Joint Venture Partners Confirm Transfer of Mining Concession Title



    TORONTO, April 14 /CNW/ -- Global Alumina Corporation (TSX: GLA.U) (the
"Company" or "Global Alumina"), a corporation participating in a joint venture
to develop an alumina refinery, mine and associated infrastructure in the
bauxite-rich region of the Republic of Guinea (the "Project"), announced that
its joint venture partners have agreed that the Title Transfer Date as defined
in the Subscription Agreement is deemed to have occurred, releasing $11.3
million from the Company's escrow account to its general corporate accounts
and relieving the Company of certain indemnity and warranty obligations in
favor of the joint venture partners.
    

    
    On December 30, 2008, the Company and its joint venture partners entered
into an agreement providing that upon the official publication of the order
made in November 2006 transferring the Project's Guinean mining concession
from the Company to the joint venture's operating subsidiary and the
expiration of a 65 day challenge period, the title to the mining concession
would be deemed to have been transferred to the joint venture's operating
subsidiary for purposes of the joint venture subscription agreement.  The
order was published in the Official Journal of the Republic of Guinea on
December 22, 2008 and the challenge period expired on February 25, 2009.  The
joint venture partners have reviewed the minutes of a report of a baliff of
the Guinean Courts certifying no challenges to the order have been raised and
have confirmed their satisfaction with the process of transfer of the title to
the Project's mining concession.  Pursuant to the agreement, certain
warranties and indemnities provided by the Company to the joint venture
partners in connection with title to Project's mining concession have been
terminated and approximately $11.3 million, representing 15% of the first and
second deferred subscription payments, has been released from escrow and
become freely available to the Company.
    

    
    Additionally, on April 8, 2009 the Project joint venture board approved
additional Project funding of $22.0 million for the three month period of
April through June 2009, of which Global Alumina will be responsible for its
one-third share.  Global Alumina has approximately $93.3 million in cash,
$69.7 million of which is in escrow available for Project development and
$23.6 million of which is unrestricted and available for general corporate
purposes.  The Company also has a $33.3 million subscription receivable due to
the Company on the completion of the Project debt financing.
    

    About Global Alumina
    
    Global Alumina and its joint venture partners are developing a 3.6
million metric tons per annum steady state capacity alumina refinery located
in the bauxite-rich region of the Republic of Guinea.  The joint venture
partners in the Project are Global Alumina International, Ltd., a wholly owned
subsidiary of the Company, BHP Billiton, Dubai Aluminium Company Limited and
Mubadala Development Company PJSC.  The Company offers a first mover advantage
over other projects in the region and an opportunity for socially responsible
investing in a country that holds over one-third of the world's bauxite
resources. Global Alumina is headquartered in Saint John, New Brunswick and
has administrative offices in New York, London and Montreal. For further
information visit the Company's website at .
    

    Forward Looking Information
    
    Certain information in this press release is "forward looking
information", which reflects management's expectations regarding the Company's
future growth, results of operations, performance and business prospects and
opportunities.  In this release, the words "may", "would", "could", "should",
"will", "intend", "plan", "anticipate", "believe", "seek", "propose",
"estimate" and "expect" and similar expressions, as they relate to the Company
and its assets and interests, are often, but not always, used to identify
forward looking information.  Such forward looking information reflects
management's current beliefs and is based on information currently available
to management.  Forward looking information involves significant risks and
uncertainties, should not be read as a guarantee of future performance or
results, and will not necessarily be accurate indications of whether or not or
the times at, or by which, such performance or results will be achieved.  In
particular, this discussion contains forward looking information pertaining to
the following: the decisions of the joint venture with respect to the conduct
of the Project; the approval of the proposed development plan with respect to
the Project and the making of a decision by the joint venture partners to
proceed with the development of the Project and the timing of such decision;
expectations regarding the financing of the Project, the amount, nature and
timing of capital expenditures to complete the Project; the timing of refinery
construction and general business strategies and plans of management with
respect to the Project.  A number of factors could cause actual results to
differ materially from the results discussed in the forward looking
information, including, but not limited to: the failure or delay in obtaining
debt financing for the Project; the limited control by the Company of the
assets and operations of the Project and its inability to make major decisions
with respect to the Project without agreement from the other joint venture
partners; the requirement that the Company hold a portion of subscription
proceeds received pursuant to the Subscription Agreement in escrow and the
possibility the Company may need to seek additional financing to fund
corporate expenses; the amount of debt financing available to the Project
being insufficient to fund the Project to complete development; the inability
of the Company to raise sufficient financing to fund its share of the
development costs of the Project in excess of the maximum Project debt
financing; the possibility that the Company's interest will be diluted if it
is unable to meet a capital call with respect to the Project; the current
political and economic risks of investing in a developing country; a decision
by the joint venture partners to delay the Project or not to proceed with the
Project; the Company's dependence on an interest in a single asset; the
possible forfeiture of the Project's Guinean mining concession in certain
circumstances and certain other factors related to the Project discussed under
the heading "Risk Factors" in the Company's Annual Information Form.
    

    
    The forward looking information contained in this discussion is based on
the following principal assumptions: that the data, estimates and projections
in the bankable feasibility study of the Project are within the range of
accuracy suggested therein; that the joint venture partners will agree on a
timely schedule for development of the Project and will make a decision to
proceed with the Project upon approval of the development plan; that general
economic conditions will not become adverse to the completion of financing for
the Project and will have no material adverse impact on the Project; that the
negotiations with prospective Project lenders and between the prospective
Project lenders and the Guinean government will resume and be successfully
concluded.  Although the forward looking information contained in this
discussion is based upon what management of the Company believes are
reasonable assumptions, Global Alumina cannot assure investors that actual
results will be consistent with this forward looking information.  If the
assumptions underlying forward looking information prove incorrect or if other
risks or uncertainties materialize, actual results may vary materially from
those anticipated in this release.  This forward looking information is made
as of the date of this press release, and Global Alumina assumes no obligation
to update or revise it to reflect new events or circumstances, except as
required by applicable law.
    


    




For further information:

For further information: Michael Cella of Global Alumina,
+1-212-351-0010, cella@globalalumina.com; or Barbara Cano of Breakstone Group,
+1-646-452-2334, bcano@breakstone-group.com Web Site:
http://www.globalalumina.com

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Global Alumina Corporation

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