Cline Mining Corporation

Cline Mining Corporation

December 22, 2006 08:55 ET

Cline Completes Reverse Take-Over of UMC Energy plc Exploration Program in Progress on Morandava Uranium

SUDBURY, ONTARIO--(CCNMatthews - Dec. 22, 2006) - Cline Mining Corporation ("Cline") (TSX:CMK) announces that, further to its announcement dated September 26, 2006, the reverse take-over transaction with respect to UMC Energy plc (AIM:UEP) has now closed.

Accordingly, Cline will receive 12,272,667 ordinary shares in UMC, representing a 40% interest, in exchange for the Company's 80% interest in URAMAD SA, its Madagascar subsidiary. URAMAD SA owns the Morondava Uranium Property in southwestern Madagascar.

In conjunction with the transaction, Ken Bates, President and CEO and the Hon. Bill McKnight P.C., Chairman will join the board of UMC as non-executive directors.

Morondava Uranium Property

Phase 1 of the US$2.3 million exploration program, previously announced in our news release of September 23, 2006, is currently in progress and includes an airborne survey and drilling of existing targets. Cline has made available operational personnel to URAMAD SA, including a Project Manager, geologists and in-country labour and support. The project, however, is under the management and control of the UMC Board of Directors and Chief Executive Officer.

Cline Mining Corporation is a mine development company focused on the exploration and development of uranium and iron-ore in Madagascar, gold in Canada and metallurgical coal in Canada for the international seaborne coal trade market. The Company website can be located at


Ken Bates, President and Chief Executive Officer

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