TORONTO, Dec. 20 /CNW/ - NWT Uranium Corp. (TSX-V: NWT; OTCBB: NWURF) has
been provided by Azimut Exploration Inc. (TSX-V: AZM) with a letter alleging
default (the "Notice of Default") with respect to the option agreements
covering the North Rae and Daniel Lake uranium properties in Quebec.
NWT believes that the allegations made by Azimut are without merit.
NWT further believes that the Notice of Default is part of a strategy
aimed at derailing the business combination proposed between NWT and Nu-Mex
Uranium Corp. (OTCBB: NUMX), which was detailed in a press release dated
November 19, 2007. On December 12, 2007, Azimut submitted an unsolicited
expression of interest to acquire NWT, which was subsequently rejected. This
unsolicited expression of interest was the subject of a NWT press release on
December 17, 2007.
"NWT and its contractors have conducted themselves in an exemplary
fashion while carrying out exploration of the North Rae and Daniel Lake
properties through difficult labor and weather conditions in a remote
location. In nearly four months of field work, NWT as operator has advanced
the project, covering 305,000 acres (1,235 square kilometers), from airborne
surveys to drill testing," said Marek J. Kreczmer, President and CEO of
NWT Uranium. "The allegations made by Azimut are without merit and we intend
to provide ample documentation to Azimut to support our position."
As detailed in its unsolicited expression of interest, Azimut was
prepared to offer 0.1475 common shares of Azimut for each NWT share. After a
comprehensive evaluation of the Azimut offer and in consultation with its
financial advisors, an independent committee of NWT's Board of Directors
concluded that the terms of the proposed offer were unlikely to result in a
transaction that is more favorable to NWT's shareholders from a financial
point of view than the existing letter agreement with Nu-Mex. As such, and in
accordance with the terms of NWT's existing agreement with Nu-Mex, NWT
informed Azimut shortly after 1pm PST on December 17, 2007 that it was unable
to enter into negotiations with respect to the proposed transaction with
Less than four hours later, at around 5pm PST, NWT received the Notice of
Default from Azimut.
It is NWT's intent to respond to Azimut's concerns promptly and with
assistance from legal counsel.
In the meantime, NWT continues to work towards the completion of a
definitive agreement with Nu-Mex Uranium, which, as per the letter agreement,
is expected to be signed no later than Thursday, December 20, 2007.
ABOUT NWT URANIUM:
NWT Uranium Corp. (www.nwturanium.com) is an international resource
exploration company with an experienced, highly technical management team.
Since its inception, NWT has concentrated on the acquisition of properties
with potential uranium targets. NWT Uranium is listed on the NASD Bulletin
Board under the symbol "NWURF" and the TSX Venture Exchange under the symbol
The TSX Venture Exchange has not reviewed and does not accept
responsibility for the adequacy or accuracy of this news release.
This news release includes certain "forward looking statements" within
the meaning of the United States Private Securities Litigation Reform Act of
1995. Without limitation, statements regarding potential mineralization and
resources, exploration results, and future plans and objectives of the Company
are forward looking statements that involve various degrees of risk. The
following are important factors that could cause the Company's actual results
to differ materially from those expressed or implied by such forward looking
statements: changes in the worldwide price of mineral commodities, general
market conditions, risks inherent in mineral exploration, risks associated
with development, construction and mining operations, the uncertainty of
future profitability and the uncertainty of access to additional capital.
For further information:
For further information: Marek J. Kreczmer, M.Sc., P.Eng., President and
CEO, NWT Uranium Corp., (866) 437-9551, email@example.com