Trigon Acquires One of Utah’s Largest Holders of Uranium Properties
KELOWNA, British Columbia, May 24, 2007 - Trigon Uranium Corp. (TSX-V: TEL) has acquired Future Energy LLC (“Future Energy”), a private Utah corporation. Future Energy is one of the largest holders of uranium properties in the state of Utah with over 150,000 acres of uranium claims. The principals of Future Energy include James Robert Walker and Wendy Walker Tibbetts. Mr. Walker has been extensively involved in uranium exploration and resource development, and uranium property syndications since the 1950’s. Wendy Walker is the Manager of Future Energy and in that capacity has acquired and syndicated a number of uranium properties during the current uranium cycle.
Future Energy has an extensive geological data base encompassing the entire Colorado Plateau. The Colorado Plateau has produced more than 150 Million pounds of uranium and is one of the major uranium districts in the United States. The acquisition of Future Energy (“the Acquisition”) is contingent upon the completion of due diligence by Trigon.
Sidney Himmel, President and CEO of Trigon stated: “We are extremely excited to be working with the highly experienced team at Future Energy. The office of Future Energy will become the Moab, Utah office of Trigon. The current staff will continue with Future Energy, identifying and acquiring uranium properties. We are confident that this team will assist Trigon with outstanding property acquisitions for our own development portfolio. Also, based on the expertise and unique perspective of the Future Energy team, we are convinced that Trigon’s business portfolio will expand to involve the profitable syndication of uranium properties in Utah and Colorado. We are already in the process of syndicating such properties. As previously announced, we are also in the process of acquiring a number of uranium mines in the Colorado Plateau. In that regard, Future Energy will be a tremendous asset to us based on its network of business relationships in the US uranium industry.”
Under the agreement Trigon will issue 650,000 shares (“the Trigon Uranium Shares”) to the current shareholders of Future Energy. Future Energy will become a wholly owned subsidiary of Trigon. Trigon will provide working capital of US$310,000 to Future Energy. Certain contingent payments in respect of Trigon’s Henry Mountains and Wray Mesa projects owing to Future Energy will be cancelled.
The issuance of the Trigon Uranium Shares to the current shareholders of Future Energy is subject to the approval of Canadian regulators. The shares will be subject to an 18 month hold period and will be released at a rate of 110,000 shares per quarter, starting from the closing date of the Acquisition. The beneficial contractual rights in respect of certain syndicated land holdings in Future Energy’s historical portfolio will be flowed through to the selling shareholders of Future Energy. The Acquisition is subject to the approval of applicable Canadian securities regulatory authorities, the completion by Trigon of its review of the assets, books, records, business and affairs of Future Energy, and Trigon’s determination that the transaction can be completed in a manner satisfactory to Trigon from a tax perspective.
About Trigon Uranium Corp.
Trigon Uranium Corp. is a uranium exploration and development company focused on the known deposits of the south-western United States, a region that has produced over one billion pounds of uranium. Trigon has a highly-qualified team of uranium exploration experts to direct its efforts at its Marysvale, Henry Mountains and Wray Mesa projects of southern Utah, and elsewhere in North America. Trigon also operates a portfolio of high potential diamond exploration properties within a wholly-owned subsidiary, Trigon Diamond Corporation Ltd. Trigon has 52,212,956 shares outstanding and its stock trades on the TSX Venture Exchange under the symbol “TEL”.
For further information, please visit or contact:Sidney Himmel, President and Chief Executive Officer
Trigon Uranium Corp.
Email: / Jeanny So, Broker Relations Specialist
CHF Investor Relations
Tel: 416-868-1079 x225
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The TSX Venture Exchange has not reviewed and does not accept responsibility for the adequacy or accuracy of this release. This release includes certain statements that may be deemed “forward-looking statements”. All statements in this release, other than statements of historical facts, that address future developments that the company expects to occur, are forward-looking statements. Although the company believes the expectations expressed in such forward-looking statements are based on reasonable assumptions, such statements are not guarantees of future performance and actual results or developments may differ materially from those in the forward-looking statements. Factors that could cause actual results to differ materially from those in forward looking statements include market prices, exploitation and exploration successes, and continued availability of capital and financing and general economic, market or business conditions. Investors are cautioned that any such statements are not guarantees of future performance and actual results or developments may differ materially from those projected in the forward-looking statements. The Company does not assume any obligation to update or revise its forward-looking statements, whether as a result of new information, future events or otherwise.