| Inspiration Mining Corporation ("Inspiration" or the "Corporation") (TSX:ISM)(FRANKFURT:OI8) would like to provide an update with respect to its efforts to prevent the unnecessary dilution of the shareholdings of the Ursa Major Minerals Incorporated ("Ursa") shareholders.
As reported in Ursa's press release dated January 31, 2011, the TSX allowed Ursa to proceed with its private placement without first obtaining approval of the Ursa shareholders. In response, the Corporation filed a Notice of Application with the Ontario Superior Court of Justice requesting that the Court issue the following orders:
(i) an order prohibiting Ursa from proceeding with the private placement until such time that Ursa obtains disinterested shareholder approval for the private placement;
(ii) an order prohibiting the placees under the private placement from voting at the upcoming shareholders' meeting; and
(iii) an order that the private placement be reversed and canceled.
A hearing date of March 1, 2011 has been set to hear arguments on the Corporation's application.
Randy Miller, the Chief Executive Officer of Inspiration, stated: "We are disappointed that the private placement was allowed to proceed without Ursa first obtaining shareholder approval. We are asking the Court to recognize and uphold the existing shareholders rights to voice their displeasure or agreement with the current management of Ursa at the upcoming shareholders' meeting without the inclusion of new shareholders brought in by management of Ursa. This is an issue of governance and protecting shareholder rights. We encourage all Ursa shareholders to express their opinion on the private placement by contacting Inspiration at randy@inspirationmining.com so that their voice can be heard by the Court on March 1, 2011."
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