Re: Mining Conventions

RNS Number:1869W
UraMin Inc
08 May 2007



8 May 2007

                                  UraMin Inc.
                           ("UraMin or "the Company")

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

 UraMin to initiate exploration and drilling programme in the Republic of Niger
                    following signing of Mining Conventions

  * License areas located within the well known and prospective Tim Mersoi
    basin uranium province

  * 4 license areas totaling 1,815 square kms are situated along the Arlit
    Fault zone, which has existing uranium producing mines within the zone

  * 2 further license areas totaling approx. 1,000 square kms. under
    application

  * Stable, favourable fiscal regime for duration of the prospecting and
    mining period

  * Exploration planning complete and mobilisation to site is imminent

Uramin is pleased to announce that it has entered into four Mining Conventions
with the Republic of Niger to prospect for and, if economically viable, mine all
minerals, including uranium, in areas described as "Kamas 1 to 4" which are
located in the Tim Mersoi basin.

Ian Stalker, Chief Executive said "The Niger license areas represent an exciting
exploration opportunity situated in an area of existing uranium mining. We will
apply UraMin's significant experience in uranium exploration to these targets
and look forward to realizing an extensive exploration and drill programme."

Tim Mersoi basin is a major world uranium province wherein the deposits, hosted
by sandstones, are roll front type, which are reduced and consist of pitchblende
and coffinite (Akouta, Arlit, Afasto, Madaouela) associated to Carboniferous
terrains or oxidized (Imouraren) within Jurassic age formation.

Niger has been mining uranium since 1971 for a past production from 2 operating
mines exceeding 100,000 tonnes of uranium (approximately 2,600,000 lbs of U3O8)
to the end of 2006. With an output of over 3,093 tU in 2005, Niger was the
world's 6th ranked uranium producer contributing 7.75% of the total world
production.

The Kamas concessions are located along the western edge of the Arlit Massif and
to the north of SOMAIR's successful Arlit mine. The Arlit flexure/fault lies
just inside and along the western edge of the Uramin concessions. Splays off
this major structure strike north east through the Kamas block. Its influence
dominates the sedimentology and paleogeography, and consequently also the
distribution of uraniferous mineralisation.

The main prospecting target on the UraMin concessions is the Devonian ash-pit
gravel, which in a reduction environment is favourable to the presence of
uranium. On the structural plan, the favourable zones are along the Arlit
flexure, where synforms related to the latter constitute traps for uraniferous
mineralisation.

The Mining Conventions entered into provide for favourable and stable fiscal
conditions over the duration of the prospecting and mining period of 20 years,
renewable for further periods if necessary. Incentives include total exemption
from most taxes, import benefits and income tax waivers for expatriate employees
during exploration. During the exploitation phase various tax, customs, export
and related benefits are guaranteed. In addition, the state makes customary
guarantees against discrimination, changes in law, restriction in funds
transfer.

Following preparation of a feasibility study, if the project should proceed to
the exploitation phase, UraMin is required to incorporate a local company to
conduct exploitation activities. The state is entitled to a free carried 10%
interest in the company and, at its election and on commercial terms, to acquire
a further 20% interest for value.

For further information:

Ian Stalker Chief Executive Officer
Neil Herbert, Finance Director
James Pitman, Vice President Business Development
Tel: [phone]

Nominated Advisor
Canaccord Adams Limited
Robin Birchall
Tyler Broda
Tel: [phone]

Toronto
Steve Vaughan
[phone]

Notes to Editors

GLOSSARY


tU                                                                                                       Tonnes uranium
Lb                                                                                                                Pound
U3O8                                                                                               Triuranium octaoxide
Uranium                 heavy silvery-white metallic element found in several minerals, notably uraninite and carnotite


UraMin (www.uramin.com) was established in 2005 to acquire and develop mineral
properties, predominantly uranium. Following the private placement the Company
currently working capital of approximately US$299 million and a market
capitalization of approximately US$1.9 billion on an undiluted basis. UraMin
(www.uramin.com) is traded on the Alternative Investment Market of the London
Stock Exchange plc and the Toronto Stock Exchange under the symbol UMN.

UraMin is currently focusing on the development of its advanced stage
exploration projects at Trekkopje in Namibia, Bakouma in the Central African
Republic and Ryst Kuil in South Africa. Through a South African joint venture,
UraMin also enjoys additional prospecting license applications for important
uranium deposits in the Karoo, South Africa. No assurance can be given that
remaining applications for prospecting licences will be successful.

Forward-Looking Statements:

This press release contains statements that are "forward-looking". Generally,
the words "expect," "intend," "estimate," "will" and similar expressions
identify forward-looking statements. By their very nature, forward-looking
statements are subject to known and unknown risks and uncertainties that may
cause our actual results, performance or achievements, or that of our industry,
to differ materially from those expressed or implied in any of our
forward-looking statements. Statements in this press release regarding the
Company's business or proposed business, which are not historical facts, are
"forward looking" statements that involve risks and uncertainties, such as
estimates and statements that describe the Company's future plans, objectives or
goals, including words to the effect that the Company or management expects a
stated condition or result to occur. Since forward-looking statements address
future events and conditions, by their very nature, they involve inherent risks
and uncertainties. Actual results in each case could differ materially from
those currently anticipated in such statements.

Investors are cautioned not to place undue reliance on forward-looking
statements, which speak only as of the date they are made.

                      This information is provided by RNS
            The company news service from the London Stock Exchange
END

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