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Shareholders of Terra Ventures Inc. approve plan of arrangement with Hathor Exploration Limited

August 3, 2011

NOT FOR DISTRIBUTION TO UNITED STATES NEWSWIRE SERVICES OR FOR
DISSEMINATION IN THE UNITED STATES

VANCOUVER, Aug. 3, 2011 /PRNewswire/ – Hathor Exploration Limited (TSX: HAT) (“Hathor“) and Terra Ventures Inc. (TSX-V:TAS) (“Terra“) are pleased to announce that at a special meeting of Terra
shareholders held on August 2, 2011 in Vancouver, British Columbia (the
Meeting“), the Terra shareholders voted, by special resolution, to approve the
proposed plan of arrangement with Hathor (the “Arrangement“).

In total, 104 Terra shareholders representing a total of 25,741,027
shares, representing 41.56% of Terra’s issued and outstanding shares
were represented by proxy or in person at the Meeting.  There were a
total of 24,392,707 Terra shares that were voted to approve the
Arrangement, representing 95.9% of all of the votes attached to the
Terra shares cast by shareholders, present in person or represented by
proxy, at the Meeting.

James Hutton, Terra’s chairman notes, “The overwhelming positive
endorsement from Terra’s shareholders supports the value and synergies
of this Arrangement.”

The Arrangement consolidates a 100% interest in both the Roughrider
uranium deposit and the large and prospective Russell Lake exploration
project, located at either end, respectively, of the prolific eastern
corridor of the Athabasca Basin.

Both companies believe this consolidation of property ownership will
create value to a degree not possible for either company to achieve on
its own. Hathor shareholders are expected to realize full value for the
mineral resource potential of the Roughrider deposit as it grows. Terra
shareholders are expected to benefit more from full participation in
Roughrider and in all of Hathor’s other properties, including Russell
Lake.

Hathor and Terra believe the combination of the two companies is a
natural progression in the ongoing advancement of the Roughrider
uranium deposit. This consolidation compliments and builds on the
recent expansion and strengthening of Hathor’s expert uranium
exploration and management teams, the conversion of the Roughrider
mineral claim to mineral lease, and the graduation of Hathor from the
TSX Venture Exchange to a full listing on the Toronto Stock Exchange.

Michael Gunning, Hathor’s President & CEO comments, “The consolidation
of the ownership of the Roughrider deposit will strengthen our company
and provide a greater opportunity to maximize value for our
shareholders.”

For details of the Arrangement, please see Terra’s management
information circular dated June 30, 2011 and Terra and Hathor’s joint
press releases dated April 18, 2011, May 9, 2011 and July 7, 2011, all
having been filed on Terra and Hathor’s respective profiles on SEDAR at
www.sedar.com. On completion of the Arrangement, Terra’s shareholders will hold
approximately 10% of the pro forma outstanding shares of Hathor, on a
fully-diluted basis.

Terra’s application to the Supreme Court of British Columbia to obtain
the final court order approving the Arrangement is scheduled for
Thursday, August 4, 2011. Assuming court approval is obtained and that
all other conditions to the Arrangement are satisfied or waived, the
Arrangement is expected to become effective on or before August 11,
2011.

About Hathor

Hathor is a publicly-traded mineral exploration company listed on the
Toronto Stock Exchange trading under the symbol HAT. Hathor is focused
on uranium exploration in the Athabasca Basin region of Saskatchewan
and Alberta. The Athabasca Basin is the pre-eminent exploration
district in the world for high grade uranium, and for the past 30 years
has been responsible for between 20 and 30% of global annual uranium
mine production. Hathor’s Roughrider uranium deposit is within the
northern part of the main uranium-producing eastern corridor of the
Athabasca Basin.  The property has been converted from mineral claim to
mineral lease, and following the discovery in 2008, Hathor continues to
drill, update and optimize the overall resource potential of three
different mineral zones identified to date. Terra owns a 10% interest
in the largest claim on the property containing the entire deposit
known to date, carried to the completion of a positive feasibility
study and announcement of intent for commercial production. Hathor’s
exploration pipeline behind Roughrider is highlighted by the 74,000 ha
Russell Lake property located in the southern portion of the eastern
corridor of the Basin. The property has numerous early stage targets in
various stages of development and testing. Terra owns an 8% interest in
the Russell Lake South property, carried to the completion of a
positive feasibility study and announcement of intent for commercial
production.

About Terra

Terra is a junior exploration company focused on acquiring and
developing quality uranium projects which have world class potential.
Terra is listed on the TSX Venture Exchange under the symbol TAS.
Terra’s principal property interests currently consist of an interest
or option in the Roughrider uranium deposit, South Russell project, and
the Wheeler River area properties, all of which are in Saskatchewan’s
Athabasca Basin. With respect to Wheeler River, Terra has an option to
earn up to a 95% interest in this prospect which adjoins the Wheeler
River property of Denison Mines Corp. (60%) and Cameco Corp. (30%).
Terra is currently carrying on its exploration program of the Wheeler
River property, to include drilling in the normal course of business.
Terra also holds a 10% production carried interest in 34 claims held by
Titan Uranium Inc. in seven separate projects located in the
southwestern and northeastern parts of the Athabasca Basin,
Saskatchewan.

