URA Ura Holdings

RNS Number:6200O
Uranium Resources PLC
22 December 2006



22nd December 2006



                             Uranium Resources plc

                     ('Uranium Resources' or 'the Company')



        Raises #1.85 million to advance uranium exploration in Tanzania



Uranium Resources plc, the AIM traded uranium exploration and development
company, has received binding commitments to raise #1.85 million through the
issue of 73,900,000 new ordinary shares at 2.5p per share. The Company expects
to announce shortly that is has received binding commitments in respect of a
further 6,100,000 new ordinary shares on the same terms. The proceeds of the
placing, conducted with new institutional and private investors and the
directors of the Company, will be utilised to advance its existing portfolio of
uranium assets in Tanzania and for working capital.  The new investors include
Geiger Counter Ltd.



Uranium Resources is primarily focused in the Karoo Basin in Southern Tanzania,
where it currently has prospecting licences and applications spanning circa
7,000 sq km, making it one of the largest exploration land holders in this area.
To develop these areas it has signed a farm in agreement with Western Metals Ltd
(ASX:WMT), in respect of five licences where Uranium Resources is free carried.
The Company also has a joint venture agreement with WMT in respect of an
additional three licences acquired earlier this month.



The Company is currently preparing for the Tanzanian field season in April 2007,
which will include further trenching, ground radiometric surveys, airborne
radiometrics and drill access preparation for drilling. Subject to completion of
negotiations with a drilling contractor, we are currently aiming to commence
drilling in June 2007.



Uranium Resources director Ross Warner said: "We were very pleased with the
demand for the placing which will enable us to advance what we believe to be an
exciting portfolio of exploration assets, in a prospective area for uranium. We
are at an early stage of development, however we feel there is a huge
opportunity for the Company to build upon its portfolio of uranium assets and
capitalise on the rising demand for uranium investment opportunities.



"Initial trenching results from our Mtonya licences look promising, confirming
high grade uranium mineralisation in channel samples. It is our aim to advance
our licences in the Karoo Basin and continue reviewing other potential projects
in known uranium districts in Tanzania and other parts of the world. Through
expanding our operations in Africa, we hope to strengthen our relationships with
uranium industry specialists and become a significant player in the uranium
market.



"The Company will now develop plans to potentially list on the Australian Stock
Exchange.  The Board believes that such a move will alleviate the liquidity
issues that our shareholders face on AIM and reduce or eliminate the disparity
in valuations between the Company and Western Metals."



The Company proposes to issue the new shares on 15 January 2007.  Application
will be made for the admission of the new ordinary shares to trade on the AIM
market.  The new ordinary shares will rank pari passu with the existing ordinary
shares of 0.1p each in the Company and dealings in these new ordinary shares are
expected to commence on 15 January 2007.



Each of the directors has participated in the fundraising as follows:



                         New Shares                Total Shares                   Total shareholding

Hugh Warner              3,000,000                   24,706,666                     8.49%*

James Pratt              3,000,000                    4,000,000                     1.37%*

Ross Warner              2,000,000                    3,000,000                     1.03%*



* The director's total shareholding as a percentage of the expanded ordinary
share capital of the Company.



The total number of ordinary shares on issue following this issue will be
284,900,000.



                                    **ENDS**



For further information please see: www.uraniumresources.co.uk or contact:

James Pratt              Uranium Resources plc                 Tel: +61 412 743 382

Ross Warner              Uranium Resources plc                 Tel: 07760 487 769

Hugh Warner              Uranium Resources plc                 Tel: +618 9217 3350

Hugh Oram                Nabarro Wells & Co. Limited           Tel: 020 7710 7400

Hugo de Salis            St Brides Media & Finance Ltd         Tel: 020 7242 4477






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

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