Hathor Exploration Limited

Hathor Exploration Limited

February 20, 2008 08:15 ET

Hathor Exploration Limited: Expiry of Take Over Bid

VANCOUVER, BRITISH COLUMBIA--(Marketwire - Feb. 20, 2008) - Hathor Exploration Limited ("Hathor") (TSX VENTURE:HAT) announces that its offer to purchase all of the issued and outstanding shares of Northern Continental Resources Inc. ("Northern Continental") has expired and that it will not be extending its offer. No shares will be taken up and paid for under the offer.

Since November 16, 2007, the date on which Hathor made its offer to the shareholders of Northern Continental, management of Northern Continental has increased the fully-diluted capital of the company by 22,183,797 shares, representing a 54% increase in 90 days. This number includes the issuance of 10,100,000 flow-through shares and 2,900,000 stock options issued to insiders and employees.

Management of Hathor considers that such a "scorched earth" policy is not only irresponsible on the part of Northern Continental, but would result in an unacceptable level of dilution for Hathor if it were to continue with its bid.

Hathor has been impressed and gratified by the significant number of expressions of support that it has received from the Northern Continental shareholders who share Hathor's vision of a larger, stronger company, owning a 100% interest in the Russell Lake Property. Hathor holds a 40% interest in the Russell Lake Property, but has equal management authority with Northern Continental with respect to all activities on and in connection with the property.

Hathor has begun a 24-hole, 8,000 metre diamond drill program on its 90% owned Midwest NorthEast property and an 11-hole drill program on the South Russell property, both located in the Athabasca Basin. The Midwest NorthEast property is to the immediate northeast of the Midwest property of AREVA Resources Canada Inc., Denison Mines Corp. and OURD Canada Co. Ltd. where, subject to regulatory approvals, mine site construction is slated to begin in mid-2009 and open-pit mining of a shallow (depth of about 200 metres) orebody that grades 5.47 per cent U3O8, 4.37 per cent nickel and 0.33 per cent cobalt is planned for early 2010.

With capital resources of approximately Cdn $20 million, Hathor continues to aggressively advance its portfolio of eleven Athabasca region uranium exploration projects. This area has the world's highest-grade uranium ore deposits which account for approximately 25 per cent of the world's annual mine production of uranium.

Hathor Exploration Limited

Stephen G. Stanley, Director

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

Contact Information

  • Hathor Exploration Limited
    Stephen Stanley
    (604) 684-6707
    (604) 684-9277 (FAX)
    Website: www.hathor.ca