Paladin raised the money via a institutional private placement of 93.45 million shares, priced at $4.60 AU. This represented a 6.1% discount vs closing share prices earlier on September 9th.

The company looks to use the new funds to advance exploration and possibly to fund acquisitions.

The North American markets haven’t reacted to this move with much fervour. Outside of September 8th pink sheet Paladin share volume has remained at average levels.

Quote from chief executive John Borshoff

“Paladin believes that with its balance sheet strength and development expertise, the company is well placed to partner both junior uranium companies and downstream companies seeking to commercialize uranium opportunities.”

Windhoek (Namibia): A French nuclear group, Areva, has sealed a deal to take control of a Canadian listed Namibian uranium producer, UranMin, in a US$2.5 billion deal which is expected to assure the French group of a steady supply of uranium ore.

Areva said Wednesday that its US$7.75 per share friendly offer, unveiled to the market in June, has been accepted by UraMin.

UraMin is developing the Trekkopje uranium project in Namibia, which is going to start commercial production in 2009.

The Toronto Stock Exchange (TSX)-listed firm also owns the Bakouma uranium project in the Central African Republic (CAR) and Ryst Kuil uranium mine in South Africa.

It is also exploring for the highly prized mineral in Niger.

Areva said that uranium deposits identified by UraMin in Namibia, CAR and South Africa would increase Areva’s uranium output by about 7,000 tonnes yearly after 2012. “The integration of UraMin into Areva’s mining business unit constitutes a major step in the group’s ambitious plan to increase its uranium production.

“It further strengthens the ability of Areva to provide its customers with long term secured uranium supplies,” Areva chief executive Anne Lauvergeon said.

The Trekkopje project in Namibia is expected to be the first one to come on stream, Areva officials said.

2007-08-02

African Press Agency