First Uranium Corporation
TSX : FIU
JSE : FUM

First Uranium Corporation

June 01, 2009 09:21 ET

First Uranium Corporation Closes $106,750,000 Bought Deal Financing

TORONTO, ONTARIO and JOHANNESBURG, SOUTH AFRICA--(Marketwire - June 1, 2009) -

THIS NEWS RELEASE IS INTENDED FOR DISTRIBUTION IN CANADA ONLY AND IS NOT INTENDED FOR DISTRIBUTION TO UNITED STATES NEWSWIRE SERVICES OR DISSEMINATION IN THE UNITED STATES.

All amounts are in Canadian dollars unless otherwise noted.

First Uranium Corporation (TSX:FIU)(JSE:FUM) (ISIN:CA33744R1029) ("First Uranium" or the "Company") announced today that it has completed its previously announced bought deal offering (the "Offering") of 15,250,000 common shares of First Uranium at a price of $7.00 per share for gross proceeds of $106,750,000.

The syndicate for the Offering was led by Scotia Capital Inc. and included Macquarie Capital Markets Canada Ltd., RBC Capital Markets, National Bank Financial Inc. and Raymond James Ltd. The Company has granted the underwriting syndicate an over-allotment option to purchase up to an additional 2,287,500 common shares at the price of $7.00 per share. The option is exercisable, in whole or in part, within the next 30 days to cover over-allotments, if any, and for market stabilization purposes.

The Company intends to use the net proceeds from the Offering:

- to accelerate the construction of the pressure leach portion of the uranium circuit at the Mine Waste Solutions tailings recovery operation to more quickly realize higher uranium and gold recoveries;

- for potential consolidation opportunities; and

- for general corporate purposes.

This news release does not constitute an offer to sell or the solicitation of an offer to buy any of the Company's securities in the United States. The Company's securities have not been and will not be registered under the United States Securities Act of 1933, as amended, (the "1933 Act") or any state securities laws and may not be offered or sold within the United States or to U.S. persons unless registered under the 1933 Act and applicable state securities laws or an exemption from such registration is available.

About First Uranium Corporation

First Uranium Corporation (TSX:FIU)(JSE:FUM) is focused on its goal of becoming a significant low-cost producer of uranium and gold through the expansion of the underground development to feed the new uranium and gold plants at the Ezulwini Mine and through the expansion of the plant capacity of the Mine Waste Solutions tailings recovery facility, both in South Africa. First Uranium also plans to grow production by pursuing value-enhancing acquisition and joint venture opportunities in South Africa and elsewhere.

Cautionary Language Regarding Forward-Looking Information

This news release contains and refers to forward-looking information based on current expectations. All other statements other than statements of historical fact included in this release including, without limitation, statements regarding processing and development plans and future plans and objectives of First Uranium are forward-looking statements (or forward-looking information) that involve various risks and uncertainties. These forward-looking statements are made as of the date hereof and there can be no assurance that such statements will prove to be accurate, such statements are subject to significant risks and uncertainties, and actual results and future events could differ materially from those anticipated in such statements. Accordingly, readers should not place undue reliance on forward-looking statements that are included herein, except in accordance with applicable securities laws.

Contact Information

  • First Uranium Corporation
    1240-155 University Avenue, Toronto, ON Canada M5H 3B7
    www.firsturanium.com
    or
    First Uranium Corporation
    Bob Tait
    VP Investor Relations
    416-342-5639 (office), 416-558-3858 (mobile)
    bob@firsturanium.ca