TORONTO, ONTARIO--(Marketwire - Feb. 13, 2009) - Mega Uranium Ltd. ("Mega") (TSX:MGA) announces its unaudited results for the three months ended December 31, 2008.
SUMMARY FINANCIAL RESULTS
As at December 31, 2008, Mega had cash, cash equivalents and marketable securities totaling $41.4 million, as compared to $49.0 million at the end of September 30, 2008, a decrease of 16%. The decrease reflects Mega's continuing exploration activity during the period, primarily on its properties in Australia, Canada, South America and Cameroon.
As at December 31, 2008, the Company had mineral properties and related expenditures of $286.8 million, as compared to $283.1 million as at September 30, 2008, reflecting expenditures on our properties in the quarter.
Summary results for the three months ended December 31, 2008, as compared to the three months ended December 31, 2007:
- Loss from financial and trading activities for the quarter was $2.2 million, most of which relates to unrealized losses on investments in public companies, as compared to a financial loss of $17 thousand last year.
- Total expenses were $8.7 million in the quarter as compared to $6.8 million in the prior year's first quarter.
- Net loss in the quarter was $10.4 million ($.06 per common share), as compared to a net loss of $1.9 million in the previous year' quarter ($0.01 per common share).
"We continue to be very optimistic about the long term prospects for uranium", commented Sheldon Inwentash, Chairman and CEO of Mega. "And with the recent change in government policies in Western Australia that remove a long-standing ban on uranium mining in that state, we are looking forward to advancing our Lake Maitland property towards production as quickly as we can".
PROJECT ACTIVITY
In the last three months of 2008, Mega continued its feasibility studies of the Lake Maitland project in Western Australia and progressed exploration of priority projects in Argentina and Cameroon. Elsewhere, some of the scheduled exploration activities in Australia, Canada, Colombia, Bolivia and Mongolia were cancelled or delayed in order to preserve the Company's cash resources.
In mid-October of 2008, Mega announced the positive results from a preliminary scoping study of the Lake Maitland project - refer to the news release of October 21, 2008.
In late December 2008, Mega provided an update on its exploration activities in the Central Mineral Belt of Labrador and the Athabasca Basin of Saskatchewan - refer to the news release of December 24, 2008.
Stewart Taylor, Mega's President and Qualified Person under NI 43-101, has reviewed the technical information in this release and has verified the contents disclosed.
ABOUT MEGA URANIUM
Mega Uranium Ltd. is a Toronto-based mineral resources company with a focus on uranium properties in Australia, Argentina, Bolivia, Cameroon, Canada, Colombia and Mongolia. Further information on Mega can be found on the company's website at www.megauranium.com. Mega Uranium's Australian uranium properties, other than those located in Western Australia, including without limitation the Ben Lomond and Maureen properties, are subject to state policies which presently prohibit the mining of uranium. |
