Korea Electric Power Corporation

Korea Electric Power Corporation

February 10, 2012 16:50 ET

Korea Electric Power Corporation Announces Acquisition of Common Shares of Strathmore Minerals Corp.

SEOUL, KOREA--(Marketwire - Feb. 10, 2012) - On February 10, 2012, Korea Electric Power Corporation ("KEPCO") acquired from treasury 14,586,182 common shares ("Common Shares") of Strathmore Minerals Corp. ("Strathmore") at a price of $0.55 per Common Share for total consideration of $8,022,400.10 pursuant to a share subscription agreement and certain ancillary agreements between KEPCO and Strathmore dated February 1, 2012 (collectively, the "Agreements"). As a result of this acquisition, KEPCO owns and exercises control and direction over approximately 13.97% of the issued and outstanding Common Shares. KEPCO has relied on Section 2.3 of National Instrument 45-106 - Prospectus and Registration Exemptions as they meet the definition of an 'accredited investor' under securities legislation.

One of the Agreements contains an off-take provision, whereby KEPCO has the right to purchase a portion of any future annual uranium production from Strathmore's properties, subject to pre-existing arrangements. Future off-take uranium purchases shall be determined by KEPCO's equity ownership in Strathmore.

KEPCO acquired the Common Shares for investment purposes. KEPCO may in the future increase or decrease its holdings in Strathmore depending on market conditions and the business and prospects of Strathmore. KEPCO will be filing a report under National Instrument 62-103 The Early Warning System and Related Take-Over Bid and Insider Reporting Issues.

Contact Information

  • Korea Electric Power Corporation
    Joong-Kyum Kim
    President & CEO
    82-2-3456-7099 (FAX)