Homeland Uranium Inc.

Homeland Uranium Inc.

October 30, 2008 17:09 ET

Homeland Uranium Inc. Completes Investment in Macusani Yellowcake Inc.

TORONTO, ONTARIO--(Marketwire - Oct. 30, 2008) - Homeland Uranium Inc., ("Homeland or the "Company") is pleased to announce that pursuant to the share purchase agreement between Homeland and Macusani Yellowcake Inc. (TSX VENTURE:YEL) ("Macusani") dated October 15, 2008, Homeland has acquired 7,619,047 units of Macusani at a price of $0.2625 per unit for total purchase price of $2 million.

Each unit is comprised one common share and 0.6 of a common share purchase warrant, with each whole warrant exercisable for a 24-month period to acquire an additional common share at a price of $0.35 per share.

Homeland owns approximately 23.9% of the issued and outstanding common shares of Macusani on a non-diluted basis (33.4% on a fully-diluted basis if all warrants acquired in the private placement were exercised).

Homeland also acquired certain exclusivity rights until September 15, 2009 to negotiate and enter into an agreement respecting a business combination between the two companies. The exclusivity rights also preclude Macusani from soliciting other transactions regarding a change of control and provide Homeland with matching rights before Macusani may accept, approve or recommend an unsolicited change of control transaction.

Nick Tintor, President and CEO of the Homeland, has been appointed to the board of directors of Macusani as Homeland's nominee.

All securities acquired pursuant to the private placement are subject to a 4-month hold period.

Homeland acquired the units of Macusani in connection with the share purchase agreement for investment purposes only. Subject to availability, price, the general state of the capital markets and the financial condition of Macusani from time to time, Homeland may purchase or sell securities of Macusani.

Homeland Uranium

Homeland Uranium is a natural resource company engaged in the acquisition, exploration and development of uranium properties. The Company's focus is on exploration for uranium in the Arlit region of Niger, where the Company has an interest in the Agelal Project and the Asekra Project, which include eight exploration concessions covering an area of approximately 3,731 square kilometres within the Tim-Merso? Basin. The Company also is exploring for uranium in the Uravan Belt in the states of Colorado and Utah, United States, where the Company holds rights to 10 exploration properties.

Homeland Uranium remains well funded with more than $11 million in cash and no debt.

This news release may contain forward-looking statements based on assumptions and judgments of management regarding future events or results. Such statements are subject to a variety of risks and uncertainties which could cause actual events or results to differ materially from those reflected in the forward-looking statements.

No stock exchange, securities commission or other regulatory authority has approved or disapproved the information contained herein.

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