DGAP-News: Uranium Energy Corp Completes Merger to Acquire the Anderson Property in Arizona
(firmenpresse) - DGAP-News: Uranium Energy Corp. / Key word(s): Mergers&Acquisitions
Uranium Energy Corp Completes Merger to Acquire the Anderson Property
in Arizona
12.09.2011 / 14:30
---------------------------------------------------------------------
Uranium Energy Corp Completes Merger to Acquire the Anderson Property in
Arizona
Corpus Christi, TX - September 12, 2011 - Uranium Energy Corp (NYSE-AMEX:
UEC; the 'Company' or 'UEC') and Concentric Energy Corp. ('Concentric') are
pleased to announce the completion of the stock-for-stock merger (the
'Merger') effected under the laws of Nevada on September 9, 2011.
Under the Merger, which was previously announced on May 6, 2011, UEC has
issued 1,253,440 common shares of the Company to the former Concentric
stockholders to acquire Concentric. The sole purpose of the Merger is to
acquire Concentric's undivided 100% interest in the Anderson Property, a
7,581-acre mineral claim block located in Yavapai County, Arizona, with a
previous history of small-scale uranium production.
President and CEO Amir Adnani stated, 'With the acquisition of the Anderson
project, UEC is now the leading uranium player in Arizona, as well as in
South Texas. Arizona is both a business and energy-friendly state. Three of
the largest nuclear power plants in the U.S. are in Arizona, and all three
plants have recently received their 20-year license extensions. The current
temporary downturn in the uranium market is providing the Company with an
excellent opportunity to make strategic acquisitions at a viable cost, and
this includes the Anderson Property. As these new projects come on-line,
they bolster the Company's already strong and diversified project portfolio
of mining, development and exploration-stage properties to ensure on-going
rapid growth.'
Company geologists are currently compiling all data, rectifying historic
bore hole coordinates, and initiating development of an up-to-date
three-dimensional model of the Anderson mineralization. The results of
these efforts will eventually culminate in an updated NI 43-101 Technical
Report. Concurrent with these efforts, planning for various environmental
baseline studies are underway and field implementation of these studies
should occur during the final quarter of this year.
The Anderson Property
The Anderson Property covers 7,581 acres (or 11.85 square miles) and is
comprised of 370 contiguous, unpatented lode mining and placer claims. It
is located in Yavapai County, approximately 75 miles northwest of Phoenix.
In 2001, Concentric staked this claim block, which consolidated portions of
the mineral claims held in the 1970s by Minerals Exploration Company
('MinEx'), a subsidiary of Unocal Corporation, and Urangesellschaft U.S.A.,
Inc. ('UG').
The Anderson Property has a long history. In the 1950's the Property hosted
a small-scale open pit mining operation which resulted in a total of 10,758
tons of ore averaging 0.15% or 33,230 pounds of U3O8 being shipped to Tuba
City, Arizona, for custom milling. Production ceased in 1959 when the
Atomic Energy Commission terminated its ore purchasing program.
Since then, over 1,400 exploration drill holes have been completed on the
Anderson Property, including 1,320 downhole gamma surveys and 5,596
chemical assays. Almost all of these were completed in the 1970s by MinEx
on the Property's northern section and by UG on the southern section.
In the late 1970's the Property was brought to the feasibility stage twice,
however, by the end of 1979, global and market events led both MinEx and UG
to abandon their mineral claims in the Anderson Property.
In 2006, Concentric conducted the first drill program on the Anderson
Property since the abandonment by MinEx and UG. A 25-hole drill program
was completed to confirm the historical MinEx exploration database by
'twinning' a significant number of former MinEx drill holes. A total of 24
rotary holes and one core hole, totaling 8,087 feet, were completed. No
confirmation holes were drilled on the former UG portion of the Anderson
Property. In 2008, Concentric commissioned Mountain States Research&Development International, Inc. to complete a process engineering
assessment, the results of which are presented in a report entitled 'Final
Report Preliminary Process Engineering and Cost Estimates, Anderson Uranium
Project, Yavapai County, Arizona.'
Terms of the Merger
In accordance with the terms of a Merger Agreement and Plan of Merger
between Concentric and UEC (the 'Merger Agreement'), UEC Concentric Merge
Corp., a wholly-owned subsidiary of UEC, is the surviving corporation of
the Merger and is now vested with all of Concentric's assets and property.
Pursuant to the Merger Agreement, Concentric's stockholders received 0.1075
of one share of UEC common stock for every one share of Concentric common
stock. With 11,659,905 shares of Concentric common stock outstanding
immediately prior to the Merger, UEC has issued 1,253,440 common shares of
the Company to the former Concentric stockholders, representing
approximately 1.7% of the issued and outstanding common stock of UEC. In
addition, UEC has issued 375,834 common stock purchase warrants (the 'UEC
Exchange Warrants') to the former holders of Concentric common stock
purchase warrants (the 'Concentric Warrants') based on the exchange ratio
of 0.1075 of one UEC Exchange Warrant for every one Concentric Warrant. The
exercise price of each UEC Exchange Warrant has been determined by dividing
the per share exercise price of the corresponding Concentric Warrant by
0.1075, yielding exercise prices that range between $9.30 and $65.12.
To satisfy a condition of the Merger Agreement, the Company
contemporaneously completed the full assignment to UEC of Global Uranium
Corp.'s ('Global') rights (the 'Rights') under the terms and conditions of
an underlying Option and Joint Venture Agreement dated April 13, 2010
between Global and Concentric, with respect to the Anderson Property.
