First Uranium Production update for the third quarter ended December 31, 2007

    TORONTO, Jan. 21 /CNW/ - First Uranium Corporation (TSX:FIU, JSE:FUM)
(ISIN:CA33744R1029) ("First Uranium" or "the Corporation") today announced its
production results for the fiscal quarter ended December 31, 2007 ("Q3 2008").
First Uranium began production at its tailings recovery project at Mine Waste
Solutions ("MWS") and its underground Ezulwini Mine ("Ezulwini") in June 2007
and October 2007 respectively. During the Corporation's third quarter which
ended December 31, 2007 the Corporation processed 28,000 tonnes of underground
ore from Ezulwini and 832,000 tonnes of reclaimed tailings from MWS to produce
a total of 12,412 ounces of gold.
    "Our mine plan development program entered a new phase during the quarter
when we started producing gold from Ezulwini and started up the initial
long-life tailings reclamation installation at MWS," said Gordon Miller,
President and Chief Executive Officer of First Uranium. "Both of our
operations are now mining gold and uranium and the recovery of uranium from
ore is on schedule to start at Ezulwini in June 2008 and at MWS in November

    Ezulwini Mine

    Production summary
                                                               Plan   Actual
    Ore toll-treated (tonnes)                                30,000   28,000
    Average recovery grade (grams/tonne)                        6.3      5.6
    Gold produced (ounces)                                    6,076    5,055
    Ore stockpiled at end of period (tonnes)                         142,504

    Although the build-up of production at Ezulwini during the first two
months of the quarter was negatively influenced by lower than planned grades.
This was more than offset in December, when Ezulwini's production exceeded the
planned rate due to higher than expected grades. The gold production ramp up
is expected to continue as previously forecasted for the coming quarter.

    Mine Waste Solutions tailings recovery project ("MWS")

    Production Summary
                                                              Plan    Actual
    Tailings reclaimed (tonnes per day)                      16,304    9,043
    Average recovery grade (grams/tonne)                      0.234    0.275
    Gold produced (ounces)                                   11,284    7,357

    Production for the quarter was negatively affected at MWS by the
transition of tailings reclamation from the depleted Stilfontein No. 2
tailings dam due to the commissioning of the production infrastructure at the
Buffelsfontein No. 2 tailings dam. The project to construct the initial
long-life pump station and 10.5-kilometre pipeline was initiated in June 2007
and was originally scheduled to be completed by the end of October 2007. The
project was delayed due to late delivery of slurry pumps and the heavy rains
that fell during October that made construction difficult. The new production
facility was commissioned on December 18, 2007 and is planned to have a
production life of 18 years based on current reserves.
    The initial train of pumps located at Buffelsfontein No. 2 tailings dam
is achieving designed performance throughput, despite having a low utilization
of 75% during the quarter while the second train of standby pumps was being
installed. Once the second train of standby pumps is commissioned during
February 2008, the utilization is expected to increase to 95%, which will
sustain production at or better than the planned 20,800 tonnes per day
production rate. Despite lower than planned utilization, production rates are
currently being sustained at 20,000 tonnes per day.
    The initial grades mined from the Buffelsfontein No.2 tailings dam are in
line with the resource estimates for the initial mining benches and the gold
plant is achieving slightly better than planned recoveries for production from
this newly commissioned resource.

    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

    For further information, please contact:

    This news release contains certain forward-looking statements.
Forward-looking statements include but are not limited to those with respect
to the estimation of mineral resources and reserves, the realization of
mineral reserve estimates, the timing and amount of estimated future
production. In certain cases, forward-looking statements can be identified by
the use of words such as "plans", "expects" or "does not expect", "is
expected", scheduled", "estimates", "forecasts", "intends", "anticipates", or
"does not anticipate", "likely", "believes" or "goal" or variations of such
words and phrases, or state that certain actions, events or results "may",
"could", "would", "might" or "will" be taken, occur or be achieved.
Forward-looking statements involve known and unknown risks, uncertainties and
other factors which may cause the actual results, performance or achievements
of First Uranium to be materially different from any future results,
performance or achievement expressed or implied by the forward-looking
statements. Such risks and uncertainties include, among others, conclusions of
economic evaluations, changes in project parameters as plans continue to be
refined, possible variations in grade and ore densities or recovery rates,
failure of plant, equipment or processes to operate as anticipated, accidents,
labour disputes or other risks of the mining industry, delays in obtaining
government approvals or financing or in completion of development or
construction activities, risks relating to the integration of acquisitions, to
international operations, to prices of uranium and gold. Although First
Uranium has attempted to identify important factors that could cause actual
actions, events or results to differ materially from those described in
forward-looking statements, there may be other factors that cause actions,
events or results not to be as anticipated, estimated or intended. It is
important to note, that: (i) actual results may differ materially from the
Corporation's expectations if known and unknown risks or uncertainties affect
its business, or if estimates or assumptions prove inaccurate; (ii) the
Corporation cannot guarantee that any forward-looking statement will
materialize and, accordingly, readers are cautioned not to place undue
reliance on these forward-looking statements; and (iii) the Corporation
disclaims any intention and assumes no obligation to update or revise any
forward-looking statement even if new information becomes available, as a
result of future events or for any other reason.
    In making the forward-looking statements in this news release, First
Uranium has made several material assumptions, including but not limited to,
the assumption that: (i) approvals to transfer or grant, as the case may be,
mining rights will be obtained; (ii) mineral resource and reserve estimates
are accurate; (iii) the technology used to develop and operate its two
projects has, for the most part, been proven and will work effectively; (iv)
that labour, materials and equipment will be sufficiently plentiful as to not
impede the projects or add significantly to the estimated cash costs of
operations; (v) that Black Economic Empowerment ("BEE") investors will
maintain their interest in the Corporation and their investment in the
Corporation's common shares to a sufficient level to continue to support the
Corporation's compliance with 2014 BEE requirements; and (vi) that the
innovative work on stabilizing the main shaft at the Ezulwini Mine will be
successful in maintaining a safe and uninterrupted working environment until
    All of the forward-looking statements made in this news release are
qualified by these cautionary statements, those made in the "Risks and
Uncertainties" section of our Management's Discussion and Analysis, and those
made in the "Risk Factors" section of our most recent Annual Information Form
and other filings with the securities regulators of Canada.

For further information:

For further information: Bob Tait, VP Investor Relations, at (416)
558-3858, or

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