First Uranium provides additional clarification on unsecured debenture interest payment

TORONTO AND JOHANNESBURG, March 6, 2012 /CNW/ - First Uranium Corporation (TSX: FIU.DB) (ISIN: CA33744R1029) ("FIU" or the "Company")   As previously announced on March 2, 2012, FIU entered into agreements with respect to two separate transactions providing for the sale of Mine Waste Solutions and its subsidiaries ("MWS") and its Ezulwini Gold Mine and related assets ("Ezulwini") and its intention to hold shareholder, debentureholder and noteholder meetings to approve these transactions (the "Transactions") and a reorganization of the Company.

On March 5, 2012, FIU announced that all trades in the Company's outstanding approximately Cdn $150 million aggregate principal amount of 4.25% Senior Unsecured Convertible Debentures ("Debentures") due June 30, 2012, issued pursuant to the Debenture Trust Indenture ("Debenture Indenture") dated May 3, 2007, would, commencing on March 6, 2012 and until further notice, trade on an interest flat basis and the Toronto Stock Exchange will not report accrued interest regarding any such trades to participating organizations.  Accordingly, holders of the Debentures will receive accrued interest for the period from and including December 31, 2011 (which was the last interest payment date on the Debentures) to the close of business on March 2, 2012 (the "Outstanding Interest Obligation").

The Outstanding Interest Obligation will be paid by the Company upon closing of both the MWS transaction and the Ezulwini transaction to Debenture holders of record (a date in the future yet to be determined) as of the closing date of the Transactions. 

If the Transactions are not completed as announced, interest obligations with respect to the Debentures will be due and owing as currently specified in the Debenture Indenture.

Cautionary Language Regarding Forward-Looking Information
This news release contains and refers to forward-looking information based on current expectations. All other statements other than statements of historical fact included in this release are forward-looking statements (or forward-looking information). The Company's plans involve various estimates and assumptions and its business and operations are subject to various risks and uncertainties. For more details on these estimates, assumptions, risks and uncertainties, see the Company's most recent Annual Information Form and most recent Management Discussion and Analysis on file with the Canadian provincial securities regulatory authorities on SEDAR at www.sedar.com. These forward-looking statements are made as of the date hereof and there can be no assurance that such statements will prove to be accurate, such statements are subject to significant risks and uncertainties, and actual results and future events could differ materially from those anticipated in such statements, including without limitation, the statements regarding the proposed transactions with Gold One International Limited and AngloGold Ashanti Limited. No assurance can be given that the Company will be successful in concluding the proposed transactions and achieve the desired results. Accordingly, readers should not place undue reliance on forward-looking statements that are included herein, except in accordance with applicable securities laws.

John Hick or Mary Batoff
[phone]
[email protected]