Forum Uranium Corp.

Forum Uranium Corp.

April 24, 2007 09:30 ET

Forum Uranium Corp.: $8,000,000 Brokered Private Placement

VANCOUVER, BRITISH COLUMBIA--(CCNMatthews - April 24, 2007) -


Forum Uranium Corp. (TSX VENTURE:FDC) (the "Company") is pleased to announce that the Company has negotiated a brokered private placement for gross proceeds of up to $8,000,000 with a syndicate of brokers (the "Agents") led by Salman Partners Inc., and including Haywood Securities Inc. and Wellington West Capital Markets Inc. wherein the Agents will use their best efforts to sell 4,000,000 units ("Units") at $0.75 per Unit and up to 5,435,000 flow-through common shares ("FT Shares") at $0.92 per FT Share in the capital stock of the Company. Each Unit will comprise one non-flow through common share (a "Share") and one half of one share purchase warrant (a "Warrant"), and each Warrant will entitle the holder to purchase one additional non-flow through common share at the price of $1.00 for a period of 18 months following the closing. The Company has the right to accelerate the expiry date of the Warrants if the volume weighted average closing price of the Company's common shares, as traded on the TSX Venture Exchange, exceeds $1.50 per share for more than 20 consecutive trading days. In that event, the Warrants will expire 30 days after the Company has given notice of the accelerated expiry to the Warrant holders.

The Company has also granted to the Agents an over-allotment option (the "Over-Allotment Option"), exercisable at least two days prior to the closing, to increase the gross proceeds of the offering up to an additional $2,000,000.

The Agents will receive a cash commission on the sale of the Units and FT Shares representing 6.5% of the gross proceeds. The Company will also issue share purchase warrants to the Agents on closing (the "Agents' Warrants") entitling the Agents to purchase additional common shares equal in number to 6.5% of the aggregate number of Units and FT Shares sold, including any units sold pursuant to the Over-Allotment Option. The Agents' Warrants will entitle the Agents to purchase common shares at the price of $1.00 per common share for a period of 18 months following the closing. The Agents' Warrants will have the same terms and conditions as the Warrants, including the accelerated expiry provision.

In accordance with securities legislation currently in effect, the Shares, Warrants and the FT Shares will be subject to "hold period" of four months plus one day from the date of closing.

The proceeds of the sale of the FT shares will be used for exploration and development of the Company's Athabasca and Thelon Basin uranium properties and the proceeds of the sale of the units will be used for general exploration and development and to provide general working capital to the Company.

About Forum Uranium

Forum Uranium Corp. is a Canadian-based energy company with a focus on the acquisition, exploration and development of uranium projects. The Company has a 100% interest in over 160,000 hectares of uranium exploration properties, a 65% operating interest in the Costigan Lake Joint Venture with partner NVI Mining (Breakwater Resources) and a 50% operating interest in the Haultain River Joint Venture with partner Hathor Exploration in the prolific Athabasca Basin, Saskatchewan. Forum also has a 50% operating interest in the North Thelon Joint Venture ("NTJV") with partner Superior Diamonds in over 100,000 hectares of prospective ground nearby AREVA's 130 million pound U3O8 Kiggavik uranium deposit in the Thelon Basin, Nunavut Territory. The NTJV has recently optioned property in the Kiggavik area from Tanqueray Resources Ltd.


Richard J. Mazur, P.Geo., President & CEO

This news release does not constitute an offer to sell or a solicitation of an offer to sell any of the securities in the United States. The securities have not been and will not be registered under the United States Securities Act of 1933, as amended (the "U.S. Securities 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 U.S. Securities Act and applicable state securities laws or an exemption from such registration is available.

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

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