ann : uranium concessions granted

URANIUM CONCESSIONS GRANTED
IN NIGER, WEST AFRICA


here is announcement

looks hot



15 May 2007
JOINT ASX/MEDIA RELEASE
Australian Stock Exchange ELS 38 2007
Company Announcements Office
URANIUM CONCESSIONS GRANTED
IN NIGER, WEST AFRICA
SUMMARY
• Three uranium exploration concessions have been granted to Indo
Energy Ltd in the highly prospective and under-explored Tim Mersoï
basin in Niger
• NGM’s option to acquire 100% of Indo Energy has now been triggered
by the granting of the three concessions
• Indo Energy Ltd will make application to the Niger Government to allow
Indo Energy Ltd to be acquired by NGM
• Indo Energy Ltd still holds three un-granted applications for uranium
concessions in the Tim Mersoï basin
• Previous exploration for uranium on the granted concessions has
discovered outcropping mineralisation
• Indo Energy Ltd plans to fly an airborne geophysical survey over the
granted concessions in May or June and following official signing will
award the contract for this
• It is expected the official signing ceremony will take place in Niger this
week
NGM Resources Limited (ASX: NGM) is pleased to announce that three of the six
uranium concessions applied for by Indo Energy Ltd in Niger, have been granted.
In March 2007, the company signed an Option Agreement with Global MinEx
Ventures Limited (a privately owned company), to acquire Indo Energy Ltd and its
uranium exploration concession applications in Niger, North Africa.
The granting of the three tenements (TAGT4, TOU1 and TER1) has now triggered
NGM’s acquisition of Indo Energy. Indo Energy will make application to the Niger
Government to recognise NGM’s acquisition of Indo Energy.
NGM Managing Director Dr Russell Penney said: “The granting of these uranium
exploration concessions will now enable NGM to embark on a vigorous exploration
program for sandstone-hosted uranium deposits in one of the world’s most
prospective uranium provinces,”” Dr Penney said.
Indo Energy’s exploration concession applications are located to the south of Niger’s
major uranium mines at Arlit, in central Niger. These mines have combined reserves
of approximately 43,000tU grading between 0.3% and 0.5%U. Production from these
mines has established Niger as the world’s sixth largest producer of mined uranium
(3,093tU or 9% of world supply in 2005).
Indo Energy’s concessions cover highly prospective rocks of the Carboniferous and
Jurassic-Cretaceous sedimentary sequences. The rocks are similar to those that host
the uranium mineralisation at Arlit and the nearby undeveloped deposit at Imouraren
which has a resource of approximately 80,000t of contained uranium at a grade of
0.1%U.
In the 1980’s, part of the concession area were explored for uranium by the
Japanese Nuclear Agency (PNC) and outcropping uranium mineralisation is reported
from within the concessions. Data on the previous exploration will now be evaluated.
Indo Energy has contracted an airborne radiometric and aeromagnetic geophysical
survey to be flown over the concession areas. During the wet season (June to
September), a logistical base will be established in Niger and preparations made for
the start of field work at the end of the wet season, in September.
The Indo Energy Agreement:
The Option Agreement entered into with Global MinEx Ventures to purchase Indo
Energy Limited has been modified by mutual agreement. The principal terms of the
revised agreement include:
• NGM will pay to Global MinEx Ventures Ltd US$77,700 for an Option to
acquire 100% of the issued shares in Indo Energy Ltd within a 12 month
period. This payment has been completed.
• Subject to the grant of at least three concessions by the Republic of Niger to
Indo Energy, NGM will be able to exercise the Option by :
o paying to Global MinEx, US$75,000 being the balance of
reimbursement of expenses incurred on the project;
o Subject to Shareholder approval at EGM and the approval of the Niger
Government;
�� Issue 30,000,000 fully paid shares in NGM, and
�� Issue 20,000,000 Options each having an exercise price of
A$1.00 expiring 31 December 2010; that
the shares and options are to be issued in the proportion:
�� 70% to the shareholders of Indo Energy; and
�� 30% to Rockface Consultancy, whom have facilitated and
assisted in the successful grant of the concessions.
• Upon first decision to mine any of the concessions, NGM will:
o Issue 30,000,000 fully paid shares in NGM,
the shares to be issued in the proportion:
�� 70% to shareholders of Indo Energy; and
�� 30% to Rockface Consultancy.
• In the event of a subsequent take-over of NGM the share issue described
above shall vest.