Operations Overview

Established in December 2006, First Uranium seeks to become a significant

Established in December 2006, First Uranium seeks to become a significant, low-cost producer of gold and uranium through the expansion of the underground development to feed the new gold and uranium plants at the Ezulwini Mine and through the expansion of the plant capacity of Mine Waste Solutions, a tailings retreatment facility which neighbours the Buffelsfontein Gold Mine.

Inclusive of the initial public offering in December 2006, First Uranium has raised over $780 million to date. During that time, the Corporation has brought both of its operations into gold production and the Ezulwini Mine into uranium production, while having to manage a myriad of challenges including: a global economic crisis and the resultant tightening of credit and funding opportunities; power shortages; the temporary withdrawal of the Environmental Authorization (EA) of the new Tailings Storage Facility (TSF) designed to accommodate future tailings deposition capacity requirements at Mine Waste Solutions; high clay content in the Mine Waste Solutions tailings being reclaimed; escalating costs for construction materials and considerable fluctuations in the price of re-agents such as sulphuric acid and cyanide.

In addition to building and commissioning new processing plants, First Uranium refurbished the Ezulwini Mine shaft, installed diesel-fired generators at both operations against future shortages of electrical power, commissioned two tailings reclamation stations and pipelines at Mine Waste Solutions and, to achieve its business goals, negotiated favourable contracts with various partners, including labour and local uranium calcining operation, Nufcor. With the recent recapitalisation financing through the issuance of secured convertible notes and changes to the management team, First Uranium believes that it is positioned to complete its primary capital projects and progress to full production at the Ezulwini Mine and Mine Waste Solutions.