TORONTO, Ontario (May 14, 2013) - Mega Uranium Ltd. ("Mega")(TSX: "MGA") announces its results for the three and six months ended March 31,2013.
SUMMARYFINANCIAL RESULTS
As at March 31, 2013, the Company hadmineral properties and related expenditures of $131 million as compared to $129million as at September 30, 2012. Long term investments at fair value totaled $5.6million as compared to long term and short term investments of $16.6 million asat September 30, 2012. Also as at March 31, 2013 Company had cash and cashequivalent of $3.4 million as compared to $2 million as at September 30, 2012.
Summary results for the three months endedMarch 31, 2013, as compared to the three months ended March 31, 2012:
Net loss for the three months ended March 31,2013 was $2.6 million ($0.01 per common share) compared to a net loss of $0.4million for the three months ended March 31, 2012 ($0.00 per common share).Total general and administrative expenses forthe three months ended March 31, 2013 from operations were $1.3 million, ascompared to $1.9 million for the three months ended March 31, 2012.Summary results for the six monthsended March 31, 2013, as compared to the six months ended March 31, 2012:
Net loss for the six months ended March 31, 2013was $4.2 million ($0.02 per common share) compared to a net loss of $1.1million for the six months ended March 31, 2012 ($0.00 per common share).Total general and administrative expenses forthe six months ended March 31, 2013 from operations were $3.2 million, ascompared to $3.8 million for the six months ended March 31, 2012.| Consolidatedstatement of financial position Highlights | March 31, 2013 | September 30, 2012 | |
| Cash and cash equivalents | $ 3,449 | $ 2,022 | |
| Short term investments | Nil | 9,719 | |
| Long term investments | 5,600 | 6,852 | |
| Equity Investment Mineral properties and deferredexploration expenditure | 8,459131,078 | -129,116 | |
| Total assets TotalliabilitiesShare capital, warrants and brokerwarrants and share option reserveAccumulated othercomprehensive incomeDeficit | 151,137996369,4668,206(227,531) | 151,4201,832369,1053,821(223,338) | |
| Working capital | 3,496 | 11,921 | |
ABOUTMEGA URANIUM Mega Uranium Ltd. is a Toronto-based mineral resources company with afocus on uranium properties in Australia, Canada and Cameroon. Furtherinformation on Mega can be found on the company's website at www.megauranium.com.
For further information,please contact:
Investor Relations Mega Uranium Ltd. Richard Patricio EVP Corporate Affairs T: (416)643-7630 info@megauranium.comwww.megauranium.comNoteRegarding Forward-Looking information
Certaininformation contained in this press release constitutes "forward-lookinginformation", which is information regarding possible events, conditions orresults of operations that is based upon assumptions about future economicconditions and courses of action. All information other than matters ofhistorical 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 (includingnegative variations) suggesting future outcomes or statements regarding anoutlook. Forward-looking information inthis press release includes, but is not limited to, statements about our plansregarding future acquisitions and property development, our expectationsregarding the uranium market, global growth and the use of nuclear power, ourdrill results, commodity prices and core intersection lengths, in that theyconstitute estimates, based on certain assumptions of mineralization that maybe encountered if a deposit were to be mined.
Byits nature, forward-looking information involves known and unknown risks,uncertainties and other factors which may cause our actual results, performanceor achievements, or industry results, to differ materially from those expressedor implied by such forward-looking information. Some of the risks and otherfactors that could cause actual results to differ materially from thoseexpressed in the forward-looking information contained in this release include,but are not limited to: risks and uncertainties relating to the interpretationof drill results, the geology, grade and continuity of mineral deposits andconclusions of economic evaluations; results of initial feasibility,pre-feasibility and feasibility studies, and the possibility that future exploration,development or mining results will not be consistent with the Company'sexpectations; risks relating to possible variations in reserves, grade, plannedmining dilution and ore loss, or recovery rates and changes in projectparameters as plans continue to be refined; mining and development risks, including risks related to accidents, equipmentbreakdowns, labour disputes (including work stoppages and strikes) or otherunanticipated difficulties with or interruptions in exploration anddevelopment; the potential for delays in exploration or development activitiesor the completion of feasibility studies; risks related to the inherentuncertainty of production and cost estimates and the potential for unexpectedcosts and expenses; risks related to commodity price and foreign exchange ratefluctuations; the uncertainty of profitability based upon the cyclical natureof the industry in which the Company operates; risks related to failure toobtain adequate financing on a timely basis and on acceptable terms or delaysin obtaining governmental approvals or in the completion of development orconstruction activities; risks related to environmental regulation andliability; political and regulatory risks associated with mining andexploration; and other risks and uncertainties related to the Company'sprospects, properties and business strategy.
Althoughwe have attempted to identify important factors that could cause actual resultsor events to differ materially from those described in the forward-looking information,readers are cautioned that this list is not exhaustive and there may be otherfactors that we have not identified. Readers are cautioned not to place undue reliance on forward-lookinginformation contained in this release. Forward-looking information is based upon our beliefs, estimates andopinions as at the date of this release, which we believe are reasonable, butno assurance can be given that these will prove to be correct. Furthermore, we undertake no obligation toupdate or revise forward-looking information if these beliefs, estimates andopinions or other circumstances should change, except as otherwise required byapplicable law.
Allforward-looking information contained in this release is expressly qualified bythis cautionary note.
Note Regarding Disclosure forMineral Projects
This press release contains disclosure regarding our mineralresources. Mineral resources are notmineral reserves and do not have demonstrated economic viability. Mineralresources may never be converted into reserves. Furthermore, inferred resourcesare considered too speculative geologically to have the economic considerationsapplied to them that would enable them to be categorized as mineral reserves.Further exploration will be required to upgrade the inferred resources to ahigher resource category.