Blue Sky Uranium Corp.
TSX VENTURE : BSK
FRANKFURT : MAL

Blue Sky Uranium Corp.

February 28, 2007 19:20 ET

Blue Sky Uranium Announces $3 Million Financing

VANCOUVER, BRITISH COLUMBIA--(CCNMatthews - Feb. 28, 2007) -

NOT FOR DISTRIBUTION TO UNITED STATES NEWSWIRE SERVICES OR FOR DISSEMINATION IN THE UNITED STATES.

Blue Sky Uranium Corp. (the "Company") (TSX VENTURE:BSK)(FRANKFURT:MAL)(WKN:AOMKXP) has entered into an agreement with Canaccord Capital Corporation ("Canaccord") whereby Canaccord will use its commercially reasonable efforts to complete a Short Form Offering (the "Offering") of up to 2,000,000 Units to raise up to $2,000,000 at $1.00 per Unit. Each Unit consists of one common share in the capital of the Company (a "Share") and one half of one common share purchase warrant (a "Warrant"). Each whole Warrant will entitle the holder to acquire one additional Share at a price of $1.30 for a period of two years following the date of the first closing of the Offering. The Warrants will be transferable and, subject to evidence of satisfactory distribution in accordance with the rules of the TSX Venture Exchange, will be listed and posted for trading on the Exchange.

In addition to the Offering, the Company has arranged a brokered private placement financing (the "Private Placement") with Canaccord of up to 1,000,000 Units at $1.00 per Unit for gross proceeds of up to $1,000,000, with each Unit comprising a Share and one half of one Warrant. Each whole Warrant will entitle the holder to purchase an additional Share for a period of two years from the first closing of the Offering at a price of $1.30 per Share. These securities will be subject to a four month hold period. These Warrants will be transferable and, subject to evidence of satisfactory distribution in accordance with the rules of the TSX Venture Exchange, will be listed and posted for trading on the Exchange after the expiry of the four month hold period. In addition, the Company has granted Canaccord an over-allotment option in connection with the Private Placement, whereby Canaccord may obtain subscriptions for up to an additional 300,000 Units with the same terms as the other Units issued under the Private Placement. Insiders may participate in the Private Placement.

Canaccord will receive a cash commission equal to 8% of the gross proceeds of the sale of Units under the Offering and the Private Placement and a corporate finance fee payable by the issuance of an aggregate of 60,000 Shares. In addition, Canaccord will receive Agent's Options equal to 10% of the aggregate number of Units sold under the Offering and the Private Placement. Each Agent's Option will entitle the Agent to acquire one Unit (an "Agent's Unit") at a price of $1.00 per Agent's Unit, expiring two years from the date of the first closing of the Offering. Each Agent's Unit will consist of one Share and one half of one Warrant (an "Agent's Warrant"), each whole Agent's Warrant entitling the Agent to acquire one additional Share for a period of two years from the date of the first closing of the Offering at an exercise price of $1.30 per Share. These securities will be subject to a four month hold period. These Agent's Warrants will be transferable and, subject to evidence of satisfactory distribution in accordance with the rules of the TSX Venture Exchange, will be listed and posted for trading on the Exchange after the expiry of the four month hold period. The Company has also agreed to pay to Canaccord an Administration Fee of $5,000 and all of the expenses incurred by Canaccord in connection with the Offering and Private Placement.

The Offering and Private Placement are subject to regulatory approval.

The net proceeds received by the Company will be used to fund on-going work programs on the Company's properties and for general working capital purposes.

ON BEHALF OF THE BOARD

Mr. Sean Hurd, President & CEO

Cautionary Note to US Investors: This news release may contain information about adjacent properties on which we have no right to explore or mine. We advise U.S. Investors that the SEC's mining guidelines strictly prohibit information of this type in documents filed with the SEC. U.S. Investors are cautioned that mineral deposits on adjacent properties are not indicative of mineral deposits on our properties. This news release may contain forward-looking statements including but not limited to comments regarding the timing and content of upcoming work programs, geological interpretations, receipt of property titles, potential mineral recovery processes, etc. Forward-looking statements address future events and conditions and therefore involve inherent risks and uncertainties. Actual results may differ materially from those currently anticipated in such statements.

Number 6

The TSX Venture Exchange has not reviewed and does not accept responsibility for the adequacy or the accuracy of this release.

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