guinea, for which an initial
        JORC Code-compliant resource statement is expected to be announced shortly;

    *   further exploration and drilling programmes targeting several prospective uranium anomalies identified within
        the Company's other Exploration Licences near Bir Moghrein, in Mauritania and in Guinea; and
    *   ongoing investigation and targeting of other resource opportunities in Australia and internationally.

The  share  issue  is being undertaken in two tranches. The first tranche, comprising 66,698,704 shares  at  A$0.10  per
share,  will be placed pursuant to the Company's 15% placement authority and is to be issued within 7 days.  The  second
tranche, of 33,301,296 shares at A$0.10 per share, is to be placed subject to Shareholder approval at a general  meeting
of Shareholders. In this regard, a Notice of Meeting (NOM) will be forwarded to Shareholders shortly.

Application will also be made to the AIM market of the London Stock Exchange ('AIM') for admission to trading  of  these
ordinary shares.

Commenting on the strong level of support for the placement, Mark Reilly, Managing Director of Forte Energy,  said:  "In
the  current  difficult financial climate, we are delighted to have secured a strong financial platform from  which  the
Company can aggressively progress its existing projects and its ongoing appraisal of new projects."

In  a  separate  announcement released today, the Company advised that it has engaged leading mining consultants  Coffey
Mining  to prepare an initial JORC Code-compliant resource estimate for the Firawa Uranium Project. The maiden  Resource
is expected to be announced within four weeks.

Please call Mark Reilly with any queries.

Mark Reilly
Managing Director

Forte Energy's Nominated Advisor for the AIM market is RFC Corporate Finance Ltd.
Contact: Stuart Laing, Ph: +618 9480 2506

Conduit PR
Jos Simson/Ed Portman
+44 (0) 207 429 6603

About Forte Energy

Forte  Energy  is an emerging international uranium company focused on the exploration and development of a high-quality
portfolio  of uranium assets in the Republics of Mauritania and Guinea, West Africa. These assets have the potential  to
develop as long-life uranium production projects, representing a significant new strategic source of uranium supply  for
world markets.

Forte is progressing its Mauritanian assets through a Strategic Alliance and Cooperation Agreement with the French-based
multinational  industrial  and nuclear energy giant, Areva NC, a global expert in nuclear energy.  Areva  also  holds  a
strategic 15% equity interest in Forte Energy.

Under this agreement, Forte Energy has access to Areva's extensive uranium exploration database in Mauritania as well as
technical cooperation and on-ground support from Areva in advancing the exploration and evaluation, in particular of the
rapidly emerging Bir En Nar Uranium Project, located in the Zednes region of northern Mauritania.

Forte Energy and Areva have agreed to establish a joint venture to develop the Company's Mauritanian assets if a minimum
60-80 million pounds of JORC Code compliant inferred uranium resources are established within the next two years.

Forte  Energy's  growth  strategy in the international uranium industry is being driven by  an  accomplished  Board  and
management team focused on maximising shareholder value and returns.

Contact Information

  • Forte Energy NL