Altona Mining Limited Stock Market Press Releases and Company Profile
Universal Resources Limited (ASX:URL) Quarterly Report For The Period Ended 31 December 2009
Universal Resources Limited (ASX:URL) Quarterly Report For The Period Ended 31 December 2009

Perth, Feb 1, 2010 AEST (ABN Newswire) - Universal Resources Limited (googlechartASX:URL) is pleased to provide a Quarterly Activities Report for the period ended 31 December 2009.

Universal Resources is an Australian public listed company with substantial tenement holdings in two of Australia's major base and precious metal provinces:

- the Mt Isa Inlier in Queensland; and
- the Lachlan Fold Belt in NSW.

Universal's major asset is the Roseby Copper Project, one of Australia's largest undeveloped open pit copper resources, with 128.54 million tonnes of JORC compliant resources containing 878kT of copper and 239kOz of gold.

A detailed feasibility study (DFS) of a five million tonnes per annum (5Mtpa) mine, mill, concentrator and associated infrastructure was completed in September 2008. That study indicated the Project was both technically feasible and economically viable based on the financial assumptions used in the study.

Recently announced improvements in economic conditions in Australia, China, India and the USA, have seen copper prices perform very strongly.

Copper has traded on LME over recent weeks at around US$3.35/lb (A$3.65/lb)

CORPORATE

Merger with Vulcan Resources Limited

On 28 September 2009, Universal and Vulcan Resources Limited (Vulcan) entered into a Merger Implementation Agreement that committed the companies, conditional upon certain matters being satisfied or waived, to merge by way of a Vulcan Scheme of Arrangement on the basis of Universal offering 6.85 fully paid ordinary shares in Universal for each Vulcan share, requiring Universal to issue approximately 1,558.375 million new shares. In addition, Universal will issue approximately 5.167 million shares to Vulcan option-holders in return for the cancellation of their options.

Vulcan has distributed its Scheme Booklet to its shareholders and will hold a general meeting of shareholders to approve the Scheme on 29 January 2010. If approved by Vulcan shareholders and subsequently by the Federal Court, on or about 4 February, the Scheme should be completed by 19 February 2010.

On 16 November 2009, Vulcan announced it had purchased a second hand mill in Finland.

The Luikonlahti mill, which has been on care and maintenance since 2004, is located only 45km from the Kylylahti copper-cobalt-nickel-zinc-gold deposit, which was the subject of Vulcan's detailed feasibility study completed in 2008.

The directors of Universal and Vulcan unanimously agree that the merger will benefit both companies, creating a global copper company with:

- Cash reserves in excess of A$17 million.

- Copper resources with over 1,000,000 tonnes of contained copper.

- Two advanced copper projects (Kylylahti and Roseby) with completed feasibility studies and robust financial outcomes at current copper prices creating options for development of the projects.

- Potential production of around 50,000 tpa of copper equivalent in concentrates.
This assumes the second phase of the Roseby development, increasing production to 8Mtpa, is approved.

- An attractive suite of by-product metals will be produced, including:

-- Gold
-- Cobalt
-- Nickel
-- Zinc

- Increased market capitalisation should create increased investor interest and a potential re-rating of the merged group's shares.

Share Placements

During the quarter, the company placed 120 million new shares at an issue price of 1.8c per share, to sophisticated investors. The issue raised $2.16 million before costs. The funds will be utilised for general working capital. Tulla Resources, a company associated with the Chairman of Universal, Mr Kevin Maloney, subscribed (with shareholder approval) for 60 million of the new shares.

Issued Capital

At the conclusion of the share issue listed above, the issued capital of the Company is as follows:
FPO Shares---------------------------Previous        772,341,800Placement       120,000,000Total           892,341,800---------------------------

Options

Directors and employee options 18,835,000

Note: These options expire on various dates up to 23 December 2013. All options have an exercise price of 15c per share.

Converting Notes

10% Converting Notes with a face value of A$100 -- 139,500

Consolidation of Share Capital - Conditional on Vulcan Merger

At a General Meeting of Universal shareholders held on 27 November 2009, shareholders approved a resolution to consolidate the Company's shares on the basis of one new share for every ten shares held on the record date. The consolidation will only be implemented if the merger with Vulcan is approved. If not approved, the consolidation will not take place.

Universal owns a large number of granted mining and exploration tenements in the Mt Isa Inlier covering an area of approximately 2,150km2. All tenements except EPM 14367 (Spider) are held 100% by the company or its wholly owned subsidiary, Roseby Copper Pty Ltd. Spider is held 49% by Universal and 51% by Deep Yellow.

The Roseby Copper Project is the Company's most advanced project, with a detailed feasibility study completed in September 2008.

The Company also holds a 90% interest in an Exploration Licence (EL 5692, Burra) in the Lachlan Fold Belt of New South Wales. Burra, is prospective for zinc dominant poly-metallic massive sulphide mineral deposits.

For the complete Universal Resources Quarterly Report for the period ended 31 December 2009, please click the link below:

http://www.abnnewswire.net/media/en/docs/62185-ASX-URL-478316.pdf

About Altona Mining Limited

Altona is a cashed up ASX listed company with a record of shareholder returns. It is focussed on the Cloncurry Copper Project in Queensland, Australia.

The Cloncurry Copper Project has resources containing some 1.65 million tonnes of copper and 0.43 million ounces of gold. The first development envisaged is the 7 million tonnes per annum Little Eva open pit copper-gold mine and concentrator.

abnnewswire.com 


Contact

Peter Ingram
Managing Director
Universal Resources Limited
Tel: +61-8-9486-8400
Email: reception@universalresources.com.au

Desmond Kelly
Company Secretary and CFO
Universal Resources Limited
Tel: +61-8-9486-8400
Email: reception@universalresources.com.au



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