TORONTO, April 26, 2013 /CNW/ - Laramide Resources Ltd. (TSX/ASX:LAM) is pleased to announce that it has received approval today for admission to the Official List of the Australian Securities Exchange ("ASX") and official quotation of Laramide's shares for trading will commence on Tuesday, April 30, 2013 under the code "LAM".
Pursuant to the Replacement Prospectus lodged with the Australian Securities and Investment Commission ("ASIC") on February 14, 2013 (including Supplementary Prospectus' filed on February 25, March 1 and March 7, 2013) the company issued 2,444,366 CHESS Depository Receipts ("CDIs") at A$0.75 per CDI (approximately C$0.79), raising gross proceeds of A$1,833,274 (approximately C$1.95 M).
Each CDI is equivalent to and exchangeable for one Common Share in the capital of Laramide. The CDIs will be tradable on the ASX upon listing and will initially be subject to a four-month plus one day restriction from resale into Canada. CDIs are traded in a similar manner to the Company's Common Shares which will continue to trade on the Toronto Stock Exchange (TSX) under the symbol "LAM". This issuance of CDIs will form the initial float of CDIs on the ASX.
Laramide Resources President and Chief Executive Officer Marc Henderson stated: "We are delighted to see the Company's shares co-listed to trade on the ASX, as our flagship Westmoreland Project is located in Queensland and this listing should facilitate greater participation by retail and institutional holders in Australia and Asia. We believe the timing is particularly fortuitous given recent political developments in Queensland - having recently ended a 30 year political ban on uranium mine development - and on the medium term outlook for the uranium market which will require new mines to bridge a substantial projected supply deficit."
Laramide has also appointed Computershare Investors Services to maintain a share registry in Canada and Australia, and to facilitate the movement and conversion of securities between the TSX and ASX within the prescribed settlement periods.
In addition to the ASX listing, the Company is pleased to report on the significant progress that has been made in Queensland towards the recommencement of uranium mining since the decision in October 2012 to overturn the decades-long ban. On March 18, 2013, the independent Uranium Mining Implementation Committee, which was established to examine the responsible development and operation of uranium mining in Queensland, issued a comprehensive report to the Natural Resources and Mines Minister outlining how the uranium industry should be re-established in Queensland. The recommendations focused primarily on: environmental management and protection, health and safety, economic and community development, and the safe transportation of uranium. The committee concluded that, with certain adaptations, the recommencement of uranium mining can be conducted within the existing policy and legislative frameworks in place in Queensland and at the federal level.
One particular recommendation proposed was a royalty rate of 2.5 per cent for the first five years of a mine's life for new mines, in concession to the application of a five per cent royalty regime with the possibility of a higher rate upon the inclination of the price of uranium to a certain threshold.
"Queensland is re-establishing an $18-billion uranium resources industry1, which will include industry best practice policy and regulatory framework. That's a major step towards realizing the industry's potential and, moreover, the potential of our flagship Westmoreland, one of the best undeveloped uranium deposits in the world," said Mr. Henderson.
A copy of the most recent release from the Queensland Minister of Natural Resources and Mines can be found on Laramide's website (www.laramide.com). The Queensland Government's report from its Uranium Implementation Committee can be found at the attached link: http://mines.industry.qld.gov.au/assets/mines-pdf/umic-framework-report.pdf
1 Source - Australian Uranium Association
About Laramide Resources:
Laramide is engaged in the exploration and development of high-quality uranium assets. Its wholly owned uranium assets are in Australia and the United States. Laramide's portfolio of advanced uranium projects have been chosen for their production potential. Its flagship project, Westmoreland, in Queensland, Australia, is one of the largest projects currently held by a junior mining company. Its U.S. assets include La Jara Mesa in Grants, New Mexico, and La Sal in the Lisbon Valley district of Utah. Its portfolio also includes joint ventures in the Northern Territory, Australia, strategic equity positions and a portfolio of uranium royalties in the Grants Mineral District of New Mexico.
This press release contains forward-looking statements. The actual results could differ materially from a conclusion, forecast or projection in the forward-looking information. Certain material factors or assumptions are applied in drawing a conclusion or making a forecast or projection as reflected in the forward-looking information.
SOURCE: Laramide Resources Ltd.
For further information:
For further information on Laramide, please visit the Company's website at www.laramide.com or contact:
Marc Henderson, President and Chief Executive Officer
Toronto, Canada +1 (416) 599 7363
Evan Hughes, General Manager, Australia
Brisbane, Australia +61 (7) 3831 3407
Greg Ferron, Vice-President, Corporate Development and IR
Toronto, Canada +1 (416) 599 7363