First Uranium completes acquisition of Mine Waste Solutions (Proprietary) Limited



    /NOT FOR DISSEMINATION IN THE UNITED STATES OR FOR DISTRIBUTION TO
    U.S. NEWSWIRE SERVICES/

    TORONTO, June 7 /CNW/ - First Uranium Corporation (TSX:FIU, JSE:FUM,
CA33744R1029:ISIN) ("First Uranium" or the "Company") today announced that its
wholly-owned subsidiary, First Uranium (Proprietary) Limited, has completed
the acquisition of Mine Waste Solutions (Proprietary) Limited ("MWS") and its
wholly-owned subsidiary Chemwes (Proprietary) Limited ("Chemwes"). With this
closing, First Uranium will issue, in full consideration of the purchase
price, 3,093,980 common shares to the vendors, namely Fraser Alexander
Tailings (Pty) Ltd., Nedbank Capital, Industrial Development Corporation of
South Africa Limited and the current MWS management.

    
    The MWS assets acquired include:
    -   a gold plant with proven capacity for processing 570,000 tonnes per
        month and
    -   three tailings dams from which uranium and gold can be recovered.
    

    "We welcome the Mine Waste Solutions operating team into First Uranium,
where they will join our Buffelsfontein operations led by Jacob Mtonga," said
Gordon Miller, President and CEO of First Uranium. "The acquisition
facilitates the Buffelsfontein tailings recovery project reaching peak
production sooner, improving its overall economics and extending the life of
the project. We are pleased to have this acquisition completed ahead of
schedule and appreciate the prompt attention given to our transaction by the
South African Reserve Bank and the Competition Commission of South Africa to
approve this transaction."

    
    The acquisition of MWS benefits the Buffelsfontein tailings recovery
    project by providing:
    -   immediate financial benefit from gold production, 15 months ahead of
        schedule;
    -   an accelerated schedule (by eight months) to achieve peak uranium and
        gold production;
    -   a tailings deposition area;
    -   an increase to the measured and indicated resource of the project by
        172,000 ounces of gold and 4.9 million pounds of uranium;
    -   an increase to the inferred resource of the project by 566,000 ounces
        of gold and 12.4 million pounds of uranium;
    -   the life of the project from 14 to 16 years and
    -   an improved NPV.

    For more details about how the acquisition of MWS impacts the
Buffelsfontein tailings recovery project reference should be made to the
following documents on First Uranium's website, www.firsturanium.com:
    -   news release of April 4, 2007 "First Uranium acquires Mine Waste
        Solutions (Proprietary) Limited to complement the Buffelsfontein
        Tailings Recovery Project in South Africa":
    -   news release of May 2, 2007 "First Uranium signs formal agreement for
        the acquisition of Mine Waste Solutions (Proprietary) Limited;
    -   news release of May 22, 2007 "First Uranium files revised
        Buffelsfontein technical report"; and
    -   technical report of May 22, 2007 "Preliminary Assessment of the
        Buffelsfontein Project, North West Province, Republic of South
        Africa."
    

    All technical disclosure in this news release relating to the
Buffelsfontein tailings recovery project is extracted from a technical report
entitled "Technical Report - Preliminary Assessment of the Buffelsfontein
Project, North West Province, Republic of South Africa" (the "Buffels
Technical Report") originally submitted on November 8, 2006, revised on
December 5, 2006 and January 31, 2007 and further revised on May 22, 2007
prepared in accordance with National instrument 43-101 ("NI 43-101) by R.
Dennis Bergen, P.Eng and Wayne Valliant P.Geo of Scott Wilson RPA, each of
whom is a "qualified person" under NI 43-101 and is independent of First
Uranium. The disclosure contained in this news release has been reviewed and
approved by Mr. Bergen and Mr. Valliant.

    The economic analysis contained in this news release is contained in the
    Buffels Technical Report and is based, in part, on inferred resources,
    and is preliminary in nature. Inferred resources are considered too
    geologically speculative to have mining and economic considerations
    applied to them and to be categorized as Mineral Reserves. There is no
    certainty that the reserves development, production and economic
    forecasts on which the preliminary assessment contained in the Buffels
    Technical Report is based, will be realized.

    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 potential production rates and operating costs,
processing and development plans, estimated net present values 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.
    Important factors could cause actual results to differ materially from
First Uranium's expectations. Such factors include, among others: the actual
results of the planned feasibility studies on First Uranium's projects; the
actual results of additional exploration and development activities at First
Uranium's projects; the timing and amount of estimated future production and
the costs thereof; capital expenditures; the costs and timing of the
development of First Uranium's projects; the availability of any additional
capital required to bring future projects into production; conclusions of
economic evaluations; changes in project parameters as plans continue to be
refined; future prices of commodities; the failure of plant, equipment or
processes to operate as anticipated; accidents; labour disputes; delays in
obtaining governmental approvals, permits or financing or in the completion of
development or construction activities; currency fluctuations, as well as
those factors discussed under "Risk Factors" in First Uranium's final
prospectus dated December 12, 2006 as filed with securities regulatory
authorities in Canada. Although First Uranium has attempted to identify
important factors that could cause actual results to differ materially, there
may be other factors that cause results not to be as anticipated, estimated or
intended.

    About First Uranium Corporation

    First Uranium Corporation is focused on the development of South African
uranium and gold mines with the goal of becoming a significant producer
through the re-opening and development of the Ezulwini underground mine, and
the construction of the Buffelsfontein tailings recovery facility. First
Uranium also plans to grow production by pursuing acquisition and joint
venture opportunities.

    First Uranium Corporation
    1240-155 University Avenue, Toronto, ON Canada M5H 3B7
    www.firsturanium.com





For further information:

For further information: Gordon Miller, President and Chief Executive
Officer at +27 11 830 0390; Bob Tait, VP Investor Relations at (416) 558-3858
or bob@firsturanium.com

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First Uranium Corporation

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