re: mega compulsory acquisition

Compulsory acquisition - will they force you to accept MGA shares or will they pay you out at current RPT/MGA conversion price ?

MEGA EXPRESSES INTENTION TO MOVE TO COMPULSORY ACQUISITION OF REMAINING REDPORT SHARES

Mega Uranium Ltd.'s wholly owned subsidiary, Mega Redport Pty. Ltd., having acquired a relevant interest in more than 90 per cent of the ordinary shares issued and outstanding of Redport Ltd., intends to move to acquire the remainder of those ordinary shares by compulsory acquisition soon after the close of the takeover offer period (see below). As this will result in Mega owning 100 per cent of Redport's shares, Mega also intends to delist Redport from the Australian Stock Exchange.

As at close of trading on Oct. 20, 2006, Mega also held acceptances for 78.51 per cent of Redport's listed options and 100 per cent of five of the nine classes of Redport's unlisted options. Mega also announces that, once it has compulsorily acquired the remainder of Redport's ordinary shares, it intends to move to compulsorily acquire any options that remain outstanding after the close of the takeover offer period.

The takeover offers made by Mega for Redport shares and options will remain open until 5 p.m. Brisbane time on Oct. 31, 2006.

As explained in Mega's press release in Stockwatch dated July 7, 2006, through this acquisition of Redport, Mega will obtain Redport's principal asset, the Lake Maitland uranium project in Western Australia, which contains a National Instrument 43-101-compliant inferred mineral resource of 23.7 million pounds U3O8. Other assets include interests in uranium exploration properties in Western Australia and south Australia, a royalty interest in Paladin Resources Ltd.'s Langer Heinrich project in Namibia, and cash reserves of approximately $9-million (Australian) ($7.4-million (Canadian)). Through this transaction, Mega will also acquire the services of Redport's management and consultants who have considerable experience and expertise in uranium exploration, feasibility studies and mine development.