Mukuba Announces Mailing of Meeting Materials and Details of Proposed Share Consolidation

    




 TORONTO, Aug. 7, 2012 /CNW/ - Mukuba Resources Limited  ("Mukuba" or the "Company") announced today that it has received confirmation of the mailing to  shareholders of its management information circular for a special  meeting (the "Meeting") to consider the previously announced consolidation of the Company's  outstanding common shares (the "Common Shares") at a ratio of four pre-consolidation Common Shares for one  post-consolidation Common Share (the "Consolidation") and the compensation payment to be paid to the directors and Chief  Executive Officer of the Company. The Meeting is scheduled to occur on  August 30, 2012 with a record date of July 30, 2012 (the "Record Date"). 

 As at the Record Date, the authorized share capital of the Company  consisted of an unlimited number of Common Shares of which 77,279,639  Common Shares were outstanding. After the Consolidation, the authorized  share capital will continue to consist of an unlimited number of Common  Shares without par value, of which approximately 19,319,909 Common  Shares in the capital of the Company would be issued and outstanding,  provided that the Consolidation is completed on the basis of one (1)  new for four (4) old Common Shares without par value, as currently  proposed. 

 No fractional Common Shares will be issued as a result of the  Consolidation. In the event that a given shareholder's holdings would  result in the issuance of fractional Common Shares, the holdings of the  shareholder would be rounded down to the nearest whole number of Common  Shares. 

 The Company's name and stock trading symbol will not change in  connection with the Consolidation. 

 Management is proposing the Consolidation in order to facilitate raising  additional capital. The Company has announced a private placement of  units, consisting of Common Shares and Common Share purchase warrants  that is expected to close on or about September 12, 2012 (the "Private Placement"). The Private Placement is conditional on the approval and  implementation of the Consolidation. 

 Completion of the Consolidation and the payment to the directors and  Chief Executive Officer of the Company are each subject to the receipt  of all required regulatory and shareholder approvals, including  acceptance by the TSX Venture Exchange. 

 About the Company 

 Mukuba is a Canadian mining company focused on the exploration and  development of certain African base metal assets alone and through a  joint venture partner. These assets include a 100% interest in the  Northcore Project, which is licensed for both copper and cobalt and  encompasses approximately 2,274 square km of geologically prospective  ground in the Central African Copperbelt region of Zambia. Mukuba is  also a party to a joint venture with Benzu Resources Limited to explore  and develop a copper and base metals project in the Democratic Republic  of the Congo. 

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

 Forward-looking Information 

 Securities regulators encourage companies to disclose forward-looking  information to help investors understand a company's future prospects.  This press release contains statements about our future business and  planned activities, including matters relating to the Consolidation,  future shareholder meetings and the compensation payment to the  directors and Chief Executive Officer of the Company. These are  "forward-looking" because we have used what we know and expect today to  make a statement about the future. Forward-looking statements usually  include words such as may, intend, plan, expect, anticipate, believe or  other similar words. We believe the expectations reflected in these  forward-looking statements are reasonable. However, actual events and  results could be substantially different because of the risks and  uncertainties associated with our business or events that happen after  the date of this press release. You should not place undue reliance on  forward-looking statements. As a general policy, we do not update  forward-looking statements except as required by securities laws and  regulations. 

Mukuba Resources Limited


CONTACT:  Kelly Ehler, interim President and CEOTEL: [phone]FAX: [phone]Email: [e-mail] 


    

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