First Uranium Unsecured Convertible Debentures to Trade Interest Flat Immediately and Secured Convertible Notes to Trade Interest Flat Following March 31, 2012 Interest Payment

TORONTO AND JOHANNESBURG, March 5, 2012 /CNW/ - First Uranium Corporation

The Company has outstanding approximately Cdn $150 million aggregate principal amount of 4.25% Senior Unsecured Convertible Debentures ('Debentures') due June 30, 2012, issued pursuant to the Debenture Trust Indenture ('DebentureIndenture') dated May 3, 2007.  In order to complete the Transactions, certain amendments to the Debenture Indenture must be approved by the Debenture holders (and, if required, the shareholders of the Company), with such securityholders required to agree, inter alia, that no interest on the Debentures will accrue following the March 2, 2012 announcement date of the Transactions, assuming the completion of both the MWS transaction and the Ezulwini transaction.

All trades in the Debentures commencing on March 6, 2012 and until further notice will trade on an interest flat basis and the Toronto Stock Exchange will not report accrued interest regarding any such trades to participating organizations.  All trades made from and including December 31, 2011 (which was the last interest payment date on the Debentures) to the close of business on March 2, 2012 were completed on an accrued interest basis (the 'Outstanding Interest Obligation'). The Outstanding Interest Obligation will be paid by the Company upon closing of both the MWS transaction and the Ezulwini transaction. If the Transactions are not completed as announced, interest obligations with respect to the Debentures will be due and owing as currently specified in the Debenture Indenture.

In addition, the Company has outstanding Secured Convertible Cdn $110 million Notes due March 31, 2013 (the 'Canadian Notes') issued pursuant to a Canadian note indenture dated April 8, 2010 (the 'Canadian Note Indenture') and Secured Convertible ZAR 418.6 million Notes due March 31, 2013 (the 'ZAR Notes' and together with the Canadian Notes, the 'Notes') issued pursuant to a Rand note indenture dated April 23, 2010 (the 'Rand Note Indenture' and together with the Canadian Note Indenture, the 'Note Indentures').  The interest payment for the period from January 1, 2012 up to and including March 31, 2012 will be paid in cash on April 2, 2012.  In order to complete the Transactions, the Company will hold a meeting of the Note holders (and, if required, the shareholders of the Company), with such securityholders required to approve amendments to the Note Indentures to agree, inter alia, that no interest will accrue after March 31, 2012, assuming the completion of the MWS transaction.  If the MWS transaction is not completed as announced, interest obligations with respect to the Notes will be due and owing as currently specified in the Note Indenture. 

The Notes will trade on an interest flat basis from April 2, 2012.

Cautionary Language Regarding Forward-Looking Information

This news release contains and refers to forward-looking information based on current expectations. All other statements other than statements of historical fact included in this release are forward-looking statements (or forward-looking information). The Company's plans involve various estimates and assumptions and its business and operations are subject to various risks and uncertainties. For more details on these estimates, assumptions, risks and uncertainties, see the Company's most recent Annual Information Form and most recent Management Discussion and Analysis on file with the Canadian provincial securities regulatory authorities on SEDAR at www.sedar.com. These forward-looking statements are made as of the date hereof and there can be no assurance that such statements will prove to be accurate, such statements are subject to significant risks and uncertainties, and actual results and future events could differ materially from those anticipated in such statements, including without limitation, the statements regarding the proposed transactions with Gold One International Limited and AngloGold Ashanti Inc. No assurance can be given that the Company will be successful in concluding the proposed transactions and achieve the desired results. Accordingly, readers should not place undue reliance on forward-looking statements that are included herein, except in accordance with applicable securities laws.

First Uranium Corporation

CONTACT: John Hick or Mary Batoff

(416) 306-3072

mary@firsturanium.ca