First Uranium eyes asset sale to pay off debt

First Uranium is in talks to sell key property to pay down debt due later this year, the gold and uranium miner said.The Toronto-based company said late on Tuesday that the sale of its "principal assets" should produce enough cash to meet its financial obligations, including C$150 million in changeable debt due in June.

First Uranium owns the Ezulwini uranium mine and the Mine Waste Solutions tailings processing facility, mutually in South Africa. The company's shares were flat at 19 Canadian cents on the Toronto Stock Exchange following the market open on Wednesday. First Uranium also reported lower-than-expected third quarter earnings and slashed its manufacture outlook for its fiscal 2012.

At Mine Waste Solutions, the company now plans to create 98,000 to 100,000 ounces of gold from a previous forecast of 105,000 to 115,000 ounces.At Ezulwini, First Uranium said it would not realize targeted gold sales of 70,000 to 80,000 ounces, and it slashed its uranium sales forecast to 82,000 pounds from a earlier 110,000 to 130,000 pounds.