TORONTO, Canada (July 30, 2015) Mega Uranium Ltd. (TSX: MGA) is pleased to announce that Cameco Australia Pty Ltd ("Cameco"), a wholly owned subsidiary of Cameco Corporation (TSX: CCO, NYSE: CCJ) has earned a 51% interest in Mega's Kintyre Rocks project, located in the East Pilbara region of Western Australia ("Project") and held by Boxcut Mining Pty Ltd ("Boxcut"), a wholly-owned subsidiary of Mega. The Project immediately surrounds the lease containing the Kintyre uranium deposit, jointly owned by Cameco and Mitsubishi Development Pty Ltd.
Cameco earned the interest in the Project by sole funding expenditures for exploration activities of AUD$2,000,000 in accordance with the parties' farm-in and joint venture agreement. A joint venture has now been formed between Boxcut and Cameco in accordance with the agreement for the purpose of exploring the Project and, if such exploration indicates the probable existence of a commercially mineable mineral resource in any part of that area, to carry out certain feasibility studies.
Cameco has also notified Boxcut of its election to earn an additional 19% interest in the Project (representing a total possible interest of 70%) by sole funding expenditures for exploration activities of AUD$4,000,000 (inclusive of the AUD$2,000,000 spent to earn the 51% interest in the Project) within four (4) years from the date of the agreement. Boxcut is not required to contribute to expenditures on the Project while Cameco is sole funding expenditures.
Mega looks forward to continuing to work with Cameco to advance the Project.
ABOUT MEGA URANIUMMega Uranium Ltd. is a Toronto-based mineral resources company with a focus on uranium properties in Australia and Canada. Further information on Mega can be found on the company's website at www.megauranium.com.
For further information please contact:
Mega Uranium Ltd.Richard PatricioChief Executive Officer and PresidentT: (416) 643-7630info@megauranium.comwww.megauranium.com
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Certain information contained in this press release constitutes "forward-looking information", which is information regarding possible events, conditions or results of operations that is based upon assumptions about future economic conditions and courses of action. All information other than matters of historical fact may be forward-looking information. In some cases, forward-looking information can be identified by the use of words such as "seek", "expect", "anticipate", "budget", "plan", "estimate", "continue", "forecast", "intend", "believe", "predict", "potential", "target", "may", "could", "would", "might", "will" and similar words or phrases (including negative variations) suggesting future outcomes or statements regarding an outlook. Forward-looking information in this press release includes, but is not limited to, statements about our plans regarding future property development and the fulfillment of each party's obligations under the agreement.
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