Neal Froneman, CEO Gold One International

Uranium One's Kazakh deal nothing to worry about - Neal Froneman

| Mon, 01 Jun 2009 07:20 In an interview on SAfm @ 18:15 on 29 May 2009 [miningmx.com] -- THERE'S nothing to worry about with Uranium One in Kazakhstan, says founder and former CEO of the company Neal Froneman. Froneman, who is now CEO of GoldOne, said the deal involving the acquisition of uranium assets in Kazakhstan was clean. Uranium One was singled out by Kazakh authorities as one of the companies to have acquired uranium assets in that country in an illegal manner. Asked if there was anything dodgy in the acquisition of the assets by UrAsia, a Canadian company bought by Uranium One, Froneman said: "No, there wasn't. We conducted appropriate due diligence," he said on SAfm Market Update. "But I think, more importantly, the government has approved ownership changes with those assets twice now. When we bought them, that was approved, and then prior to that the previous company had it approved as well. So there was absolutely no sign of anything untoward." Shares in Uranium One have fallen around 40% since the news came out last week. "I must say I think it's a total over-reaction, and I think investors are looking for clarity. You know, when something like this happens an investigation casts the net very wide, and it drags everyone into it, including companies like Cameco, Uranium One and Areva," Froneman said. The previous head of KazAtomProm, which is the state-owned entity that owned these uranium assets, and also partners, the Western world companies that have operations there - the head of KazAtomProm was arrested for so-called theft, he said. "I don't think there's anything to be worried about," he said.

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