Pursuant to an Acquisition Agreement with Global (the 'Global Acquisition
Agreement') to acquire the Rights, UEC has delivered to Global (i) an
initial payment of $150,000, (ii) a further $200,000 payment releasing and
assigning to the Company the security previously granted by Concentric to
Global and (iii) 350,000 restricted shares of the Company's common stock
along with a final payment of $150,000.
The foregoing description of the Merger, the Merger Agreement and the
Global Acquisition Agreement is not complete and is qualified in its
entirety by reference to the Merger Agreement and the Global Acquisition
Agreement, as applicable.
The technical information in this news release has been prepared in
accordance with the Canadian regulatory requirements set out in NI 43-101
and reviewed by Clyde L. Yancey, P.G., Vice President-Exploration for the
Company, a QP under NI 43-101 standards.
About Uranium Energy Corp
Uranium Energy Corp. (NYSE-AMEX: UEC) is a U.S.-based uranium production,
development and exploration company operating North America's newest
emerging uranium mine. The Company's fully licensed and permitted Hobson
processing facility is central to all of its projects in South Texas,
including the Palangana in-situ recovery project, which is ramping up
initial production, and the Goliad in-situ recovery project which has been
granted its Mine Permit and is in the final stages of mine permitting for
production. The Company's operations are managed by professionals with a
recognized profile for excellence in their industry, a profile based on
many decades of hands-on experience in the key facets of uranium
exploration, development and mining.
Contact North America: Investor Relations, Uranium Energy Corp:
Toll Free: (866) 748-1030
Fax: (361) 888-5041
E-mail: info(at)uraniumenergy.com
Stock Exchange Information:
NYSE-AMEX: UEC
Frankfurt Stock Exchange Symbol: U6Z
WKN: AØJDRR
ISN: US916896103
Safe Harbor Statement
Except for the statements of historical fact contained herein, the
information presented in this news release constitutes 'forward-looking
statements' as such term is used in applicable United States and Canadian
laws. These statements relate to analyses and other information that are
based on forecasts of future results, estimates of amounts not yet
determinable and assumptions of management. Any other statements that
express or involve discussions with respect to predictions, expectations,
beliefs, plans, projections, objectives, assumptions or future events or
performance (often, but not always, using words or phrases such as
'expects' or 'does not expect', 'is expected', 'anticipates' or 'does not
anticipate', 'plans, 'estimates' or 'intends', or stating that certain
actions, events or results 'may', 'could', 'would', 'might' or 'will' be
taken, occur or be achieved) are not statements of historical fact and
should be viewed as 'forward-looking statements'. Such forward looking
statements involve known and unknown risks, uncertainties and other factors
which may cause the actual results, performance or achievements of the
company to be materially different from any future results, performance or
achievements expressed or implied by such forward-looking statements.
Certain matters discussed in this news release and oral statements made
from time to time by representatives of the company may constitute
forward-looking statements within the meaning of the private securities
litigation Reform Act of 1995 and the Federal securities laws. Although
the Company believes that the expectations reflected in such
forward-looking statements are based upon reasonable assumptions, it can
give no assurance that its expectations will be achieved. Forward-looking
information is subject to certain risks, trends and uncertainties that
could cause actual results to differ materially from those projected. Many
of these factors are beyond the company's ability to control or predict.
Important factors that may cause actual results to differ materially and
that could impact the company and the statements contained in this news
release can be found in the Company's filings with the Securities and
Exchange Commission. For forward-looking statements in this news release,
the Company claims the protection of the safe harbor for forward-looking
statements contained in the Private Securities Litigation Reform Act of
1995. The Company assumes no obligation to update or supplement any
forward-looking statements whether as a result of new information, future
events or otherwise.
This news release has been prepared by management of the Company who takes
full responsibility for its contents. Neither the SEC nor the British
Columbia Securities Commission approves or disapproves of the contents of
this news release. This news release shall not constitute an offer to sell
or the solicitation of an offer to buy, nor shall there be any sale of
securities in any jurisdiction in which such offer, solicitation or sale
would be unlawful prior to registration or qualification under the
securities laws of any such jurisdiction.
.__________
End of Corporate News
---------------------------------------------------------------------
12.09.2011 Dissemination of a Corporate News, transmitted by DGAP - a
company of EquityStory AG.
The issuer is solely responsible for the content of this announcement.
DGAP's Distribution Services include Regulatory Announcements,
Financial/Corporate News and Press Releases.
Media archive at www.dgap-medientreff.de and www.dgap.de
---------------------------------------------------------------------
138954 12.09.2011
Themen in dieser Pressemitteilung:
Unternehmensinformation / Kurzprofil:
" alt="Extorre nears completion of initial resource definition drilling for Zoe at Cerro Moro
Datum: 12.09.2011 - 08:30 Uhr
Sprache: Deutsch
News-ID 1037833
Anzahl Zeichen: 0
contact information:
Contact person:
Town:
Phone:
Kategorie:
Business News
Anmerkungen:
Diese Pressemitteilung wurde bisher 99 mal aufgerufen.
Die Pressemitteilung mit dem Titel:
"DGAP-News: Uranium Energy Corp Completes Merger to Acquire the Anderson Property in Arizona
"
steht unter der journalistisch-redaktionellen Verantwortung von
Uranium Energy Corp. (Nachricht senden)
Beachten Sie bitte die weiteren Informationen zum Haftungsauschluß (gemäß TMG - TeleMedianGesetz) und dem Datenschutz (gemäß der DSGVO).
