PERTH, Western Australia, Jan. 30 /CNW/ - Fusion Resources Limited
(Fusion or Company) (ASX: FSN, TSX: FNS) is pleased to present its quarterly
report for the period ending 31 December 2008. The Company is now the subject
of a conditional scrip takeover offer from Paladin Energy Ltd (Paladin).
Highlights during the quarter included:
Paladin Takeover Offer
- On 2 December 2008 Paladin announced an off-market scrip takeover
offer (Offer) for all of the ordinary shares in Fusion, which is
scheduled to close at 5:00pm (WDST) on 12 February 2009.
- The consideration under the Offer comprises 1 fully paid ordinary
Paladin share for every 6 fully paid ordinary Fusion shares, implying
a price of A$0.508 per Fusion share based on yesterday's closing
price of Paladin shares on the ASX of A$3.05.
- At 29 January 2009, Paladin held a relevant interest in 44,818,289
(92.44%) of Fusion's ordinary shares on issue.
- The Offer is subject to a number of conditions. At the date of this
report the conditions relating to minimum acceptance, consent to
quotation, lender's consent, preference shares, Valhalla North
Uranium Project JORC Code resource, and settlement of contingent
liability had been fulfilled.
- As a result of the settlement of the Cazaly contingent liability and
Fusion's continuing operations in general, the cash balance condition
to Paladin's takeover offer (as set out in section 12.8(g) of the
Bidder's Statement) is likely to be breached.
Valhalla North Uranium Project
- On 10 December 2008 the Company announced its maiden resource at its
100% owned Valhalla North Project, comprising the Honey Pot and Duke
- Honey Pot has an Inferred Mineral Resource of 2.56Mt @ 700ppm
(0.070%) U3O8 for a contained 3.96Mlb U3O8, estimated using a
cut-off grade of 250ppm (0.025%) U3O8 and reported in accordance
with the JORC Code and NI 43-101.
- Duke Batman has an Indicated Mineral Resource of 0.50Mt @ 780ppm
(0.078%) U3O8 for a contained 0.86Mlb U3O8; and an Inferred
Mineral Resource of 1.61Mt @ 630ppm (0.063%) U3O8 for a
contained 2.24Mlb U3O8, estimated using a cut-off grade of 250ppm
(0.025%) U3O8 and reported in accordance with the JORC Code and
The information in this report that relates to in-situ Mineral Resources
is based on information compiled by Mr. Malcolm Titley of CSA Global. Mr.
Titley takes overall responsibility for the report. He is a Member of the
Australasian Institute of Mining and Metallurgy (AusIMM) and has sufficient
experience, which is relevant to the style of mineralisation and type of
deposit under consideration, and to the activity he is undertaking, to qualify
as a "Competent Person" as defined in the 2004 Edition of the 'Australasian
Code for Reporting of Exploration Results, Mineral Resources and Ore Reserves'
(JORC Code) and has the appropriate relevant qualifications, experience and
independence to qualify as a "Qualified Person" under National Instrument
43-101 - "Standards of Disclosure for Mineral Projects" (NI 43-101). Mr.
Titley consents to the inclusion of such information in this Report in the
form and context in which it appears.
The information in this report that relates to Exploration Results is
based on information compiled by Mr. Robert Waugh, who is a Member of AusIMM
and a Member of the Australian Institute of Geoscientists (AIG). Mr. Waugh is
a full-time employee of Fusion. Mr. Waugh has sufficient experience to qualify
as a "Competent Person" as defined in the 2004 Edition of the JORC Code.
Information of a scientific or technical nature in this report was
prepared under the supervision of Mr. Robert Waugh, Exploration Manager of
Fusion, who is a Member of AusIMM and AIG and a full-time employee of Fusion.
Mr. Waugh has sufficient experience to qualify as a "Qualified Person" under
NI 43-101. Mr. Waugh is responsible for the verification and quality assurance
of Fusion's exploration data and analytical results from the Valhalla North
Project. The Qualified Person has verified the data disclosed in this report,
including sampling, analytical and test data underlying the information and
opinions contained in this report. Sample preparation and sample analysis was
conducted by ALS laboratory in Brisbane by XRF pressed powder.
Mr. Waugh consents to the inclusion in the report of the matters based on
his information in the form and context in which it appears.
For further information regarding the Valhalla North Project, including a
description of Fusion's quality assurance program, quality control measures,
the geology, samples collected and testing procedures in respect of the
Valhalla North Project please refer to the most recent technical report
prepared in accordance with NI 43-101 entitled "NI43-101 Technical Report,
Valhalla North - Queensland, Australia, Duke Batman and Honey Pot Resource
Estimates" dated January 23, 2009, which is available under the Company's
profile at www.sedar.com.
This report contains forward-looking statements. These forward-looking
statements reflect management's current beliefs based on information currently
available to management and are based on what management believes to be
reasonable assumptions. A number of factors could cause actual results,
performance, or achievements to differ materially from the results expressed
or implied in the forward looking statements. Such factors include, among
others, future prices of uranium, the actual results of current and future
exploration activities, risks inherent in resource estimates, plant and/or
equipment failure, availability of financing, and obtaining Governmental
and/or Native Title approvals and the fact that the Queensland State
Government currently prohibits the mining of uranium.
The full text of the Company's "Quarterly Report to the Australian
Securities Exchange for the Period Ending 31 December 2008" is available from
the Company's website at www.fusionresources.com.au and under the Company's
profile at www.sedar.com.
For further information:
For further information: David Berrie, Managing Director, Telephone: +61
8 9322 6322, Facsimile: +61 8 9322 6558