First Uranium receives Ezulweni buyout bid

2012-04-24 14:16

Johannesburg - Canadian miner First Uranium Corporation [JSE:FUM] said it received an unsolicited offer for its Ezulwini mine in South Africa from Waterpan Mining Corporation and Transalloys Ltd.

First Uranium said Waterpan Mining and Transalloys have offered to pay $80m for the gold-uranium mine, of which $10m will be paid in advance as short-term bridge financing.

First Uranium had agreed to sell the Ezulwini mine to Australian miner Gold One International [JSE:GDO] for $70m earlier this month.

The gold and uranium miner has also put Mine Waste Solutions, its tailings recovery project in South Africa, up for sale as it looks to liquidate itself to pay off debts.

The company's shares, which have lost 58% of their value in the last three months, closed at 12 Canadian cents on Monday on the Toronto Stock Exchange.