News

RNS Announcements

Disclosure Statement

24 November 2006

Uranium Resources plc ('URA' or the 'Company') announces that it has notified Deep Yellow Limited ('DYL'), an ASX listed Company, and Dr Leon Pretorius (a former director of URA and a current director of DYL) of certain claims URA has against both DYL and Dr Pretorius concerning the acquisition by DYL of Raptor Minerals Limited ('RML'). URA had sought legal advice in relation to those claims.

URA's solicitors have been in communication with the solicitors for DYL and Dr Pretorius. Commercial discussions between the parties have been held and the parties have failed to reach an agreed resolution.

URA notes that DYL issued a supplementary prospectus this morning regarding URA's claims (an extract of which appears below).

At this stage, URA has not issued legal proceedings against either DYL or Dr Pretorius and is currently considering its position. URA maintains that it has valid claims against DYL and Dr Pretorius.

Further announcements will be made when appropriate.

Extract from DYL's supplementary prospectus

'2. CLAIM BY URANIUM RESOURCES PLC

2.1 Background

As noted in section 6.3 of the Prospectus, certain third parties asserted the
existence of rights over or claims to the assets or interests of Raptor Minerals
Limited (RML), or a right to be involved in the agreement for the acquisition of
RML by the Company, on the basis of the involvement of common directors in those
negotiations over a period of time.

As at the date of the Prospectus, the nature of those assertions and the rights
or claims involved was unclear. Subsequently, the relevant third party, Uranium
Resources Plc (URP), through its solicitors, wrote to DYL providing further
particulars in relation to the claims, as detailed below, and seeking various
undertakings.

2.2 Description of Claim

URP's claim (Claim) against the Company relates primarily to the involvement of
a director of the Company, Dr Leon Pretorius, who is also a former director of
URP, in negotiations with certain of the RML vendors (or their associates or
representatives) over the period from approximately September 2005 to October
2006. The Claim contains an allegation that Dr Pretorius breached duties he owed
or owes to URP (as a former director of URP) by directing a business
opportunity, namely the acquisition of RML, to DYL for his own benefit and for
the benefit of DYL. The Claim contains an allegation that Dr Pretorius breached
obligations of confidentiality owed to URP. The Claim also contains an
allegation that the Company was, at all material times, aware of this (alleged)
breach of fiduciary duties and that the Company has received and continues to
receive a benefit as a result of this breach of duties, and is liable to account
to URP for that benefit.

DYL has refused to provide the undertakings sought by URP and commercial
discussions between the parties have failed to reach an agreed resolution of the
Claim.

2.4 Current Position

Both DYL and Dr Pretorius deny the allegations in the Claim, are of the view
that the Claim is without merit, and intend to vigorously defend any legal
action which is commenced by URP.

However, given that URP has now made specific assertions, and threatened to take
legal action, even if DYL ultimately prevails in such litigation, there is, in
the view of the Directors of DYL, a risk of ongoing uncertainty in relation to
DYL and its acquisition of RML, at least until the litigation is finally
determined or there is a commercial resolution between the parties.

In light of the uncertainty created by this situation, the Directors of DYL have
resolved that it is appropriate for shareholders who have applied for shares
under the Offer to be refunded their application moneys in accordance with
section 724 of the Corporations Act and have the opportunity to re-apply for New
Shares having received this Supplementary Prospectus.'

Enquiries

Contacts:
Hugh Warner, Director	Uranium Resources plc	Tel: 00 61 8 9217 3350
Hugh Oram, Director	Nabarro Wells & Co. Limited	Tel: 020 7710 7400