World Wide Minerals Ltd -
World Wide exits uranium business
World Wide Minerals Ltd
WWSS
Shares issued 80,300,000
2000-02-23 close $0.01
Thursday Mar 9 2000
Mr. Paul Carroll reports
World Wide Minerals has sold its remaining interest in the uranium business to WM Mining AG for
$500,000 (U.S.). This consisted of a 25-per-cent interest in WM Mining International Ltd., the indirect
owner of the Dornod uranium mine in Mongolia, and a note receivable. World Wide will concentrate on
the recovery of its investment in Kazakhstan, including the lawsuit against the Republic of Kazakhstan,
Kazatomprom and Nukem, Inc. in which it is claiming $300-million (U.S.) in compensation in the U.S.
Federal District Court in Washington. World Wide also continues with the development of its new
subsidiary, Virtual Resources Inc., and is rationalizing and developing its activities in gold exploration in
China.
Paul Carroll, chairman of World Wide, stated: "Conditions in the uranium market at present and in the
foreseeable future are so bleak that they throw into question whether the industry will ever be viable
again. The ability of the smaller companies to survive in the continuing down market is extremely
tenuous and even the largest of the publicly traded companies are suffering. The market is being severely
affected by the actions of aggressive sellers, the financial condition of some large industry participants,
consideration of renationalization in the industry and the renewed overhang of the huge Russian
stockpiles and the almost endless sale of blended down highly enriched uranium from the Russian
military arsenal. Current proposals by the U.S. government to permit increased sales into that significant
market of further cheap supplies from Russia have removed any possible upside."
In the meantime, World Wide continues its activities through Virtual Resources Inc. to examine a number
of potential new ventures including Internet-related businesses, new mining ventures and recycling. Plans
for a reorganization of the company to facilitate evolution of the nature and scope of the business are
being developed. This will be facilitated by the elimination of any remnants of the uranium business
which have been seriously detracting from the efforts of management to achieve a new business model
for the company. The first preference would be to remain allied to the metals and minerals industry.
In the Company's lawsuit against Kazakhstan and Nukem, a U.S. unit of RWE AG of Germany, filings
by all parties in connection with the technical challenges by the defendants to the jurisdiction of the U.S.
Court are being completed. A decision by the judge assigned to the case will be forthcoming shortly
thereafter. The company's legal counsel has expressed confidence that the challenges will be rejected so
that the case may proceed. In a related matter, as a result of legislation passed by the U.S. Congress last
year at the behest of the company, the White House has reported to Congress that it has been very active
in supporting the company's attempts to resolve its dispute with Kazakhstan, including during the recent
visit of President Nazarbayev to Washington. |
