Placing

RNS Number : 1990V

Niger Uranium Limited

06 July 2009

 



For immediate release

 6 July 2009

Niger Uranium Limited 

('Niger Uranium', 'NUL' or the 'Company')

Placing

The Directors of Niger Uranium today announce that the Company has conditionally placed up to 4,340,052 new ordinary shares (the 'Ordinary Shares') at a placing price of 21p per Ordinary Share (the 'Placing Price') to raise £911,411 before expenses (equivalent to approximately US$1.5 million at current exchange rates) subject to admission (the 'Placing'). 

The new 4,340,052 new Ordinary Shares being issued pursuant to the Placing will, on issue, rank pari passu with the existing Ordinary Shares in issue and application will be made for the new Ordinary Shares to be admitted to trading on AIM, following which Niger Uranium will have an enlarged issued share capital of 117,504,358 Ordinary Shares admitted to trading on AIM (the 'Enlarged Issued Share Capital'). Trading in the new Ordinary Shares on AIM is expected to commence on or around 29 July 2009. A further announcement will made in due course.

The Company intends to use the Placing proceeds to provide additional working capital for the development of its uranium interests.

NWT Uranium Corp ('NWT'), which currently has a direct and indirect interest totalling in aggregate to 38,249,321 Ordinary Shares in the Company, representing 33.8 per cent. of Niger Uranium's issued share capital, is participating in the Placing and has conditionally subscribed for 1,519,018 Ordinary Shares on the same terms as third party placees. On completion of the Placing NWT's interest in the Enlarged Issued Share Capital will amount to 39,768,339 Ordinary Shares representing 33.8 per cent. of the Enlarged Issued Share Capital. 

Amber Petroleum Limited ('Amber'), which currently has a direct and indirect interest totalling in aggregate to 12,200,000 Ordinary Shares in the Company, representing 10.8 per cent. of Niger Uranium's issued share capital, is participating in the Placing and has conditionally subscribed for 1,085,013 Ordinary Shares on the same terms as third party placees. On completion of the Placing Amber's interest in the Enlarged Issued Share Capital will amount to 13,285,013 Ordinary Shares representing 11.3 per cent. of the Enlarged Issued Share Capital. 

Accordingly, as NWT and Amber are substantial shareholders for the purposes of the AIM Rules, the proposed participation in the Placing by NWT and Amber are related party transactions for the purposes of Rule 13 of the AIM Rules. John Lynch and Raphael Danon who are directors of the Company are also chief executive and finance director respectively of NWT. Accordingly, John Lynch and Raphael Danon are not independent for the purposes of the proposed transaction. Accordingly, the Independent Directors of the Company (being David Weill, Ian Stalker and Gordon Cassidy), having consulted with Beaumont Cornish Limited, the Company's nominated adviser, consider the terms of the proposed participation in the Placing by NWT and Amber are fair and reasonable insofar as the Company's Shareholders are concerned.

Contacts:

Niger Uranium Limited

Ian Stalker, Executive Director and CEO       Tel: [phone]

Beaumont Cornish Limited                  Tel: [phone]

Michael Cornish

FD

Ben Brewerton/Edward Westropp            Tel: [phone]

Or visit the group's website at www.niger-uranium.com

Forward Looking Statements:

This press release contains statements that are 'forward-looking'. Generally, the words 'expect,' 'intend,' 'estimate,' 'will' and similar expressions identify forward-looking statements. By their very nature, forward-looking statements are subject to known and unknown risks and uncertainties that may cause our actual results, performance or achievements, or that of our industry, to differ materially from those expressed or implied in any of our forward-looking statements. Statements in this press release regarding the Company's business or proposed business, which are not historical facts, are 'forward looking' statements that involve risks and uncertainties, such as estimates and statements that describe the Company's future plans, objectives or goals, including words to the effect that the Company or management expects a stated condition or result to occur. Since forward-looking statements address future events and conditions, by their very nature, they involve inherent risks and uncertainties. Actual results in each case could differ materially from those currently anticipated in such statements.

ENDS

 

END

 

 

MSCILFFSDVIRIIA