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Aurora Energy Resources Inc. ("Aurora" or the "Company") (AXU:TSX) today acknowledged that Fronteer Development Group Inc. ("Fronteer") has issued a press release stating that Fronteer intends to make an offer (the "Fronteer Offer") to acquire all of the outstanding common shares of Aurora not already held by it on the basis of 0.825 of a Fronteer common share for each Aurora common share. Aurora understands that Fronteer holds approximately 42% of the outstanding Aurora common shares.
The Fronteer press release states that Fronteer anticipates the Fronteer Offer will be made by way of a formal offer and take-over bid circular to be mailed to all Aurora shareholders no later than January 30, 2009. Aurora's Board of Directors has formed a Special Committee of directors who are independent of Fronteer and will evaluate the proposed Fronteer Offer. The Special Committee has retained National Bank Financial Inc. as its financial advisors and Ogilvy Renault LLP as its legal advisors.
Fronteer has not yet made any formal offer and no action is required by Aurora shareholders at this time. Aurora recommends that its shareholders defer making any decision with respect to the offer until the Aurora Board of Directors formally communicates to shareholders its position on any such offer. Aurora's Board of Directors will advise Aurora shareholders of its position on any such offer by news release and directors' circular, as required by applicable securities law.
ABOUT AURORA
Aurora is a uranium exploration and development company active in the Central Mineral Belt of coastal Labrador - one of the world's most promising uranium districts - and in Nunavut, Canada, where it has acquired an interest in the Baker Lake Basin property.
Aurora has no debt and approximately C$99 million in cash that is fully liquid and held with a large Canadian commercial bank.
Aurora is committed to responsible development, which includes community consultation, lasting local benefits and the highest standards of safety, health, and environmental protection.
For further information on Aurora, please contact:
Bruce Dumville, President & CEO
(PH) (709) 726-2223
www.aurora-energy.ca
Except for the statements of historical fact contained herein, certain information presented constitutes "forward-looking statements". Such forward-looking statements, including but not limited to the making of any offer for Aurora shares and the terms of any such offer, the timing and level of exploration activities, including drilling activities, the timing of completion of a pre-feasibility study and anticipated results of the 2008 work program; involve known and unknown risks, uncertainties and other factors which may cause the actual results, performance or achievement of Aurora to be materially different from any future results, performance or achievements expressed or implied by such forward-looking statements. Such factors include, among others, risks related to no offer for the Aurora shares being made, any such offer not being completed, the terms of any such offer, the actual results of current exploration activities, conclusions of economic evaluations, uncertainty in the estimation of mineral resources, changes in project parameters as plans continue to be refined, future prices of uranium, economic and political stability in Canada, environmental risks and hazards, increased infrastructure and/or operating costs, labor and employment matters, and government regulation as well as those factors discussed in the section entitled "Risk Factors" in Aurora's Annual Information Form on file with the Canadian Securities Commissions. Although Aurora has attempted to identify important factors that could cause actual results to differ materially, there may be other factors that cause results not to be as anticipated, estimated or intended. There can be no assurance that such statements will prove to be accurate as actual results and future events could differ materially from those anticipated in such statements. Aurora disclaims any intention or obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise. Accordingly, readers should not place undue reliance on forward-looking statements. |