The Toronto Stock Exchange does not accept responsibility for the
adequacy or accuracy of this press release.

Neither the TSX Venture Exchange nor its Regulation Service Provider (as
that term is defined in the policies of the TSX Venture Exchange)
accepts responsibility for the adequacy or accuracy of this new
release.

None of the securities anticipated to be issued under the plan of
arrangement have been or will be registered under the Securities Act of
1933, as amended, or any state securities laws, and such securities are
anticipated to be issued in the United States pursuant to exemptions
from such registration requirements.  This press release shall not
constitute an offer to sell or solicitation of an offer to buy any
securities in any jurisdiction where such an offer or sale would be
unlawful
.

Forward Looking Information

This press release contains “forward-looking information” within the
meaning of applicable Canadian securities legislation, including
information relating to Hathor or Terra’s future financial or operating
performance may be deemed “forward looking” or the anticipated date for
the closing of the Arrangement. All statements in this news release,
other than statements of historical fact, that address events or
developments that Hathor or Terra expects to occur, are
“forward-looking statements”. Forward-looking statements are statements
that are not historical facts and are generally, but not always,
identified by the words “expects”, “does not expect”, “plans”,
“anticipates”, “does not anticipate”, “believes”, “intends”,
“estimates”, “projects”, “potential”, “scheduled”, “forecast”, “budget”
and similar expressions, or that events or conditions “will”, “would”,
“may”, “could”, “should” or “might” occur. All such forward-looking
statements are based on the opinions and estimates of the relevant
management as of the date such statements are made and are subject to
important risk factors and uncertainties, many of which are beyond
Hathor or Terra’s ability to control or predict. Forward-looking
statements are necessarily based on estimates and assumptions
(including that the Arrangement will be completed successfully on the
terms agreed upon by the parties and that the business of Terra will be
integrated successfully into the Hathor organization) that are
inherently subject to known and unknown risks, uncertainties and other
factors that may cause actual results, level of activity, performance
or achievements to be materially different from those expressed or
implied by such forward-looking statements. In the case of Hathor and
Terra, these facts include their anticipated operations in future
periods, planned exploration and development of its properties,
anticipated date for the closing of the Arrangement, and plans related
to its business and other matters that may occur in the future. This
information relates to analyses and other information that is based on
expectations of future performance and planned work programs.
Statements concerning mineral resource estimates may also be deemed to
constitute forward-looking information to the extent that they involve
estimates of the mineralization that will be encountered if a mineral
property is developed. Forward-looking information is subject to a
variety of known and unknown risks, uncertainties and other factors
which could cause actual events or results to differ from those
expressed or implied by the forward-looking information, including,
without limitation: exploration hazards and risks; risks related to
exploration and development of natural resource properties; uncertainty
in Hathor’s ability to obtain funding; uranium price fluctuations;
recent market events and conditions; risks related to the uncertainty
of mineral resource calculations and the inclusion of inferred mineral
resources in economic estimation; risks related to governmental
regulations; risks related to obtaining necessary licenses and permits;
risks related to their business being subject to environmental laws and
regulations; risks related to their mineral properties being subject to
prior unregistered agreements, transfers, or claims and other defects
in title; risks relating to competition from larger companies with
greater financial and technical resources; risks relating to the
inability to meet financial obligations under agreements to which they
are a party; ability to recruit and retain qualified personnel; and
risks related to their directors and officers becoming associated with
other natural resource companies which may give rise to conflicts of
interests. This list is not exhaustive of the factors that may affect
Hathor or Terra’s forward-looking information.  Should one or more of
these risks and uncertainties materialize, or should underlying
assumptions prove incorrect, actual results may vary materially from
those described in the forward-looking information. Hathor and Terra’s
forward-looking information is based on the reasonable beliefs,
expectations and opinions of their respective management on the date
the statements are made and neither Hathor nor Terra assumes any
obligation to update forward-looking information if circumstances or
management’s beliefs, expectations or opinions change, except as
required by law. For the reasons set forth above, investors should not
place undue reliance on forward-looking information. For a complete
discussion, please refer to Hathor’s Annual Information Form, its
audited financial statements and MD&A for the year ended March 31, 2011
and Terra’s audited financial statements and MD&A for the year ended
February 28, 2011, all of which is filed on SEDAR at www.sedar.com.


    Hathor                                                                 Terra
    Michael H. Gunning, Ph.D, P.Geo                                        James Hutton, B.Sc., MBA
    President & CEO                                   A  A  A  A  A  A  A  Chairman of the Board
    Tel: 604-684-6707                                                      Tel: 604-683-0911
    www.hathor.ca                      www.terrauranium.com

SOURCE Terra Ventures Inc.


Source: newswire