New Investment

Niger Uranium Limited
21 April 2008


For immediate release                                              21 April 2008

                             Niger Uranium Limited
                       ('Niger Uranium' or the 'Company')

       Acquisition of substantial interest in UrAmerica plc ('UrAmerica')

Niger Uranium, the uranium focused exploration and investment company with
interests in Niger and Namibia, announces that it has acquired an initial 20.89
per cent. strategic interest in UrAmerica (increasing to 33.58 per cent. on a
fully diluted basis), a private company with uranium exploration projects in
Argentina, Paraguay and Colombia.

Ian Stalker, Deputy Chairman of Niger Uranium, said:


'Niger Uranium continues to build an exciting portfolio of uranium projects
alongside the development of its wholly-owned uranium exploration projects in
Niger on which encouraging drilling results have recently been announced. This
strategic investment in UrAmerica gives us entry into Argentina, a prospective
uranium district that we have been targeting for some time. This investment adds
to our recently acquired interest in Namibia.


'UrAmerica has exciting uranium exploration projects in Argentina with an
established management team with strong technical skills. We look forward to
working closely with the UrAmerica team on an accelerated programme of
exploration.'


Niger Uranium has today subscribed for 4,421,000 new ordinary shares in
UrAmerica ('UrAmerica Ordinary Shares') representing 20.89 per cent. of
UrAmerica's enlarged issued share capital, at a price of US$1.093 per new
UrAmerica Ordinary Share (the 'Purchase'). In addition, Niger Uranium has been
issued with 4,421,000 warrants to subscribe for a further 4,421,000 new
UrAmerica Ordinary Shares at an exercise price of US$1.639 per new UrAmerica
Ordinary Share (the 'Warrants') which are exercisable at any time within the
next two years. Accordingly, on completion of the Purchase and the exercise in
full of the Warrants, Niger Uranium will own 8,842,000 new UrAmerica Ordinary
Shares representing approximately 33.58 per cent. of the diluted enlarged issued
share capital of UrAmerica.


The consideration for the Purchase has been satisfied by an initial cash payment
of US$2.5 million (financed from the Company's existing cash balances) and the
issue of 4,664,306 new Niger Uranium Ordinary Shares representing 4.5 per cent.
of Niger Uranium's enlarged issued share capital. In aggregate, based on the
closing mid-market price of 19.5 pence per Niger Uranium Ordinary Share on 18
April 2008, the total consideration for the Purchase amounts to approximately
US$4.3 million. In addition, the cost to Niger Uranium of exercising all of the
Warrants would be approximately a further US$7.2 million.


In Argentina, UrAmerica enjoys two prospecting licence applications covering
over 1,800 km2 in the provinces of Chubut and Salta, the two most prospective
uranium districts in Argentina. The licence applications in Argentina are in
close proximity to known uranium deposits, the Cerro Solo deposit, Chubut and
the Don Otto Mine in Salta. The geology of Cerro Solo has been described as a
stratabound sandstone and conglomerate, braided stream uranium-molybdenum
deposits of the 'roll front' type. The Salta uranium targets are red continental
sandstone deposits that carry uranium, copper and vanadium. UrAmerica has
conducted a preliminary geological programme which has endorsed the exploration
potential of the projects. The proceeds of the subscription will be used by
UrAmerica to fund its initial drilling programme.


The acquisition of a significant stake in UrAmerica provides Niger Uranium with
a strategic interest in highly prospective areas in South America and enables
the Company to broaden its portfolio of exploration uranium assets by
diversification into new countries. On completion of the Purchase, Ian Stalker
will join the board of UrAmerica as a non-executive director.


Application will be made for the new Niger Uranium Ordinary Shares to be
admitted to trading on AIM, following which Niger Uranium's enlarged issued
share capital will amount to 104,664,306 Ordinary Shares. Admission of the new
Ordinary Shares is expected to become effective on 17 April 2008. UrAmerica has
entered into a lock-in agreement by which it has agreed not to sell or otherwise
dispose of its interest in the new Niger Ordinary Shares for a period of six
months.


UrAmerica has published no published financial results since incorporation on 1
June 2007. The Purchase is not expected to have a material impact on Niger
Uranium's earnings in the current year.


Contacts:

Niger Uranium Limited                                 Tel: + 27 (0) 11 269 4900
James Mellon, Non-Executive Chairman
Ian Stalker, Executive Deputy Chairman and Chief
Executive Officer

Beaumont Cornish Limited                              Tel: + 44 (0) 20 7628 3396
Roland Cornish / Michael Cornish

Haywood Securities (UK) Limited                       Tel+ 44 (0) 20 7031 8011
Thomas Beattie

Financial Dynamics                                    Tel + (0) 20 7831 3113
Ben Brewerton / Ed Westropp

ENDS


                      This information is provided by RNS
            The company news service from the London Stock Exchange