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TORONTO, Canada August 12, 2008 – Laramide Resources Ltd. (“Laramide”) (TSX:LAM) and its subsidiary Treasury Metals Inc. (“Treasury Metals”), are pleased to announce that Treasury Metals has received a receipt from the Canadian securities regulators in both British Columbia and Ontario in connection with a final prospectus filed by Treasury Metals. The prospectus qualifies the distribution of common shares in the capital of Treasury Metals held by Laramide by way of a return of capital to shareholders.
In order to carry out the previously announced spin-out of Treasury Metals, Laramide will distribute 16,474,374 common shares in the capital of Treasury Metals to the shareholders of record of Laramide on the close of business on August 21, 2008 (the "Record Date") by way of a return of capital, subject to compliance with applicable laws. Pursuant to the return of capital, shareholders of record of Laramide on the Record Date will receive one Treasury Metals common share for each 3.8 Laramide common shares held by them for no consideration. Following the return of capital, Laramide will hold approximately 4,092,884 Treasury Metals common shares, being approximately 19.9% of the issued and outstanding Treasury Metals common shares. No fractional shares of Treasury Metals will be distributed in connection with the return of capital and no consideration will be paid in lieu thereof. Any fractional shares of Treasury Metals that persons would otherwise be entitled to receive will be rounded down to the nearest whole number. The balance of shares of Treasury Metals not distributed to shareholders as a result of such rounding down will not be distributed and will continue to be held by Laramide.
Laramide intends to hold its common shares of Treasury Metals for investment purposes. Laramide may, subject to market conditions and its ongoing evaluation of its investment in the common shares of Treasury Metals, make additional investments in or dispositions of securities of Treasury Metals, including additional purchases or sales of common shares.
The Toronto Stock Exchange (the "TSX") has conditionally approved the listing of the common shares of Treasury Metals under the symbol "TML", subject to Treasury Metals fulfilling all of the requirements of the TSX on or before October 29, 2008, including receipt of evidence of satisfactory distribution of the common shares of Treasury Metals. The common shares of Treasury Metals are expected be listed and posted for trading on a “when issued” basis under the symbol "TML" and Laramide’s common shares are expected to commence trading on an “ex-distribution” basis, in each case, on the TSX at the opening on August 19, 2008.
The prospectus is available on Laramide’s website at www.laramide.com, Treasury Metals’ website at www.treasurymetals.com and on SEDAR at www.sedar.com.
About Treasury Metals
Treasury Metals is a mineral exploration and development company with a growth-orientated strategy focused on the acquisition and development of precious and base metals assets in Canada. Treasury Metals’ activities are currently focused on two exploration projects: the Goliath Project, an advanced stage, high-grade gold deposit near Dryden, Ontario; and the Lara Polymetallic Project, an advanced stage, high-grade base and precious metal project on Vancouver Island, British Columbia. In addition to these projects, Treasury Metals holds rights to receive a net smelter royalty in connection with the Sierra Minerals Cerro Colorado mine located in Mexico and various investments acquired from Laramide.
Laramide Resources is engaged in the exploration and development of high quality uranium assets. Its wholly owned uranium assets are in Australia and the United States. Laramide’s portfolio of advanced uranium projects have been chosen for their production potential. Its flagship project is Westmoreland, in Queensland, Australia, one of the largest projects currently held by a junior mining company. Its U.S. assets include La Jara Mesa in Grants, New Mexico and La Sal in the Lisbon Valley district of Utah. Its portfolio also includes joint venture, strategic equity positions and royalty participation in uranium development and exploration companies that provide additional geographic diversification and uranium exposure for shareholders. The reorganization and spin-off of certain of Laramide’s non-uranium assets to Treasury Metals is designed to improve the identification and valuation of specific Laramide properties, to enhance Laramide’s ability to divest specific properties through simpler corporate ownership, to enter into strategic joint venture agreements, and to enable Laramide to separately finance and develop its various assets, selectively reducing stock dilution.
For more information please contact:
Investor Relations for Laramide
Investor Relations for Treasury Metals
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